Alright…….so you might have noticed that I fell off the face of the earth after July. As many of you know, I spent September and October traveling, as well as watching my beloved Cubs win the World Series. In November we packed our bags and moved, and December was filled with holiday trips and settling into our new home. Somehow, I found the time to squeeze trading in there. I'll start by recapping the last few months of the year that I don't have videos for, then give some overall thoughts relating to the year as a whole.
My only losing month of the year. Long story short - UPLMQ boned me. I shorted overnight, was caught in earnings because I forgot to check if they were expected, and then I was stuck in a huge gap up with no way to get out. Lost over $33k on that trade, then took one more stupid loss out of frustration a day later, before taking the last three weeks of the month off to regroup mentally.
Slow and steady this month. Traded almost every day at least a little bit. Met a lot of great people in Orlando during Sykes' stock conference. Just went back to the basics, cut my losers; no wild swings of any kind.
Met more amazing people at Traders4ACause! Also, OTC trading came back to life! Had a couple of large wins by shorting some marijuana stocks that ran, but I put a HUGE dent in my month with a sloppy BTUUQ short. Broke every rule. Didn't cut my entire loss, added to a loser. I really was just playing too much size given the lack of liquidity and difficulty of fills. Lost $60k in one day on it, made almost all of it back on a big BTUUQ short the next week. But the loss was a huge blemish on my record and went against EVERYTHING I had been working towards this year.
Insanely lucky to escape this month green. Was trading very well through the first two weeks, then was incredibly sloppy with DRYS. Shorted what I thought was a tiny position at $15 and basically decided there was no way was I covering - this pig was going to come DOWN! Well, I was finally scared out in the $70s. The next day I made matters worse by once again breaking my golden rule - I added to a loser. Took two huge hits on DRYS for -$110,000 and $-70,000. I, thankfully, managed to recover almost all of it in the next two days as the shipping sector crashed, and then I promptly gave myself a week-and-a-half timeout from trading. Again, just a terrible breach of my rules.
Back on track. No huge losses. Cut all losers, had some great winners, showed some good patience on a few swings short. Perfect way to end the year after a few sloppy months.
Overall 2016 Results: $906,665.20 (NOT Including $138,300ish in total fees (locates, interest, platforms, etc.))
One quick question I want to answer that I get often. My monthly/annual stats that you see include my trade commissions but NOT my locate fees. I never really look at those until I'm doing my taxes. I just consider them a cost of doing business. I'll update this post with the exact figure once I know it.
This year was a huge step in the right direction, but I have a long way to go. The theme of the year was getting myself back under control and cutting my losses. While I’ve come a long way from where I was in 2015, it isn't good enough. I'm very bothered by the fact that I took three HUGE losses in the final three months of the year, after being nearly perfect up until that point. There are a couple of possible reasons for this: