August 2017 Trading Report

     I know it's already past mid-September, but better late than never...

August 1st: $19.71 Profit

August 2nd: $39.72 Profit

August 9th: $584.24 Loss

August 23rd: $45.71 Profit

August 24th: $37.72 Profit

August 31st: $45.70 Profit

August 31st: $37.19 Profit


Starting August: $8,680.38

Ending August: $8,321.89


Net Loss: $358.49

     So everything was going fine on August 9th. I bought shares of a stock and made a $75 profit in less than 30 seconds. I was about to sell when I suddenly thought, "You know, if it goes up one more cent, I'll make $100." So I decided not to sell, waiting for it to go up that one cent. Instead, the stock tanked. At one point, I was down $1,400. But I held on for 8 days and waited for it to go up to a respectable point before finally selling for the $584 loss. The loss didn't make me angry or annoyed, as I have learned how to take losses. But I'll tell you what did piss me off.

     Obviously, the lesson to be learned from the loss was not to get greedy, right? So I was back at it the very next day looking to make a trade. Instead of looking for Pattern Omega, I started looking for trades that would give me the big gain I need to get back the money I lost. I had to stop myself THREE TIMES from making trades that would have all resulted in big losses. I had just lost money by not following Omega, and there I was the VERY NEXT DAY trying to do the exact same thing! Once I realized what was going on, I stopped trading for a while and regrouped.

     I needed to do two things to be a successful trader:

1) Find a Pattern

     Finding OMEGA was huge for me. It's the perfect pattern, and I found it almost by mistake. Once I figured everything out, trading became so easy. I'm no longer nervous because, when I see it, I can go for it with full confidence that I'll make a profit. The coolest aspect of OMEGA is it shows up the clearest on days when the stock market is down.

2) Control My Losses

     There are times when an Omega pattern can break. Usually, it means that stocks in general are about to take a dive. In that case, I need to avoid the big losses by setting up automatic STOP orders. As soon as the stock drops to a certain point, it would sell automatically. I still have issues with that.

     But now there's a third rule to trading with OMEGA, one that I didn't consider:

3)  Discipline

     When I first thought about real estate, I never factored in the possibilility that I would have trouble finding people to do maintenance work. For me, it wouldn't make sense that someone wouldn't do a job that they advertise themselves for. That same nonsense is the same in stock trading. I never thought, after finding the easiest way to make money, that I would need discipline to stay with it. How crazy is that?! It's like... imagine someone shows me a pool of money. They say that, as long as I only take $40 every time, I'll have access to it forever. The catch is that, should I take more than $40, it would no longer be a guarantee. One would think that I would stick with the $40 since it's so easy, right? But sometimes I don’t. Sometimes I want $50 or $100, but OMEGA doesn’t work that way. It gives a certain amount with each trade, based on the amount of money I’m investing.

     Now that I know I need the discipline to follow a simple and easy way to make money (still sounds crazy to me), I’ll be practicing much of that for September trades and beyond. I decided not to trade unless I read through all my previous trades. So, every morning, once I read through all my trades and look at the Wall Street Breakfast from Seeking Alpha, I can then open my trading platform to make trades. I already started doing that in August after the big loss, and it’s been a huge help. That last day of the month, I made two trades and it felt incredible. In fact, this whole experience of losing $584 was a massive blessing. If I held on to that August 9th trade until the 20th, I would have actually surpassed the 10% goal ($8,800). But I don’t want to make it that way. I would have had a false sense of security, a belief that I can do whatever I want and I’ll somehow make money. With that mentality, I would have started trading with $25,000 and ended up losing even more than I did in Round 1.

     OMEGA is… awesome. It’s easy money, but only if I can control my greed. My brother once told me that the stock market forces every trader to confront their weaknesses. Whatever my weakness is, I have to overcome it. I never thought I would find something like OMEGA, an incredible pattern that can make me tons of money. Once I hit 10% the RIGHT WAY, I can comfortably add funds and start trading for the big money. September begins my march back to 10%, with renewed confidence and better discipline.

P.S.: I’ll combine the Food Reports for both August and September for next month. That trip to NYC really threw off my timing this month.