Mindful Trader Commentary For January 4, 2022


Hey Guys,


Well we are definitely back in action with trading activity. There's been all sorts of trades flying around over the past couple of days.


In the main account, my VRTX stock trade and my MES futures trade both hit their profit targets. That was a nice way to start the new year.


I picked up new positions today in all accounts. In the main account, I picked up a slate of double down trades. They included stock purchases for DGX and ZTS and an options trade for PFE. Double down trades might have a higher win percentage than trades from our core strategy according to back tests, but the trades I took today got a terrible start out of the gate. The trades aren't over yet though...


In the extra options account, I bought a full serving of options for the Healthcare industry. These include options for ABT, LLY, XLV, and PFE. The whole industry is having a big down day and setting up a lot of trades.


In the low-priced account, I took on a stock position for GSK. It's the only healthcare stock in my group that isn't moving a lot today.


One interesting thing: yesterday with VRTX, the stock price went up a fair amount right after I bought it. So if you followed the trade, you may have gotten a higher price than me. And then on the opposite side of the coin, today if you followed any of the stock trades in my main account, you may have gotten a noticeably lower price than me since the prices went down right out of the gate. Over time, those difference in price might even out to a large degree. I did a study on this that showed that whether you buy for a higher or lower price than me, you might still end up with similar profitability over time. Here is a link to that study.


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


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