Stop Lost, PCX

Every experience trader knew how important a stop lost point meant to them. A stop lost ensure you to have sufficient capital to fight back your loses, and not let your capital faded with a terrible trade. But in reality, it is very hard to execute it. Let's take an example.
When it fall below neck, which is around 8.40, it is a nice short opportunity. But when you see the stock price drop almost 20% with only 2 days, it is not a good idea to short it anymore, especially market is in intermediate bull trend, so we might wait. And here we miss the chance.
I post the URL for PCX at the top of this post, let's see what happen next.

2009/06/12 CPRT

33.64,34.44,35.24,36.04,36.84,37.64,38.44,39.24,40.04,40.84,41.64,42.44
2009/06/12 Buy 34.45
2009/06/25 10.56pm, Move SL to 34.45.
2009/07/02 9.31pm, SL 34.45.
Result = 0R.

2009/06/12 RIMM

Risk = 0.30
9:35pm Buy 83.80.
9:45pm Sell 83.84
Earn 0.04

Options
Buy 83.80, 85c 4.00
Sell 83.84, 85c 4.00.
Earn = 0.00

Failed set up. Cut lost quickly. Not sure am I able to do this if it is a real trade. When emotion come in, the decision making might lag several minute, which will killed in day trading.

And this is what happen if you do not execute exit plan.
Your heart will be torture by the fear, because at that time, the 85c options already 3.50, which make u lost 0.50. You might choose to hold, but this already violate your initial assumption, at first, you just wanna day trade, now you have no choice but to hold it.
If it rebound, then you a lucky guy, but how if it didn't? Your total portfolio will be hurt by a single trade, which is a very dangerous move. Let's see what happen at the last for today.

2009/06/11 RIMM

83.60, 84.30, 85.00, 85.70
Risk = 0.70
9:35pm Buy 84.30
9:46pm Sell 84.98
Earn 0.68

Options.
Buy RIMM 84.30, 85c 4.45
Sell RIMM 84.98, 85c 4.75
Earn 0.30

2009/06/11 APSG

Gap and Long.
Risk = 0.70
25.20,25.90,26.60,27.30,28.10.
2009/06/11 9:31pm : Long 25.90.
2009/06/11 9:40pm : Move to BE. 25.90.
2009/06/12 : Stop out.
0R.

2009/06/10 RIMM

Failed set up.
83.20,82.90,82.60,82.30,82.00
Risk = 0.30
Short 82.90. It drop to lowest 82.17, then rebound. Buy back on 82.60.

If turn to options.
Short RIMM 82.90, 75p = 1.90
Buy RIMM 82.60, 75p = 1.79.

The serious of decay on options. 75p highest to 2.00, when RIMM 81.17. But all the time it trade below 1.90, even when the price is 30 sens below 82.90. So I bought the 75p at an expensive price.

2009/06/02 RIMM

First time paper day-trade. Let's see what happen.
Risk = 0.61.
81.24, 81.85, 82.46, 83.07, 83.68
9.37pm : Long RIMM 81.85.
9.56pm : Move to break-even.
10.02pm : Move to 1R.
10.11pm : Exit 83.03.
Earn = 1.18

If turn into option. 80c June. When it turn to 81.24, probably 80c will be 5.55.
Risk = 0.50.
9.37pm : Long RIMM 81.85, 80c = 6.05
10.11pm : Exit 83.03, 80c = 6.85.
Earn 0.80.