I spoke in the Simpler Options trade room on Monday morning about the possibility of very difficult, corrective type garbage trading this week. Bonds were falling and the indices were going down too. This was all happening between 7:20 am and 8:00 am Central Time. Wall Street had not officially opened, but with correlations breaking down already, I made a decision to not trade. In other words, when things don’t make sense, I don’t trade. John Carter calls it Hurry Up and Wait.

I read to the room my favorite paragraph ever written on trading. Basically, you must wait for a trade. You cannot trade for the sake of it. “Trading is not entertainment.” As Jesse famously said, “The market does not beat them. They beat themselves, because though they have brains, they cannot sit tight.”

I spoke in the trade room about this being a short week. The markets are closed on Good Friday and in Europe the markets are closed on Friday and Monday. This is no time to be trading like a crazed fool.

I spoke to John Carter later Monday morning about garbage trade and how I wish I could teach a class on knowing when to walk away and as the song says, “Knowing when to run.” John Carter told me he was in Hurry Up and Wait mode. I agreed.

Between John and I, we have close to 70 years or market experience, and both of us on Monday did not trade. Both of us know Friday is a holiday and if we do trade this holiday-shortened week, all of our positions will be small.

This is one of the greatest lessons you can ever learn in trading. Knowing when to walk away. Knowing when to run.

I put the hammer down two weeks ago and creamed the market. I have been playing “Hurry Up and Wait” ever since. Please remember; making money is the easy part…KEEPING IT IS THE GAME.

See more of Tony LaPorta’s market analysis, commentary, & trade setups on Simpler Futures.