Rev Shark
The market is reacting negatively to a news report that Lewis Libby is saying that President Bush authorized CIA leaks. Those sort of political issues often distract the market and cause shareholder to head for the sidelines. We'll see if the story builds, but it should be all over the news media the next few days, if true.
I've been unhappy with my trading this afternoon. I was hit by a couple of negative surprises, which is just bad luck and part of the game, but it's been some poor decisions on a few trades that has bothered me much more. I'm not losing money, but I'm unhappy with myself and feel I should have been doing better.If I was just managing my own accounts and had a lot of flexibility, I would probably sell down my positions quite a bit and simply reflect on the issues that were bothering me. It's hard to do an objective analysis when you are still holding a lot of positions. However, if you are managing a large amount of funds for others, you don't have that flexibility. You can't just sell $25 million in positions and re-buy them when you feel more comfortable. So I, instead, simply become more cautious and try to protect the downside while I sort out my feelings.
More often than not, I have found that I can get back on track simply by standing aside and clearing my head a little. The natural response is to simply press harder, and I have found that it complicates matters rather than clarifies them. Sometimes you are just out of tune and the best thing you can do is acknowledge it and not fight it. The market is rolling over as I write as the news cited above percolates. Be careful.
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