Adding Cash to Account

In July 2008 I made what I said was going to be my last deposit into my taxable trading account until I broke $100,000.  That week I made an intraday high around $99,300 and then my fall from glory started.  I could have added a little more after that, but my account was falling so fast I felt I should figure out what I was doing wrong before throwing more good money away.  My account balance fell down close to the low $32-33,000 range and then rebounded back up the high $50,000s.  I’m around $53,000 now, depending on the hour.  I sent an ACH transfer/deposit today of $5,000.00 which will hit my account on Monday.

I’ve mentioned that we’ve done some work around the house and kept a better cushion in our checking account for fear of near term job loss for me, but this morning, without my prompting, my wife suggested that we go ahead and invest more.  I’ve been gun-shy about adding to the account, but with her backing I knew I should get back to our plan of growing this account through deposits and hopefully through wise investing too.   I haven’t covered with her how low our account got.  She hasn’t read my blog in a long time and never opens our shared Quicken software.  I’ve told her we’re did worse than the major indices last year, but left it at that.  At least I’m beating all the major indices year to date.  Maybe I’m getting my 2007 skills back again.  Maybe I had a lucky run.

I’ve learned a lot over the past seven months (thanks to those who have commented and sent emails) and expect to trade with more care than I did last year.  The one trade I made this week ended up being the reverse trade of what I should have done, but since I’m hedged I know I don’t have to panic and can wait for the reversal.  I’ll continue to hedge a lot of my positions until I think we’re moving more safely into a bull market.  I tried to open an Izone account through TD Ameritrade this week and was told they are canceling that division and rolling everyone into regular TD Ameritrade accounts.  I know I’m still overpaying for my trades compared to some other brokerages, but will hang tight for a little longer since I’m trying to trade less anyway.