Monday, January 4, 2010

Month and Year end Review

Three trading accounts are holding all positions from previous month and are down 6% each compared to previous month, this is all in one stock. Another account sold out of NFLX at a loss. This same account was in and out of CNO for a profit, in and out of IYT for another loss, is holding XSD and SLX for profits, and has a brand new position in CPTS expecting a breakout this week. End of the year low volume sell off was not kind.

End of year performance for trading accounts is embarassing: -43%, -37%, +9%, =.

2009 401Ks and annuity tell a different tale: +35%, +31.3%, +56%

I overtraded the first half of the year with some poor discipline. I've grown in my respect for risk management. I guess I read about risk management and position sizing when I started reading books on the market but I was only dreaming of millions, salivating all over the place. While I succumb to emotion still, reading more of the turtle trend trading (Donchian) this year has helped me further to slow this down. I've had some success with lower risk ETF investing.

I am trading a lot less. My performance suggests I should not trade at all or else handle my trading accounts in the same manner that I handle work retirement accounts. I am not opposed to doing this but believe with proper trade management I can do better.

Add all the figures together and I am up 30% this year!

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