Wednesday, March 2, 2011

Long And Close With A Loss OF 50 Points - FCPO


Date: 2 Feb 2011
I longed FCPO May future contract at the open at 3570 and shorted to close at 3520 which cost me 51 points for 1 contract. I admit that I was nervous and did not act correctly. I should hold on to the long till my stop loss level was hit but I did not. This is the price I am paying for not following my trading rules.

The Loss: RM1,275 (51points x RM50 x 1contract = RM1,275)


The balance of my account is RM18,425 after the loss of RM1,275.
(The details of my account is at My Future Trading Account Records 2011 )

13 comments:

  1. Me too. I longed yesterday pm at 3554 and stayed until it touched 3512 I chickened out. May I know what was your previous stop?

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  2. We all have our moments.. Anyways, I've always wanted to ask you.. what does Bullsa mean?

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  3. Haha...I'm not quite sure what you mean by that but as far as I can understand CPO, we'll have to take the risk of loosing 60 points before we can gain anything!!! If there is at all...?

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  4. It behaves like a roller coaster - goes down hard before it goes up higher !!!

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  5. Hi,
    The markets for FKLI & FCPO have been behaving wild. This is part of trading. I honestly have no clue what the next direction for now. This is one of the tough moment that I as a trader have to live with.

    Hi ashafiqcapital,
    "Bull Sarawak" and play of the word 'Bursa'.
    :)


    Abel

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  6. If trading is volatile, why you have
    to keep a StopLoss of 60 pts. must well
    just close it. Normally a 20 ~ 30 point
    is more than enough.

    One sen idea .

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  7. Hi,
    Thank you for your suggestion. I tested it before, there will be a lot of in and out as 20~30 points for stop is too tight.


    Regards,
    Abel

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  8. be cool abel.. dont prejudge and try to outsmart the market.. 50pts stop for cpo is too near, 20/30pts sap sap sui "kena" stop out, let the market decide for you.. this what i'm doing all this while from 1995, only 1997 crash i'm battered because i thought & judge market too low already at 500 level and i go LONG, as you know market drop to 240+/-.. hahaha

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  9. Abel sir, what do you think of the FCPO market now? My opinion is the time is ripe to put on some shorts.. 3630-3650 levels seems like a good resistance and there's confluence with the 50% fibonacci from the high of 10 Feb till 24th Feb low.

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  10. what was your rule? if you dont mind to share

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  11. Hi Ashafiqcapital,

    A confirmation is needed for the correction like violation of the previous low. The high of today 3648 seems like a resistant now and your mention of 50% fibonacci level seems logical too.
    However, a break above 3648 would mean I new beginning of the surge.

    Hi EGS,
    Are you talking about trading rules?


    Regards,
    Abel

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  12. yes,

    short at 3630 today. still wait to go out

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  13. Hi EGS,

    Market is at your favor!


    Abel

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