[Weekend Summary]
Dear Member:
This week the Nasdaq fell 84 points, the Dow 30 fell 366 points and the SP-500 fell almost 36 points. I made one trade. I sold Ppl Corporation (PPL) and, before commissions, realized a gain of 3% in 3 weeks. That's 1% a week. The Trend Trader has 13 wins out of 15 positions entered. I don't believe I could have done that by buying into the downdraft.
Sometimes, I feel pressure to send out trades so subscribers won't feel cheated, but then I remember I am trying to show you my trading principles in action. One of those principles is that unless I find a trade that meets my criteria, I don't trade. This market has been falling and anything but the most careful pick is like trying to catch a falling knife -- it can be done, but the chances of getting hurt are great.
The point is I only try to enter trades that I think will make me money. Obviously, that isn't going to happen on every trade, but I'm trying to give myself the best odds.
I'm still in NSL for income and the price is still above where I bought it so I'm happy. Trend Trader teaches a bullish strategy. One of the parts of a successful bullish strategy is don't be in stocks that are likely to go down. I assure you I am watching for the turn. I thought Thursday could be a capitulation and the market might turn back up at least temporarily, but so far it hasn't. When it does, I plan to be there. In the meantime, Option Trader has been doing very well with a number of bearish trades.
Have a great weekend.
Bill
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