Monday, December 8, 2008

Video - Monday Market Summary - 12/8/09

New video for tonight - main points include:
  • Great move today and certainly lots of bullish signs, but a little overbought here so be careful.
  • Most stocks moving today are beaten-down types - will wait for a pullback rather than chase here and get caught in a reversal.
  • Had some short setups show up - not looking to get short, but will watch these as a tell for the market. I don't want to see those setups work - I want to see them bust through resistance.

**** Here's a link that should work better for IE users if the first link doesn't work

4 comments:

Anonymous said...

Mac, is your predefined risk R still max 0,5% of your account, or have you changed this value? What is your average loss (% of your account)?

Thank you for info. Coudy

Mac said...

I still try to keep all my losses to 2-3% for each trade at most which works out to a little less than 1% loss for my overall account. To be honest, I don't stick to strict rules about % risk - I use charts for stop loss levels and if it is too far away for my potential risk to be 2-3%, then I just pass rather than take a smaller position. Hope this helps.

Anonymous said...

Thank you, so you have increased a bit your overall risk from 0,5% to 1% for one trade. Did not you have any (psychological) problems with this? Coudy

Mac said...

I don't know if I have - again I just kind of look at the potential percentage loss for each individual trade, not as part of my overall account. I am not very scientific with it to be honest. If I see a trade that will give me only a 2-3% loss if it goes against me, I will usually take it.

As your account grows, you do have to get used to taking larger dollar losses which is something I am adjusting to.