Good day olde chaps —
I got smashed to pieces today, off by 255bps, and I’ve never felt better. It started bad and ended bad and I feel as if I got the big down day out of the way and it’s nothing but net from here.
At the lows of the session, I was down by 3.4%, totally bedraggled in a coffin of my own making — but I never felt the pangs of despair that so readily accompany poor trading sessions. Simply put, I am master of my domain and one bad day cannot stop the train that I am driving because I am driving it straight to the fucking moon.
I know what some of you are thinking “oh fuck off Fly — you’re gonna get bogged again tomorrow.” But you’d be wrong. I closed at 75% cash, 5% $TZA.
If you want to know how I got myself into such a pickle — I increased my position sizes to 10% after being routed at the open. I tried a gambit and it nearly worked — but ultimately it failed and now I get to write about it.
RULE OF THUMB for traders out there. I have unlocked the perfect position size and have done so after experimenting with them for decades. The correct position size is between 5 and 6%. If you go smaller, your prowess is meaningless and you subjugate yourselves to the market. If you go 10%, you get bogged heavily on large down days. The perfect size is, and this is not up for debate, 5%.
Overall, I feel good. My health is very excellent and my mood superb.