End of Day Journal (12-8-10)

(EDIT: Broke NFLX into several images)

Summary:

Live trading on 50 share lots:

I started trading much earlier than I usually do.. the setup simply looked too good. The tide turned and I was stopped out rather quickly (NFLX). I entered the other way after volume came in and came away with ~$1.50/share.

It was a strange trade for me. Adrenaline kicked in a big way and my hands started shaking - I don't recall ever being so pumped up lol. I think there were a few things going on -  I was 'venturing out' and it was a conscious decision: I was not constrained by the MA's and I was trading a full 20 minutes earlier than I was 'supposed' to. I was trusting my ability to read the situation and acting on it. Heh. It was thrilling.

Now - Ithe question is - was this stupid to do or was it the natural progression? I am going to split the vote: I think the decision to act on what I was seeing was well, good, and the 'next step' in my growth as a trader. But I think adrenaline and trading are a bad combination. I am not entirely sure what to do about it. My response today was about as good as it gets: I stayed focused and closed when I should have. I then walked away from the comp for 10 minutes and played some Angry Birds to distract myself and let the adrenaline work its way out of my system. I suppose the only solution to this is to keep trading as I should and try to maintain awareness.

And this was only on 50 shares... I am going to have to ramp up slowly in order to let myself adjust.

The CMG chart is boring. NFLX is very interesting. Unfortunately I had to re-set the database after my calm down period (ISP disconnected 3 times this morning and NT had problems with the DB) so the first and second trades are stacked on the chart - at the correct price levels, but incorrect times. I noted the entry bar in the annotation.

This annotation exercise is the bomb. It essentially forces me to pay attention to detail and take not of what is happening around interesting price levels. I think this is helping me to get 'back' to where I was when I first ventured into the range charts - but I am taking pains to try and describe what is happening... to look at the context and put to words what it is that is happening. When I trade I find myself automatically doing the same thing - focusing. Waves, bar overlap, big volume, lack of volume, failed attempts to climb/fall... it all comes together.

Anyhoo - this week has been great and an enormous confidence booster. Now if I can keep from being stupid about it...

Trade well.

Details:

CMG

NFLX