Missed My Stop

A funny thing happened yesterday.  I was reviewing my positions, and my system told me I was stopped out of GME with a loss of 0.4%.  “Oh, no I am not,” I replied, “I am still in it, and it’s still green.”  The position had looked good all day, and I was surprised to see that tail reaching down to $52.71.

GME Chart2Sure enough, if my system had been trading automatically, it would have taken the loss.  I don’t use hard stops, though.  I have a soft stop, which is a number written on my daily sheet.  It relies on human intervention (me) to push the button.  You can see why I missed the stop.  Here it is, in two-minute bars:

GME Chart1That sudden dip lasted a few seconds, the result of stop-hunting robots.  If you don’t believe me about the robots, consult Eric Hunsader.  They have burned me before, but not today.  Score one for the humans.

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