Thursday, December 3, 2009

Trade 203 - JHX result

Rule broken, Stop passed, Price Paid.

My stops on JHX were 8.13, but today I closed the position @ 8.55 when the stock hit 2.5 year highs, blowing out my losses to $445.50 instead of the $180 I would've had if I had closed off at my predetermined stop loss.

The biggest drawback to my macro approach, is that when the indices are still at resistence levels, looking like it's going to fall off a cliff, the micro movements of a stock that may be at odds with the indices makes for a difficult conflicting thought that makes u want to hold the stock for that extra day.

I've made this mistake of holding a position too long with FLT, WAN, JHX and the 3 combined have cost me close to $1,000 - and now I'm sitting on a loss for the year, and probably need to work on my discipline and sticking to my plan.

Right now I've cut down all my positions to short WOW, shortCCL/longGFF positions only, and I will write up another possible trade later tonight.