Successful Trade Back

The trade was successful.

Although Financials did no have the greatest return, it did end up being positive and therefor having a successful rate. Below is the overall performance for today.

I mentioned that I would look. into Goldman Sachs or Citigroup, after observing the first 30 minutes of open market, I went for Citigroup, let's look at the performance below.

In the above chart, we se can see the highlighted period in the day where Citigroup raised its price by $3.78 leading to a positive trade on my end and giving me 100% return for a $134 call.

With that said, it did feel amazing to come back and have a good trade overall after stepping away for over a month. Knowing that the method isn't entirely broken but instead, knowing that the personal emotions play a big role in my day to day trading. I caught myself thinking "what if I held a little longer" after my position closed, and it's when I realized that my emotions and greed have been in the way all this time. I quickly brushed it off, so with that, we can move on to tomorrow.

While my model hasn't predicted a good sector for tomorrow, and I myself struggle to see one good prospect overall, XLP seems plausible. XLP traded 8.45M shares today, and had a 0.33% return change. So while it was indeed positive, it wasn't the greatest sector where investors sought to place their money in. The reason I am choosing to study XLP tomorrow is because there was a near 50/50 trading volume between sellers and buyer while maintaining a positive return.

From XLP, I will consider Coca Cola (KO) or Walmart (WTM) for tomorrow, but if the first 30 minutes don't seem to trend towards a positive trade, then I will skip tomorrow as it may be forced. As this is the only favorable sector in my opinion from my own pattern recognition, I will not force another sector. It doesn't mean that a different sector won't be positive tomorrow, it simply means that it does not fit into my model. Tomorrow we will review what was different against my method, see if we can integrate new observations. In the meantime, we are starting slow, but more trusting this time around.