The Psychology of Handling Large Drawdowns
6 days ago
|----------------------Where Prop Trading Meets Innovation in Options->
Below I have posted a daily chart of the SPX. It seems every out sized green bar is followed by an out sized red bar...and vice versa. This is no expert technical analysis...however I am seeing/experiencing similar patterns on a short term/intra day basis.
My best trades are the ones I take off as the market/name accelerates one way or the other. My worst trades are when I am chasing or saying to myself: "this move is going further."
Video interpretation of the S&P:
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