DRC February 7, 2024 (0 Edge but I still traded....why?)

Lesson/Review

VOLD ADD: Down 
Ag + Weight: Up
= 0 edge whatsoever under any and all circumstances. 


So the short in the morning is really where the trouble began. I shouldve known that on big PM range days especially to the upside, its so common for VOLD ADD to fakeout the entire market and trick me into shorting meanwhile the whole move was supposed to be long anyways. I shouldve known better to just take my profits then rebuy once Weight was not budging to go any lower at all. All in all it was just an ugly day of trading and I somewhat dismissed my entire strategy because I decided to trade it. The first trade was alright but in the future when we have large PM range and the market pulls back at open its best to be very very patient going for anything against the PM trend without extreme confirmation which is all 4/4 lower, not 3/4, not 2/4, not 1/4. 4/4 only and even then its still not the best chances of winning if you are going against the PM trend. Ill define a large PM trend as half of the ATR which would be about 25 points and today we were up about that right at the open so it makes sense to avoid these days when trying to flip trend. Its even more emphasized today because we approached 5000 for the first time in the history of the SPY. 

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