Have reverence for the market

Yesterday after hours, I chased PLTR higher, made over $2000 in night and pre-market trading, thought it would continue to rise at the open, but it tanked right at the open. I even tried to catch the falling knife by adding to my position, but ended up cutting losses and closing out, making a few hundred bucks—no loss, but the profits flew away.

Then I shorted APP, at one point making over $4000. I kept moving my stop-loss down, didn’t take profits actively. Finally, a rebound hit my stop-loss, and I closed out with $3000 profit—not bad. But I didn’t follow discipline, messed around again, shorted at low levels, and ended up giving back some of the profits. Closed at the stop-loss by the end of the day, made $1600, still acceptable.

The whole account ended the day up over $2500.

Maybe I’ve been too lucky lately, feeling like I can win no matter if I go long or short, feeling invincible. Today after hours, I traded AMD—first tried shorting, lost, quickly cut losses. Then went long, lost again, cut losses and exited. Got slapped on both sides, lost a few hundred bucks. Not willing to accept it, tried to win back the few hundred I lost, increased my position size going long, and messed it up. But just as it was time to pick up the kids, I checked my phone later—AMD was down over $2000, and the day’s account profit was down to just $400.

Reflecting on today’s trades, it’s just that I’ve been too lucky lately, got cocky, traded recklessly, thinking I could gamble and run. But the market will teach you a lesson. Respect the market. To survive in this market, you have to think carefully about every trade. Be patient. If the opportunity isn’t there, wait patiently—never trade recklessly.