A Reasonable Rampage into the Close

SPY closed at record highs, whilst the pennies got lit up again for -1.4%. I did warn you back in February that 2021 was going to be a dreadful year for those whose heads were stuck in drainage pipes. You’re continuing to get cleaned out and nothing will stop it, unless you adjust.

This doesn’t mean stop trading small caps. All it means is you need to get out of your head that you’re gonna make 10,000% in an options contract by applying “diamond hands” to your investments. Trade and trade well and do so with discipline.

5% position sizes.
Max drawdowns of 10%, but honestly a lot smaller than that if you’re serious about day trading.
Impose the will of the markets onto your investments, not your feeeeeelings. There is no such thing as gut feelings, only facts.
Lastly, if you have a system that is working — keep using it.

If you do not adhere to the basic tenets laid out above, I 100% guarantee you will blow up one day. If you trade quick and never find yourself in a position of being at the mercy of the market, you too can be a 45 year old blogger one day discussing the many virtues of fast action live trading to an audience of fucking morons.