Yesterday while everyone thought that the market would tank further, I am being very cautious. The reason is very simple, when everyone was looking to short, the BBs would look to protect profit first and therefore they perform some short covering and caused the market to rebound a bit. To show that I actually longed the market, attached is a screen shot of my trade record. Although I did not made profit but a loss instead, it did tell me that the rebound was maybe just a bounce and so I prefer to exit even though it was a small loss. Every loss is a lesson to me and added knowledge in my arsenal.
Today, I am expecting supply to ovecome demand. The market is volatile and to make profit, one must be nimble and quick in it's thinking. In the coming weeks/months, I am going to write my philosophy and name it the K philosophy. Well, the philosophy I am writing will be similar to what I shared on my previous seminar. The philosophy is the way and truth of having the correct mindset in the market when things don't go right. One must keep reading and practice it to attain total understanding. It has nothing to do with turns, or wave or time, but it's the ultimate truth in conquering emotion, fear, patience, etc..
Update 5.23PM, May 8, 2012
We witnessed a bounce, and supply indeed overcame demand!!
Ronald K - Market Psychologist - The Big Speculator
