Trying to keep from killing myself over the stupidity
Still can't believe it. Shorted those March 34 calls and got stopped out with an incredible 20% loss of my account. If I had simply held to the end of the week I would be at break even on them from the time decay.
Now I'm shell shocked and cannot bring myself to make another trade. Just kicking myself in the head. Keep trying to tell myself:
1) There's nothing to be done about it now. As devastating as it was it happened.
2) Could have been worse. If this went to 30 I could have lost almost my whole account.
3) Millions of people have worse problems every day including physical ailments, etc. Small potatoes in comparison. But still, disgusted, and not sure I'll ever make the loss back.
sosa--You can get it back if you are patient. Never take on virtually unlimited risk. If you want to short VXX, either short a manageable number of shares so a margin call is highly unlikely, or buy puts so your risk is limited. I usually buy in the money puts a couple months out, and even though there is a significant premium, it works a high percentage of the time. But wait for a sharp move higher for VXX before starting a position, or start with a partial position. I think there is a fair chance shorts get a better entry point this week, but nothing like the $30 some longs are hoping for. If we see $26 for VXX, I will start another partial short position and add gradually if VXX continues higher. I can't tell you how many times I have bought puts, regretted getting in too soon the next day, and then become profitable within a few days at most. Since there is no guarantee things will always continue, I don't buy more puts than I can afford to lose. Good luck.
You really didn't expect a major market correction as it approached all time high levels? The volume on VXX is starting to spike huge someone knows something and Obama is an incredible market predictor (called the bottom to the day back in 2009) and he is out there blaming republicans the problems the sequester has yet to cause.. This MAY be the mother of all double/triple tops and take a long time to recover.
No offense, but if you lost 20% of your account in a week you should just stop now. I'm guessing you shorted at 21 and got forced out around 27- i.e. nailed almost the exact low and the exact high. That's so perfectly imperfect you obviously should just quit while you're behind.
OK I'll try to make you feel better. Even in a raging bull market his is nowhere near the worst I have seen. Go check out the AAPL and LPH boards. There are people who have lost literally 100% of their capital. One of the saddest I've seen is a guy who loaded up LPH around 75 cents with all his money. Then when it got over $2 he added to the position on margin. It's currently halted and if it opens under 40 cents as is likely he has 100% loss of everything. I mean everything. Still think 20% is so bad?