Hey Guys,
When I emailed yesterday in the morning, the market was in the midst of a rebound. Over the course of the rest of the day, the S&P 500 dropped a whopping 100 points and turned into a big red day.
The timing wasn't fun because I have a lot of positions open, which means my unrealized account values had a big negative fluctuation. Most positions in my portfolio are red right now.
At times like this, I like to zoom out my focus. There can be a tendency to get wrapped up in thoughts of doom when there are a lot of red positions, but I like to intentionally think about the big picture. In my case, I've had a ton of days like this in the past, and life always went on afterward, and I'm still alive and able to enjoy life, so it helps me to remember that. I also like to notice that I am physically safe, something I've written about in the past.
Once I realize that it may not be a true catastrophe the way my mind is making it out to be, then I like to stop following my thoughts around and instead notice the feelings in my body. Sometimes there is a nervous energy on days like today. And I just allow it to be there, and even have some curiosity about how it feels. I'm already looking at the situation from a zoomed-out perspective, which makes me grounded enough to be able to safely feel whatever emotions are rumbling around in me. Trading from this state allows me to be grounded and stick to my plan.
And that's what I did today. I took on a bunch of new positions, which can be hard to do when there is a lot of red out there. There is very real risk involved, make no doubt about it, but my goal is to stay in lock step with the back-tested trading approach through thick and thin.
In the main account, I bought stock positions for HSBC and CMI. In the options account, I bought the options for HSBC and CMI. In the double down account, I bought stock positions for EXAS and PAYC.
My KR stock position from the double down account reached its time limit this morning, and that one actually went against the market trend and locked in a partial profit. My BAC stock position from the double down account hit its stop this morning.
If you have any questions or feedback, I'd love to hear from you.