0:00 / 01:06:42
Daily 0-DTE Meeting (2023-07-06 11_04 GMT-4)
Ernie

All right, both are going. How you doing friends? Um, today, well, today is Thursday, July 6th. It is a shortened holiday week. It's about 11 o'clock. And, uh, I'm going to talk about the hard reality of trading and, uh, what it actually takes to be long term profitable and consistent over the long term. Uh, and, uh, I'm in one of those periods that happens about maybe three or four times throughout the year where I start hitting up against, um, you know, six losers in a row.

Might go to 7, 8, 9, and then sometimes I'll have like, uh, it'll be punctuated by a big win. And then another, um, series of losers, maybe four or five. And, uh, that, like I said, that happens to me probably, probably three, maybe four times a year. But on the other side, I also have similar winning streaks too. As a matter of fact, I just got off of a winning streak, uh, where I won seven in a row, and it was, uh, a huge advance.

And, um, there, there is really nothing you can do about it. Uh, if, and my, in my experience, when you try to do something about it, when you try to correct your strategy midstream, it just gets worse. And, uh, and then you start racking your brain thinking something's wrong, but there's nothing wrong there.

There absolutely is nothing wrong. Now, uh, some of you I know aren't in one of those streaks. Some of you are. Uh, and, and that's also immaterial, you know, because everyone is choosing their own trades. They have their own capital requirements and risk requirements, et cetera, and they have their own timing.

Everything can be different. So every person, it's not like we're all going to be going in unison, you know, one person trades this way, the other one will follow that. It doesn't, it doesn't work that way. Never has, never will. Um, but, uh, for whatever reason I've, um, my, you know, my picks haven't been so good for the past.

And, and from my point of view, it is completely random, right? I don't think it has anything to do. Maybe there is some level of decision making and stuff that could be optimized or whatever, and I'll discover that over time. After I've evaluated my, my performance and I can see some correlations, but I'm certainly not going to find it, you know, while in the midst of some streak, whether it's winning or losing.

I mean, I, when I'm in a winning streak, should I be then also evaluating what am I doing wrong to be winning? Because, you know, it's no different. It really isn't. It, it, it's absolutely no different. Or should I say, well now I'm a genius and here I'm a fucking idiot. Uh, again, it's just complete garbage. So anyways, um, one of the, one of my techniques that I do, however, when I'm in a streak, depending on whether it's a losing streak or a winning streak, I do exactly the opposite for one to the other.

I do a similar thing, but the opposite. So when I get into a losing streak, I start creating smaller widths, fewer positions. When I'm in a winning streak, I expand the widths and more positions. Right? You know, go figure. Uh, and, but I don't do it until I'm like near the, once I've sort of established the streak.

So let's say I have four or five winners in a row, then I'll start getting a little bit bigger, maybe slightly bigger widths. I don't go overboard. I always start out small anyways, so I have room to grow and I don't exceed, I typically don't exceed my, um, my maximum position size when I'm in a losing streak.

I do the exact opposite. I, I've already started small, but then I'll get even smaller and then I'll, um, transfer, not only get smaller, but maybe then after I've gotten smaller in terms of width and the number of contracts, I might even go to different types of contracts. Maybe, uh, instead of putting on the ND X, I'll put on the S P X or I'll put the e mini e, s, and B futures, or I'll put e even on the xsp.