Wednesday, September 17, 2008

Time to Panic?

Slow Markets, huh?  Of course, i am kidding.  Anybody watching and/or trading these markets in the last few weeks knows what has been going on.  I find it very therapeutic to talk with other traders/friends in the business when things are going nuts, like they have been.  I leave the building every day with a clear head regardless of my P&L for the day.  However, yesterday I felt like i got beat up.  I had a base hit day, but left feeling exhausted and confused.  The market is technically oversold and the VIX is in the mid 30's.  However, that doesn't mean we can't keep going lower. The market is looking for any excuse to go higher as is clear by some of these BS news stories that drive the market higher, only to see it retrace in the last hour of trading.  Last nite I got "out of dodge" and cleared my head.  I first went to the Trader Monthly Magazine Happy Hour in Chicago and then met a friend at the Cubs game.  During the game I talked with a few people I know in the business about the markets.  Hearing what others are thinking and how they are trading is very interesting and at same time takes the edge off of your trading.   

Remember:  It's not only what you do during the trading session, but it is sometimes more important what you do before & after to clear your head and regroup that can pay dividends in the future.