Satuki @ Home

It was a brutal day for the bulls including me. The market gapped down big because of the following reasons

• Dismal economic data from Japan
• Possible downgrades for various Europe banks
• Possible bankruptcy of the Big 3 auto-makers

Day Trading: Down 1100

Swing Trading: Down 790

I was down around 1000 from shorting our beloved FAZ. My position size was a bit too big. Other than that, there was nothing particularly bad. Of course, I was on the wrong side of the game. The bears ruled all day long today. However, being on the wrong side of the game is very normal. It is just part of the business.

It was not really an easy day for day trading FAZ today. After its huge gap-up, there were not any meaningful moves in either direction. Because I am not good at scalping, I tend to lose in this kind of choppy market. The flip side is that I can catch big fish when it does move.

As for swing trading, my ERX is gone. It hit my stop loss. It was once up nice on paper and now I lost 700+. No big deal. I will try it again later.

Right now, I think I will stand on the sideline for swing trading. So should you. We have officially broken a very solid, multi-week support. If the low holds tomorrow, then we all can put on the bear hat.