Have not updated the online diary in a while. A lot has changed since I last wrote early last month. I must continue to write my thoughts because this is probably the most confusing periods for me in my life. If I don't write about this period on a regular basis, I will be missing a lot things.
First, the day trading has come to an end. My losses has been quite staggering around $15K but 90%+ of that is transaction costs. Essentially, my dream of making $500-$1000 a day has vapourized. I realized that day trading is much harder than I had anticipated. The most depressing part of this experience is that started this endeavor in April when S&P500 was around 700, and since then the market has gone straight up, to 1,100+ but I was not able to partake on the ride. I was trading GS when it was around $100, now it's around $180; GOOG around $300, now its $550+; JPM around $30, now its around $50. Basically, if I didn't make it doing day-trading during one of the most bullish periods in the market, then I don't I can make it at all. I have not totally given up on trading but I think I need to focus on swing trading and less on day trading BUT for now I need to reduce my risk exposure substantially because I do not want to run out of money.
