Today affirmed for me once again the wisdom (for me, at least) of having a zillion little equity positions instead of one or two huge ones. To explain: before the opening bell, the ES was down good and hard, and I figured (with my 128 short positions) it would be a good day. It started off that way, but then, for absolutely no reason whatsoever, the market strengthened at once, and my beautiful profit had eroded into a small loss as the ES turned a disgusting shade of green.
Then, just as easily, the market started eroding, and by the end of the day, I had a big honkin’ profit (and had padded my portfolio with even more positions, ending with 135). I am highly confident that I would have freaked out early on if I had just one huge SPY short position, and I would have probably exited at the worst possible moment. As it was, I covered virtually nothing, and the day ended up great. So………take that, morning bulls.
