Luck Be A Lady

Frank Sinatra Was Right

Thanks for following my trials and tribulations with respect to my “trade” in Cocoa this week. One never knows what is going to transpire “movement” wise in anything. All anyone has to work with is their plan and how to execute it. In this instance, let’s face it, I got lucky. Remember, I'd rather be lucky than good and the harder I work the luckier I get.

I'm a long term position trader, a hedger, but I'm always looking for a trade, normally associated with an expected "spike" in what I'm trading. That’s exactly what I looked for and more so waited to happen, Cocoa breaking it’s old, all time high. What I did not expect was the commodity price running another “20%” higher before correcting but that’s what happened. Consider the event added into my “memory bank” just as it should be added into yours.

Last night into this morning, Cocoa finally gave me an opportunity to "average up" and get out of a position. I had the staying power to hold a trade that was started too early this week. That's why I always start with just one contract. Luckily, in this trade, with the additional entries, I ended up with 12 contracts with an average price being about 5,700. As I said, let us pray and that is exactly what I did; just ask the better half.

So after taking in the final 6 contracts around the 6,000 level I stayed up last night. For me, that's more common than not as the European markets are the ones I trade on the most. Then, after a couple hours passed, Cocoa started to come back to reality, if there is such a thing. Like always I used a "stop" oriented plan only this time, with a market moving as quickly as this one was, it was "visual" in nature. In other words, I had to watch it. That’s what I did and it worked. Remember, I had a plan to start with and all I really did was stick to it.

Long story short, given the rapid downside post hitting the 6,000 mark, I was able to close out the Cocoa position slightly above the 5,600 level at a profit of about 100 per contract. Prayer works, eh? This time it did and so did going back to bed to get sleep.

In a way, I was lucky but in reality, I had a “plan”. Always have a plan, it works. My plans come from experience and that is what I attempt to do in these articles. I’m not one to write about what happened during the day or what you should have observed. I firmly believe you should be watching but you don’t need me to tell you what you saw.

I did get the initial part of the first courses ready to launch on Udemy. Now it is up to my “webmaster” to upload the website and we’ll officially be in business. I was able to get the initial dust covered, hardback book printed and sent to me for a “final proof” reading when it arrives but I don’t expect that to happen anytime soon. Why should it, nothing else has happened quickly. In the interim, if you are a paid Substack member and you want an abridged electronic version of “The Ticker’s Bible”, In The Beginning sent to your inbox then send me an email at david@thetickeredu.com and I’ll be happy to send it to you. It’s missing the Glossary and the Index but it’s still good to start with.

Back to work for me folks. I “abide” by the saying that “everything comes to those that wait as long as they work like hell while they are waiting”. Additionally, as this article began, “I’d rather be lucky than good and the harder I work the luckier I get”. Give it a try and trust me, it works.

And now, it is my pleasure to introduce you to a member of the “Rat Pack”, a singer my Mom swooned at several times in her life, always remembering his “blue eyes”. I bring Frank Sinatra to your attention today with his song “Luck Be A Lady” and he was true to his words. I got lucky this week but again, I had a plan and I stuck with it from start to finish. This is not the first time I’ve been lucky and it will not be the last but without a doubt, I learned something new this week. I hope you did as well.