How’s that for a kick in the pants? We publish our returns, and then steadily gain in our short-term trading account every day thereafter. Of course, in the long run, it won’t matter. I may be down now, but we’re out to hit 30% returns. However long that takes us, I am going to hit that number.
Regardless, we are still bearish on the stock market. We’ve been bearish on this market since the 26th of June, and I see no reason to change that stance now. In fact, I’m finally getting the market that my book is built for.
‘Ok Dan, but for how long do you plan on being bearish on stocks?’
Or until the market tells me otherwise.
Find an objective measure and appropriate time-frame for the market, and then allow the market to tell you whether to be long or short. Right now? I’m see the market go down … so … yeah … I’m bearish. I remain bearish. I will not try to predict when I will stop being bearish, because I cannot predict when that objective measurement will stop heading lower. Today? Today I’m bearish, and plan on remaining bearish. When my objective measurement through an appropriate time-frame is bullish? Then I’m a bull.
I see too many new investors and traders take a stance (good) and then pick some imaginary line in the sand, in the unpredictable future as to when they will stop believing in that stance and will hop out of the market (bad).
How does a new trader expect to allow their winners to run if they are constantly trying to guess when they are going to jump out of a profitable bias?