1) Failed A down and Failed A up in CL and TF.

2) He who says he CAN and the one who says he CAN'T are both usually right.

All that glitters is not Gold.

Are you one of those who is looking at daily, weekly, monthly charts of ES, NQ etc and then saying bulls are INTACT and just holding on to your longs?

Nothing wrong with that except that YTD in Ruseell 2000 returns are 0.3%, S&P 8.4% with lot of swings in between.

I will let OR and daily internals decided if the day is bullish, bearsih or just plain old rotation.

Tits on a bull?

I do not trade ES but like to look at it here and there. I do not trade 100 lot position that i need a thick instruement to get my orders absorbed.

He is a good SPORT and seems like a great actor the way he prestened this hypothtical trade. In one 3 minutes video he exposed all of my weakness. I used to pick bottoms/tops all the time. I had read many books, articles, watched webinars but none made as much impact as this video did in terms of drilling the main point- there are no NO BRAINERS trades when one is fully loaded in one trade or a number of trades.

It does not matter how much success you had in the past as a trader, you will get KILLED if not careful with LEVERAGE. Jon Corzine was a star bond trader at GS eventually becoming Co- Chair of GS before retring from GS.
Based off his entire life work experience he put on a trade while at MF Global. He would be a trading GOD based on this trade if he had not used excessive LEVERAGE.


Jon Corzine Would Be A Wall Street God If He Could've Held On To His Trade ( Business Insider)



" If MF Global CEO Jon Corzine could have stayed solvent going long on eurozone peripheral sovereign debt back in 2011, he would be the stuff of Wall Street legend right now.
As Deutsche Bank analysts Stuart Kirk, Rineesh Bansal, and
Gaël Gunubu point out in a note, the bond market ultimately turned in Corzine's favor.

From the note:

Spanish officials must giggle at being able to borrow at 4 percent for half a century. One man surely sobbing into his beard however is ex-MF Global boss Jon Corzine ... How tantalizingly close he was to being hailed the cleverest man on the planet. Just one month later Italian yields peaked, then Portugal’s did, then Spain’s — before Mario Draghi’s speech began the mother of all bond rallies.

So Corzine was right, but his timing was wrong — and his execution was poor, to say the very least.
The former New Jersey governor and CEO of Goldman Sachs was brought down not only by his highly levered $7 billion position, but also by the scandal that followed.
After MF Global collapsed, it was investigated for illegally using customer funds to avoid what was ultimately a $1 billion margin call.

The details revealed in the investigation were brutal. According to one former employee, the final days at MF Global were a "total cluster---." Corzine and other executives were called to testify before Congress about the affair.
Last November the firm was ordered to pay $1.2 billion to wronged customers and handed an additional $100 million in fines to the CFTC.

NOTE: Who stepped up in the entire world to take off the trade from Corzine hands due to margin call? None other than George Soros and as usual made a killing on the trade. He had all the Dry powder needed to pull this trade without excessive leverage.

After all said and done- we trade our CONVICTIONS. Here and there , we are wrong. But one trade or a series of a trade do not make a career provided ONE IS READY to start fresh.
Yesterday, got caught on the wrong side in CL into the close. Loss in CL turned gains in TF, GC into a scratch day. CL hit 93.20 area and pulled back some around 92.75 area and i covered it during Asian session.

Tuesday Morning , found 2 high flying kites and took care of them.
Scaled out around 93.10, 92.90. No Longs. Only shorts into bounces is what i am looking at, if i trade CL at all for rest of the day. May try long if FLUSH down comes to the down side around 92.50 to 92 area.

" No Longs. Only shorts into bounces is what i am looking at, if i trade CL at all for rest of the day. May try long if FLUSH down comes to the down side around 92.50 to 92 area."

Reshort.

Whatever happened to all the so called buyers who took CL to 93.94? It was time to pull CL back as all the air was out.

I wish it had pulled back when i was loaded this morning but they needed some longs to come in ( illusion of buyers when CL bounced from 92.90 to 93.40) and then BOOM. Added to short 92.95.