2017 Q2 Goals/plans:
1) Trade to trade well

2) Configure and get comfortable with IB-TWS

3) Learn to implement some of Turner/Sykes techniques without succumbing to analysis paralysis

4) Compare dip-buys and breakout techniques

5) Avoid big losses

 

2017 Q2 Post-hoc Analysis Themes:
1) Context is king. When I evaluated the larger context well, I fared well. If you’re trading the right stock, in the right direction, for the right reason, on the right day – your execution can be pretty screwy and you can still do well.  Fast and effective intra-day chart analysis certainly matters - but it comes second.

2) After recently witnessing supernovas (ETRM, DCTH) I can sometimes experience mild supernova hallucinations. I do not want to give up on catching significant chunks of supernovas, but I have to learn to better differentiate supernovas from mini-runners in order to avoid playing mini-runners poorly.

3) Day-trading without my eye-balls on the screen is not really viable for me right now. I might be able to learn to do some small multi-day/overnight plays, but otherwise Friday day trades are my only option for bigger trades.

4) Stocks that move in 5 cent increments bother me.  I really don’t like trying to do intra-day assessments on them. It throws me off in a big way.

5) I am still new enough with IB to make platform-related mistakes (as in selling 100 shares instead of 3000 as I try to exit). This is another reason to continue betting small for now.  Also, IB's commissions can get ugly while buying tons of shares of sub $0.70 stocks. One of my trades had me at -1.26% just from entry/exit commissions and fees.

 

Basic Numbers:

Trades: 25

Wins: 9/25 (36%)

Large gains:  $3278, $855

Large losses:  -$919, -$826, -$540

Cumulative position-scaled multiplier: 1.133 (+13.3%)

Average position-scaled multiplier: 1.005 (+0.5%)

Actual multiplier 1.040 (+4%)

Net P/L: $1030

 

Summary: 

I'm ok with this quarter.  The main goal was to ease into trading high-volatility stocks, without major losses.  I did a ton of reading/studying and eased into some new strategies.  I tested the waters with short-selling very small.

Although the average position-scaled multiplier was over 1, at 1.005 (n=25), I don't feel ready to take that as an indication to start trading much heavier in Q3.  An average position-scaled multiplier of 1.005 still seems like I'm essentially just walking the line between profitable and unprofitable (although I have no idea what that number is for the really great traders).  Actually, if you factor out my +3k day and my -2k day this whole quarter was a wash.