Today’s plunge in the markets created a loss in the market direction portfolio. The loss had to be taken simply because there is a plan in place and the plan lays out the trade from start to finish.
It was that same plan that laid out the second trade which tried to recover the losses from yesterday’s trade which was closed this morning. This is an extensive look at handling a downturn and knowing how to take the loss and how to set up a second profitable trade all in the same plunge.
This strategyt article looks at the present trade and the final outcome today. It explains all the stop-loss adjustments made during the day, the outlook, the outcome and why the second trade today had to be ended intraday and not held into Wednedsay.
Market Direction Portfolio Strategy Trade Outline
FullyInformed USA Members can can read this strategy discussion of the Jan 27 trade directly through this link or they can sign in to the full site here. Non-members can join here.
Members should also read the outcome from the Jan 26 trade which ended with a loss.
Disclaimer: There are risks involved in all investment strategies and investors can and do lose capital. Trade at your own risk. Stocks, options and investing are risky and can result in considerable losses. None of the strategies, stocks or information discussed and presented are financial or trading advice or recommendations. Everything presented and discussed are the author’s own trade ideas and opinions which the author may or may not enter into. The author assumes no liability for topics, ideas, errors, omissions, content and external links and trades done or not done. The author may or may not enter the trades mentioned. Some positions in mentioned stocks may already be held or are being adjusted.
Market Direction Internal Links
Market Direction Portfolio Trades for 2014
Profiting From Understanding Market Direction (Articles Index)
Understanding Short-Term Signals
Market Direction Portfolio Trades (Members)