Short term Trader...Long term 401k

I wish I could trade my 401k the same way that I trade my retail account. Unfortuntly with a 401k, because it is a retirment account you are restricted in what kind of trading can take place in the account. But lay on top of that the limited options that you get at certian companies, like mine and you have a bit of a predicament. But you have to make due with the choices that you have. So I try to actively manage this thing as best I can. I only can invest in mutual funds and a money market. So I try to make my allocations wisely. YTD I am doing pretty good, up about 11%. But I am starting to formulate my plan in the event that the market takes a dump. I am watching the 8000 level on the dow, if this level is breached I will liquidate and move everything to money market until I see another bottom in place. If it stays above 8000 I will stay the course.

Not sure if you guys have retirment accounts or not, but if you do please share how you manage them. As in any style of trading, goal number one is capital preservation and I think this is especially true in a retirment account. I just can buy into the whole buy and hold mentality, because the long run is so far away and so much can happen between now and then.

This market has reminded me more and more why I have such a short term bias on stocks. I don't like to hold risk for long periods of time. I think that is what really draws me to day trading with SMB. I like the idea have being flat at the end of the day.

Let me know what you guys think.