Just wanted to give some overall thoughts about the trading month so far.  This month, I personally feel trading it has been like quicksand.  What has worked from Apr-Sept 09, trading the volume breakouts and material news items (Seems like so few this month), to me, are gone.  So, this month left fighting for scraps, unless you trade though earnings, which I do not.   So what to think?

I think right now I don’t know where the market is going, or what to trade.  I PERSONALLY FEEL OUT OF TOUCH WITH THE MARKET RIGHT NOW.  Biotechs are not breaking out, going down almost everyday.  Take a look since the VNDA contract deal, biotechs have been getting destroyed since this deal.  VNDA led the frothy speculation and they kind of ended it again short term, when the market was disappointed with it’s contract terms.   No matter, for the last few weeks, even my overall ideas are not working.   So, why do I share this with you?

Because even though almost 90% WRONG on almost every trading idea compared to usually 90% RIGHT, I am STILL MAKING MONEY, and nice money overall.   How do I do this?  Again, it’s from following my rules, my trading spreadsheet, my money management skills and MOST IMPORTANTLY MY DISCIPLINE. 

I share this with you because not every trade will be a winner.  Not every week you will make money.   Good traders lose very little money when they are in a ‘rut’, and wait patiently UNTIL THEY GET BACK IN ‘SYNC’ WITH THE MARKET.  Traders in ruts, you are not alone.

Welsh