Excuses to stay out of the stock market

I am looking at the STI and there is a MACD divergence. Secondly, there is a massive flagpole pointing south. The flag is unfurling and it probably will be volatile enough to whipsaw my trades. I am not ruling out shorting some weak stocks with CFDs at this juncture.

I am aware that I may have miss some good setups for shorting earlier this month. However, I am pretty cool about it even though chances like this do not happen much. Why? Because I have about 40 times more trades in Forex than in the stock market per month, plus minus ten.

Anyway I guess I was not ready to jump into the short trade simply because I was not well prepared AND it was one day before the National Day holiday.

DBS sold at 15.51

I have sold DBS the day after a bearish hammer hammered the day high of 15.73 down to opening price. So I set an alert for 15.5 below the low for next day's trading. Next day I got hit by the alert and off I close the position.

Well, I did paused for a while to consider looking at the charts before closing it. But then I willed myself from that thought and just DO IT. Anyway I was busy with work, so at the end of the day I see DBS down to 15.29.

Like I said, I have improved in my trade management. In short trade management is how the open trade is managed while open. Trade management involves trailing stops, decisions to take part of the profits off the table, or to let it ride further. Whether you should adjust your stops due to a 'hikake', last bar rule or retest failure rule. All these are rules consistent and proven to manage my trades to let it ride the trend as far as is plausible while not giving up too much profit.