February has been a masterclass in patience and risk management for our ES E-Mini S&P 500 strategy. We closed out the month with 17 total trades, navigating a landscape that shifted from tight intraday ranges to sudden, sharp expansions.
The month started strong on February 5th, when a well-timed short position captured a massive 83.25-point move (full details). This single trade served as the cornerstone of our monthly performance, highlighting the importance of "letting winners run" when the market trend aligns. However, the market wasn't always so generous. We faced a series of choppy sessions in the middle of the month, particularly between February 11th and 13th, where several long positions were stopped out for minor losses.
One of the most interesting takeaways from this month’s journal was our success in the Short category. While the S&P 500 often has a bullish bias, our short entries on February 5th and 18th were executed with high precision, proving that a balanced approach is vital in a two-sided market.
We wrapped up the final days of February with a mix of results, including a tough 27.5-point loss on the 27th. Trading isn't about being right every time; it's about ensuring your wins outweigh your losses over the long haul. Despite some late-month friction, the massive win earlier in the month kept our equity curve resilient.
Key Monthly Metrics (ES E-Mini)
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Total Trades: 17
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Win Rate: 53% (9 Wins, 7 Losses, 1 Break-even)
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Best Trade: +83.25 Points (Feb 5)
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Worst Trade: -27.50 Points (Feb 27)
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Net Profit/Loss: +73.75 Points
... are there dark clouds on the horizon?
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Is the US going to go to war with Iran and destabilize the Middle East?
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Are all the AI investments going to pay off?
- Are the few companies that pushed major indexes higher going to deliver on their promises?