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Tuesday, February 14, 2006

The Dow jumped 136 points on good volume. Advance/declines were 2 to 1 positive. My puts got stopped out for a 50% loss. I kinda knew that was coming yesterday. My inertia killed me. I should have been up early today to sell them. I also had opportunities to buy calls and did not. I would have been prepared for a move either way and I wasn't. I was lazy and although I was up early, I just went back to sleep. I wasn't up to the challenge of trading. It is my own fault. I probably should just sit it out for the rest of the week but I'm thinking f getting some puts again if we stall out here. New Fedspeak tomorrow and that could be interesting. Gold didn't do much and the XAU is still away from the weekly uptrend line. When it gets there, I'm getting long. Could take a while since the sell-off has been severe. But I think longer term it's a viable trade. My ineptitude has really killed my performance so far this year. Each trade I've entered was profitable at some point, yet I'm stuck with 3 out of 4 being losers. My trading tactics have been lame. I need to see what is going on for what it is, not what I'd like it to be. It is always easy to look back and say I should have done this or that. I'll recover and trade on though. I'm not believing this is the start of some big rally. I could be wrong but the advance/declines have been pathetic throughout the recent trading action. We have really been rangebound and only the Dow is near a breakout through the top. Sometimes, like I've said before, the Dow will lead but it isn't a strong leadership. Anyway there are 3 days before expiration and I might have to try something else. Inflation data on Friday. Maybe a play on that. But also just sitting it out might work too. There might be a sell signal after tomorrow though. Tough to move on after a bad, losing trade but it has to be done. Mentally I'm actually not feeling too bad except for my inaction this morning. Lazy doesn't cut it in any line of work...

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