# winning trades (CG/ER) : 2/1
# losing trades (CG/ER) : 1/1
CG Return: 43.8%
Hedge (ER) Return: -3.0%
Current Allocation (CG/ER): 75% / 25%
Total Return Month to Date: 32.8%
Okay, it is only Wednesday afternoon, but I am done trading for the week and I’m at a new all time equity high. I’ve again decided to re-hedge my position to 75% Cable Glider and 25% Euro/Cash hedge in order to protect my gains. This week was great in that I only had one trade, which was a winner, and the size of the win was something just about average. This is significant because for the past couple of months, all of the wins have either been very tiny or very large. I’m somewhat hopeful that this represents a return to normalcy, but with the Fed’s announcement of a new coordinated auction market for reserves today and the stock market and currency markets violent reaction, I think that we can easily see that we’re still in a period of high volatility.
I had planned to trade next week and then to take the rest of the year off, but with today’s developments and my current profit position for the month, I am considering shutting down now and coming back after January 1. On one hand, the break would be nice, but on the other, I’d hate to miss out on some gains that I “should” have booked if I’d have just let the system do its thing. So it’s quite likely that I will trade as planned next week…at least I have a few days to relax, study, and think about it.