- Has not been an easy month here thus far, with P&L swinging about wildly. Settling around breakeven on the month for past few days now, having taken a big swing from large positive to negative on the Greece EU/IMF 30/15 billion bailout announced last weekend + accompanying price gap.
- 1 problem has been poor timing in my re-entry of trades closed profitably.
- Core book = +CAD +Gold +Copper -EUR -GBP. The accompanying chart plots a normalized index of the core book weighted by the relative sizes of positions.
- Current construction appears to be on right track. SHS bottom possible. [Chart up = My P&L up too].
- Intend to sit on this strategically and make less tactical adjustments than has been the case of late. The latter has done more harm than good to my P&L.
- Logic behind core book = Growth Recovery + Protection against Currency Debasement and Bad Government.
- The other big mistake I made (much earlier) was reducing weighting of short EUR towards more short GBP in anticipation of EUR/GBP upside break. Much regret that.
2 comments:
T: very neat graphical representation of your book - thanks for sharing...
Think I made a gross fundamental error in the above chart. If you notice, it resembles the gold chart very very closely for obvious reasons. But you get the idea of what it was I was trying to do.
I have re-plotted instead summation of [#Contracts*(Instrument Price - Arbitrary Initial Point)*Contract Nominal Value] which is basically how Margin behaves in response to changes in prices of instruments held open.
Same conclusion. Nice chart in uptrend, pause now. I do not intend to show that chart here however.
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