Something to pay attention with the SPY.

Today was an utter fucking disaster. I did EVERYTHING completely wrong. After taking a series of small losses, over the past weeks, one small loss after another, I concluded that I just wasn't giving enough time for the trades to play out. Because every time it seemed, as soon as I sold for that small loss, the play would reverse suddenly, and I would see the potential profit that I would have made. So today, I played long AMC, and a $SPY put. AMC started with a pop out of the gate, but then reversed, dropped, leveled out, dropped more, leveled out again, then really fucking dropped. I had added on the way down to bring my average down. But it simply didn't work. The stop losses were triggering causing the stock to tumble more. As I saw my small account quickly dwindling, I had to get out. With a nearly 20% loss. Small loss turned into a disaster. In the meantime, my $SPY put option did the EXACT opposite. As AMC was tumbling down, $SPY started a downtrend, but then suddenly reversed to the up side. I held on, but when $SPY broke through a key resistance point, it was simply game over, and I got out with a 25% loss on that one too. FUCK! I know better. But my emotions got the better of me, HOPING that each trade would reverse and go in my direction. How wrong was I to even consider that. I am so fucking stupid to think that. I have made this kind of mistake over, and over, and over again, causing me to completely lose my account last year, and here I am, doing it all over again.

Lessons from yesterday . . . I executed TWO near perfect sniper trades on $SPY call options. What worked was capturing the momentum at the market open, for a quick +18% winner, and the end of day momentum near the close for another +15% winner. What doesn't work is trying to trade options in the middle of the day. The price action is way too choppy for a quick in and out. Literally the moment you get filled, the price WILL suddenly reverse and go against you instantly wiping your profits for the day. Bottom line on $SPY options, trade the open, and trade the close. Stay away from the rest of the day.

Friday May 21 another $SPY update . . . just broke below the support level at the $415 area. Looks like another gap to fill from the previous day between $410.89 and $411.80. Will continue to keep and eye on it and see if it falls to that level. Still looking for potential bounce opportunities, but . . . seems to be very unlikely today. Who really knows? Wacky things can happen LOL!

Friday May 21 $SPY update . . . hmmm, just as I predicted, this filled the gap all the way down to the $415 ish level by lunch time. Can I actually predict the future? Or did I just get damn lucky on this call? LOL!! I'll keep my eye on this for a bounce, and if the set up looks good, attempt a 10% scalp on a call option. Stay tuned . . .

Friday, May 21 . . . been out of the market for most of the past week, after having a series of losses last week on $SPY options. Then I switched over to some crypto trades . . . Remember the falling knives? I am getting much better at cutting losses quickly. But, I had a couple yesterday that turned on me quickly and I lingered too long, but still got out. And now with the breaking China news again . . . Whew, glad I am OUT! Time to just sit on hands and wait this one out for a while. In the meantime, booked a quick win on a $SPY option trade out of the gate this morning, only to wipe it out with a really dumbass trade by not paying attention to the VWAP and price level. Sitting at exactly break even, so at least my account did not decrease. Cut losses quickly will save your ass every time! Looks like $SPY is now filling the gap back down to the $415 ish level, we'll see how this plays out today. Time to go for a run and get some fresh air.

Tuesday, May 11 2021 marked the first day for me in Tim's Millionaire Challenge. Using my past experience and what I have learned in the short time since yesterday when I signed up, I finished my first day trading options on $SPY with 4 wins and 1 loss. My account increased by over 3% on the day. Looking forward to learning so much more and growing and honing my skills.

SPX NEARING END OF MINOR PULLBACK; PREPPING FOR BIG RALLY https://bit.ly/37tI4ID $SPY