This week we took more losses. We took them on major name brands, too, like Disney and Oracle. The account value went down 5% this week using my position sizing approach, and it's down a little over 12% in the last month.
Is this abnormal? No, definitely not.
That's right, I'm saying it's normal to take losses, even on major name brand tickers. I'm certainly not saying it's likely, but it happens enough that I would say it's normal.
Looking back at history, there are plenty of one-month periods that had losses like this. If someone had stuck to the trading plan through those periods, the payoff would have been immense. That's why I stick to these historical edges no matter what.
And that's where the mindfulness comes in for me. I know history says the odds are in our favor. So I do whatever it takes internally to cope with any feelings that might come up associated with a period of losses. Anybody who wants to build wealth from this program will have to live through periods like this.
(And don't forget that immediately preceding this tough month was a 7-week profit cycle...)
If you have questions or feedback,contact me any time!