I’m not posting a weekend review this week. I’ve got various obligations, including a black-tie event, friends visiting, and I’m going fishing for Goliath-grouper. So I’ll be otherwise distracted. Anyway, the interesting thing is that I’ve been sitting more than trading. I’ve learned that I make more money sitting than trading. Yes, NDX is down 4.5%, but SPX is sitting still. Until it gets some momentum my systems are going to prefer NDX. No I don’t like being in drawdown mode… but as any algo trader will tell you, one is in drawdown most of the time. So I’m dead to it.
Option hedges are expensive at the moment. I’ll pass. I’m looking to get long bonds and gold when my systems say so. But as I’ve stated here multiple times, the market will test us all this summer. This is the test? The market will tell us.
Still long NDX, no hedges besides stops (which are terrible!). This is what trading is, boredom and misery, with the market occasionally flashing a little leg…