Trading Journal #52
08:35 am: “Futures red to start the week and after a strong rally on Friday. This week we have a FED meeting with statement coming on Wednesday, so market should wait to hear from Mr. Powell before triggering the next move, so manage risk wisely.
08:36 am: “Morning focus on AAPL TSLA AMZN NFLX to see if it is able to bounce red to green after a big up day on Friday. SPY IWM QQQ TLT on watch for clues going into FED on Wednesday.
Morning Trades: I started the day long TSLA Calls but momentum stalled so I locked gains and flipped into IWM Puts for some nice cash flow. I rided IWM TSLA several times for nice cash flow, but it was very tight so was basically got in, got out and moved into the next one. Also got some TLRY for more than a double. Overall nice cash flow but not the kind of action that I like, because not much follow through continuation on calls or puts.
Loss review: I got some losses on AMZN GOOGL and some other trades that I closed flat, so lost some money with commissions, but that’s part of trading.
Key Takeaways: FED weeks can be tough with both longs and shorts trapped inside tight action as we are seeing today, so cut risk and wait for the next trigger.
Look Ahead: Market waiting for FED on Wednesday, so staying flexible and cutting my risk per trade so not getting caught on choppy slow tight action. Risk management is key during these periods, so manage risk wisely.