The Ten Trading Mistakes

The market performed well for us yesterday. Our open signal, and new buy, on the OXBIP September call was profitable to 5.70, just below our top sell.
Traders were able to buy the new signal to the put OXBIH was available as low as 3.20, and hit highs of 4.00. Some traders were able to take tight profits but most of us hold this, and that's good, as downside may now occur as it appears the 9617 theoretical Dow top we hit yesterday may be the waning of the call. As the afternoon progressed more downside occurred, and we suggest we may see lows hit now through Friday, leading us downward to our lower Dow projections.

Nice call profit, and we now own a put. We'll hold only a one way contrarian position at this time.

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I recently read an article "Ten Trading Mistakes to Avoid" by Christine Birkner in Futures Magazine, August 2009 issue.

She did a great job listing things like: skipping research, not having a trading plan, not doing due diligence, not placing stops.

It's all the stuff I talk about all the time.

It made me think for both new subscribers trying our service for the first time, or for traders struggling to maintain the composure to trade the OEX, of the most important thing.

This is not easy. Half the problems with the U.S. are based on "this is not easy" and we keep expecting things to just "get done."

If you become capable of consistently earning 20 to 30% a day without leaving your home you are someone that is skilled. Skills are learned. The Ten Trading mistakes I read, and she was spot on with each, were all people "expecting to be able to do something without investing in their own knowledge."
As I leave on vacation I'll be writing you some reflective thoughts in our commentary on what has made me a successful trader, and how I believe the market can best be traded.

Part of my taking a vacation is from the work put in on setting up our new service, www.bluechipoptions.com
I would be honored if you would take the time to look at our work, our blogs, and consider all the ways we are making money in the market.

It all goes back to this is not easy. Last week we had a 41% return on an option in Blue Chip within 60 minutes of trading. Not all traders got it, many did, and it was all in learning how to execute, which is the same thing we teach at OEX Options.

Most people don't read well, or much. That's sad. The detail of how I teach the stock market is in our password protected subscriber area, with our recommendations of what books to read about the market, and ONLY those books, and how to "see the market, rather than be seen by it."