Hey Guys,
Well that was a brutal day in the market yesterday. From tip to tail, the MES futures (which correlate with the S&P 500) dropped more than 180 points. This morning the market is back at its lowest point of the year.
In the process, most of my positions went down. I was able to lock in a couple profits today on positions that reached their time limits (MAS and OC), but otherwise four other positions closed for losses today (two of which were stoplosses). So it's been a net loss so far today.
And CPB in particular was a bruiser. That thing skidded down relentlessly all day yesterday and into this morning. CPB (Campbell's Soup) is considered a "consumer defensive" company, and typically companies in that industry are thought to hold up well during times of market distress since they have products that are needed no matter what the economic circumstance. Well in the last two days, Target and Walmart (both consumer defensive brands) both reported bad earnings, and that dragged the entire sector down.
I haven't taken any new trades yet today. You may have noticed that I took a second trade yesterday on CPB after it had already gone down a long way. That's because it qualified for my double down trading strategy. According to back tests, that trading strategy might have performed even better than my main strategy, but it sets up much less frequently. So at this point, my original trade on CPB has already hit the stoploss, but the second trade I took on CPB is still open and is a completely separate trade even though it's for the same ticker.
If you have any questions or feedback, I'd love to hear from you.