23.6/76.4 Fib Extension

It’s only midday.  I drew the Fib extension of EXK based on yesterday’s high and low to gauge the progress of today’s gap down, while there is no support any where in sight.  Guess where it bottomed?  Yes, my favorite Fib 76.4.  Over and over again, especially when there is no other obvious support/resistance.  The Fib 23.6/76.4 are good pivot points to watch.  Made a few coins on EXK long trades today.

Today the market followed through to the downside from yesterday’s FOMC statement of no additional liquidity, coupled with Germany’s tough stance as far as conditions for bailing out the European debt crisis.   FXE, the Euro, broke the all-important 131 support, jacking up and Dollar, and bringing down the equity market.  Commodities, including GLD, sold off as they were being sold to raise cash.  GLD broke the 200 day MA’s and bounced from the critical 153.61 horizontal support.   It was an epic day today.   I helplessly sold 1/2 of my remaining SPXU holding on today’s selloff, leaving me just 1,000 shares.  It’s hard to imagine the money managers would get so close to making the year green and then give up around Christmas.   If the market continued to sell off relentlessly as I unload my short positions, then I submit to the jinx.  I’d been trading scared and getting burned out by the violent market.  At the point, I just want to end the year with reduced loss.  1,000 SPXU shouldn’t shake up my portfolio too much.

Portfolio Value: $130,000

Update @ 3 pm: Attempted a short on double top on the Fib 23.6 made even more coins than the longs earlier.

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2 Responses to 23.6/76.4 Fib Extension

  1. GreedyKojiro says:

    It is nice to see that your portfolio value going back to $130K level. No pressure but it will reach $150K+ by the end of the year 😉

  2. With 1,000 shares of SPXU remaining, I doubt it will make a dent on my portfolio by the end of the year in either direction. In general, I feel that keeping track of portfolio value may be a bad idea, at least for me. It tends to magnify my humanly emotions to my disadvantage. That’s why in the past it tended to have a “glass ceiling” around the value of $140,000. Whenever it strayed far away below that value, I’d panic and have no confidence to trade. That’d be when I started to follow other people’s trades or subscribed to paid services to attempt to bring the value back up. This year, there were too many new factors that caused the value to blow out to my detriment. Aside from being full-time and the market being unprecedentedly tough, it was due to the fact that I incorrectly traded with this proprietary leading indicator which I still currently subscribe to. I had thought I had found the Holy Grail, and traded too aggressively with it. But bottom line, I remain jinxed from achieving financial profit as it’s always been in my life. Breaking that jinx has been my driving passion in trading.

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