I just finished updating the System Tracker and realized that I had shown some systems as still long when they were in fact now in neutral. Unfortunately, I have been under a great deal of stress lately due to my wife's health and business obligations. However, I will do my best to keep it current. I am working on developing a new system based on Bill William's "Trading Chaos".
The systems I have presented are for educational purposes only, but it is my hope that you will be able to use the information for your benefit. In particular, I believe that they demonstrate that above average returns can be achieved without resorting to extreme levels of margin or frenzied trading.
Currently, I am working on rooting out the last vestiges of my one remaining bad habit: the tendency to overtrade by taking on too many positions. It has been a while since this one has reared its ugly head, but recently the number of great setups seduced me into exceeding my limits on the number of positions. As I exit the current positions at profit targets or by trailing stops, I will return to my trading plan. I think that one must always be on guard not to let the demons in whether by the front door or the back.
One benefit of writing this blog is that it has helped me maintain a much higher level of integrity in my trading. This is often a difficult thing to do when one is working independently. The probability of self deception is very great, and we must work to be brutally honest with ourselves to prevent destructive trading habits from creeping in.
This can happen to the most successful and talented of traders. Jesse Livermore comes to mind as an example. So I recommend that you take time to evaluate whether or not you are trading your plan on a regular basis.
See my response in the comment section.