Mindful Trader Commentary For April 10, 2024


Hey Guys,


The market took a big 60-point tumble overnight. The S&P 500 is around 5,150 right now, which is the same price point it reached last week when it had its last big drop.


It will be interesting to see if that last week's low serves as some sort of support, and whether the market ends up rebounding again like it did last week.


A lot of my positions took a hit with the market drop (although I'm seeing some resilient positions that are still profitable). When there is a lot of red in the portfolio, particularly when there are a lot of open positions, it serves as a good opportunity to zoom out and look at the big picture.


One thing is to remember that just last week, the market bounced back after its big drop. It definitely doesn't mean it will happen this time, but we learned last week that we don't necessarily have to stress out about what happens in the short run with any given position. Until the trade is over, anything can happen.


The other thing you can do is look at your position sizing in general. Each person has different risk preferences. If the current position sizing you're using feels too heavy on a day like today, then you can consider dialing down. Your best odds of trading success come if you can live through the ups and downs that come along the way, and if your position size is too big, it lowers your odds of being able to do that.


With the market dip, I took on a bunch of new positions today. My main account had more buying power free up, and I loaded up. I bought shares of stock for ETN and VST and options for VZ and COF. In the options account, I bought options for TTD as well as another helping of COF.


If you have any questions or feedback, I'd love to hear from you.


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