will big drops in the DJIA become normal? below 9,000 markets continue to fall – call and put options
I noticed yesterday that during the high of the day the majority of my practice trade call options were doing okay but ended up down by the end of the day. For my put options everything is correct which shows stocks will continual to sell off even when they are way out side the bollinger bands or even creating bullishing engulfing candles the next day red/white. Now with the DJIA below 9,000 i think the REAL selling is going to begin. Again, am I going to start buying put options? if I do I break my discipline trying not to do any real trades for one year. i mean, i’m not losing anything NOT trading, right? sure, my friend has made a good chunk and am I feeling impatient, greedy, and trade happy yes, this is the reason why i must not trade until i’m disciplined enough to know a good or bad trade and be smart enough to get out when i’m wrong, which I’m still not. is this saying I won’t do a few real trade put options before the year is over? hmmmm.
i will be posting my put and call practice plays. you can definitely see the puts are in green and calls are in red. tomorrow should be an up day after down 3 days stocks “should” bounce up, but from my experience usually stocks selloff more on a friday expecially near expiration on options.
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This entry was posted on October 9, 2008 by Paul Awol. It was filed under trading stock options and was tagged with 000pts, DJIA falling below 9, how to, october 2008 crash, practice trading help, pushing through bollinger bands and keep falling, put and call option trade picks, real selling.