Hey Guys,
The market just had a humdinger of a gap down. The S&P 500 dropped almost 200 points overnight.
That really shook things up. It dragged down almost all my positions, including ones that had been near profit targets. My first OKTA stock position and my BP stock position both hit their stop losses. The CME stock position I bought midday yesterday somehow went upstream during all that and hit its profit target this morning.
All my open option positions went red. The timing is poor because I have six different option positions that reached their time limits today. I'll be manually closing those near the end of the trading day today.
As painful as it is to see the portfolio get painted red like that, I'm staying grounded. It's not a surprise that there are days like this that come around. Backtests make it clear that they are bound to happen, as does my own trading experience. So rather than go berserk, I remember that it's normal for there to be days with turbulence like this.
Sometimes buying positions at times like this can offer a nice reward, too. When the market drops that abruptly, sometimes it can snap back to some degree. There's obviously risk involved, as always, but some of my best winning streaks have come right after what seemed like a major market meltdown.
I took on new positions today. In the stocks account, I bought positions for CVS and WPM. In the options account, I bought options for COP and CVX.
If you have any questions or feedback, I'd love to hear from you.