Last few months we have seen some serious declines in base metals and emerging markets. Base metals like copper and aluminium which are direct reads on global growth outlook are down 20-25%. Emerging market equities have also seen similar declines along with their currencies hitting all time lows against the US dollar.

When we enter new trades, we are eager to be proven right on our calls. We believe we are right in our reading of the underlying trend or chart set up or valuation assessment and wait for confirmation from market over time. But being eager to be proven right, what happens when trades don’t go as we expected.