Tuesday, 1 November 2011

MF Global Day 2

When I started trading in the morning (London time) it looked like the world was ending and that the stock indices would go to zero. Selling was coming from everywhere as the the real world imitated art: Margin Call, the movie. At the same time, it looked like the Greeks might unravel as a referendum had been called. And then the Italian bond yields started going up as "they" started looking for the next weakest to hit.

As the ES opened in RTH, after a little more follow through, "they" started covering some shorts and there were a few nice long trades. People find it difficult to buy into what, until then, had been a strong downdraft. But that's why we have TPs. Having the discipline to following my well tested trading plan is my best protection.

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