When I mentioned yesterday that I went short the SP 500 here is the trade I did. Short entry was 1053.75 and exit was 1043.
Why in the world did I exit so fast? Trading is a thinking man's game and you have to react to what happens. Yesterday was quarterly end, so my logic was that when we got the quick sell program move down, the institutions would do everything they could to rally the market to preserve what was a great qtr for them. They did not want a 400 spot layed on them in the Dow.
I got a bit lucky on the exit, it was somewhat of a guess. I did not expect to see it move down that sharply and had intended to hold this trade when I entered. However, when that sell program just crushed the price that quickly, I "knew" a reaction of some type was likely.
I did re-enter a short position in the SH when the SP 500 bounced back up to 1058 toward the end of the day, which is a position I plan on holding for a bit.
Sometimes you have to take what the market gives you regardless of what your plans were entering into something.