CONFESSION IS GOOD FOR THE SOUL

I did enter the Robbins World Cup contest for the second time this year. For those of you not familiar with this, it is the premier Trading contest that features real money put into real accounts, and the highest percentage return on the money wins. They charge very high commission rates so that does knock the returns down about 10% from what most people would have trading their own account with the same trades.

I have been hesitant to even tell anyone I entered this simply because I have botched this trading account this year. First of all I have just outright forgotten to place some of my trades in this account. I have alot of different trading accounts and this balance is smaller than all the others, so I just forget about it sometimes. My single largest per contract winning trade this year which was in GOLD was not done here. That alone would have added 30% to my tally. Secondly, I have carried a very low risk ratio, so all the metals trades which are my best YTD profits have not been made here. Had they been I would be running away with this thing.

I am trading this was much too low of a risk for a trading contest. The main reason I am even doing this is just to have something independent of my own trading accounts that I can use to raise money should I ever decide to go back into that business. I don't like showing personal account results, because that can get you into trouble. There is a famous trader who was managing money for someone one year and made them a spectacular return. However, that person found out that in his own accounts he had made even more money than he had for her. After she found this out she sued him for the difference and for god sakes won the case.

I do believe the return for one year that he had made her was triple digits, and yet she sued him for more. Let's face it there are just some horrible human beings on this planet. Fortunately for all of us they are in the minority. However, we do have to try and protect ourselves from the bad people. All I really wanted to do was make 100% in this account for the year so it appears I have a good chance of doing that. I could care less where that puts me in the standings, but I think it will keep me on the leaderboard if I do it. You can see the one person made almost his whole annual return in just one month. He obviously is a plunger, so will likely fade away at some point. Some of the others are fellow Larry Williams students, as well as some past winners, so they will likely continue to do well.

If you wish you can track my progress at the Robbins site. I will not look at this again until the end of the year. I am not a scoreboard watcher, and really don't have a shot at winning so there is really no point in babysitting the numbers.

Here is a trade I am sitting on waiting for the right time to take action, the Japanese Yen.

You can see that the momentum oscillators have been diverging for quite awhile here, so that is why I am looking for a short entry here. I have been spanked on markets that are running like this shorting these things prematurely, so I am waiting for the trend line I have drawn in to break. It appears to me that it that were to happen tommorrow, it would be enough for me to take action. There have been a couple of minor entries that could have been taken already that would have lost, so I am glad I have stayed patient here. This market is kind of the flight to quality vehicle along with Bonds right now.

If this short were to develop, it could be a sign of an equities rally. The fact that the SP 500 is holding right here I think is significant. There was a very minor buy signal that could have been taken in the SP 500 this morning. I did not do it but in this world of heavy inter-market correlations, we need to be aware of what is going on around us.

If that minor buy signal sparks a rally, it could mean the sell signal in the Yen has a better shot at winning.