A paralyzing fear I have and what I do to overcome it

One of the paralyzing fears I have is the fear of failure due to missing information.

It’s especially bad in today’s information super-highway world, where more information than I could ever digest is available. 

How do I make sense of what’s important and what’s not?

Education can only take me so far. It’s good to gather as much info as possible, but at the end of the day I still have to make a decision.

This is especially true for trading the markets.

“Money is attracted to speed,” I’ve heard marketing legend Dan Kennedy say. Thus, if I’m paralyzed from making a trading decision because I’m continually trying to gather all the information possible, then I’m going to be too slow.

mesThe answer?

Get enough info to trade my plan and then just trust my plan.

That’s more or less the main advice from one of my favorite trading coaches. And I’ve seen it play out as true across my trading stats.

Meaning, the trading game for me is to simply find a good plan that works and execute it every time I see a trade idea that fits within it.

Simple.

'Core' producer prices rose the most in 3 years. The reading provides a jolt for investors — and the Fed.

Yahoo Finance

Why it matters …

Well “Grunt!” as my former boss used to say when he heard bad news. The actual numbers from the article are …

“The Producer Price Index (PPI) for July showed inflation for businesses rose 0.9% over the prior month in July, well ahead of the 0.2% increase that was forecast data from the BLS showed Thursday.”

Markets are clearly red with embarrassment from the news! Probably means no rate cut in September as was priced into the market. From a technical perspective, a pullback was looming and this is just the catalyst to make it happen. Today will be a red “kneejerk” to the news. Tomorrow might be interesting to see how deep the pullback goes.

Comments: “Momma told me there would be days like this …” Actually, this could be a great time to roll positions that are slightly in the money for some great premium and wait for folks to return from vacation later this month or next. This system works so well on these sorts of pullbacks. (I rolled one stock out a week for 2.32%! Yes, Momma, we are making lemonade!!)

Looking into next week, I’ve got a great technical setup from my new scan with a nice 1.03% premium into next Friday...