Lost $75 -- mistake detected

Today, I shorted the Philips CFD index today using poems CFD at STI 2773, but covered at 2782 when STI broke 2780 resistance... Fortunately for me, no brokerage charge as it was my first trade.

As milamberz in CNA forum puts it:

Shorting --> Indefinite losses if you cannot control your cut loss pts. Stocks are meant to create wealth and go up with inflation. Since duno how many eons ago, there is no such thing as deflation anymore. If there is no deflation, stocks can only get more expensive. Hence longing is a more logical choice if you believe in inflation rather then deflation. SAY if you shorted at 1900. Are you sure STI will get back to 1800 for you to cover? Pscyhologically you are at a losing end already.

--> Furthermore, there are finance charges for shorting. This is a killer as it means you cannot hold your shorts for long whereas if you long, you can hold the shares as long as you play within your means

---> Even at such a stage, shorting may mess up your mind as it stops you from going long at certain point. There are risk involved.

My emotional maturity clearly is not sufficient to short. I will need to brush up on this.
Going short is much tougher than going long.

My main mistake here is exactly what I talked about way earlier.... pre-empting the market. Granted, Yahoo charts wasn't working today, so I couldn't check the intra day indicators. However, that's not an excuse.

When trading with Elliott wave patterns, a high probability set up would be to wait for a pattern to be complete before entering the trade. I did not do this. Lesson learned.
Higher probability can be achieved if we couple a complete pattern with trendlines and candlestick patterns.

Going forward, I must remember not to be itchy hand to pre-empt the market..... :(