New Rules for February and Beyond

After the debarcle that occurred in January with the MA trade (one trade in one month essentially) and the significant losses made last year on holding stocks overnight, my new, very firm rule is not to hold positions overnight - except options. This will prevent me from using the "I'll hold overnight" to justify a losing trade.

In general I have NEVER lost money scalping my basket stocks. I have only ever lost money by trading something I've never traded before out of boredom or spontaneity OR by holding overnight.

Rules:

1) No holding Equity Positions overnight (Options are for overnight swing trades ONLY)
2) Don't momentum scalp oversold/overbought situations and don't "double down" those positions
3) Only buy options on down days (preferably consecutively down) when the stock is overbought/sold in multiple timeframes and only in the last hours of trading (sell options into a rally if possible)
4) Don't hold losers for more than a few minutes
5) Hold winners longer in the right climate
6) Don't trade against reversals! (reaffirming (2))
7) Take a break after a big loser/multiple winners
8) ONLY trade my basket stocks EXCEPT on earnings breakouts or breakdowns

I will add more when I think of them!