If you read my blog, you probably already know about the carnage that hit the world and the futures markets today, and might be looking to see how I plan to trade this market. Maybe the Spec has some well thought out game plan to make loads of money tomorrow.
Unfortunately, I do not. My focus now is on capital preservation, not hitting the jackpot. While it is true that fortunes can be made on panic driven days like tomorrow is sure to be, they can just as easily be lost.
I have placed logical stops on my three small long positions, and plan to do little else by way of trading. I am not going to watch any stocks on my watchlist. If I do get the itch to trade, I will make sure to use extremely small position size and will only trade index or sector ETFs.
one thing is for sure the market just sold off and if anybody postions was being short today would just have been a big pay day all my short ideas have worked very well and today they worked even better.