Game Over Loss

Do you guys have a maximum loss for one day? When you hit your maximum loss, you stop trading no matter what.

I had my biggest loss by day trading es this Friday, had several chances to get out even or with small loss, but silly me somehow it ended up with my biggest loss ever. I still don't know how to think about it, I'm not sure if I can get my shattered confidence back.

The most frustrating part is that I broke many of my rules, it didn't feel like it's me who was trading. I didn't even dare to trade es within the regular trading hours before Friday, but I traded up to 5 contacts until close this time, I didn't stop until my order was rejected by IB due to margin balance. Most of my trades were long positions. Gosh, what a disaster!

 

Yes, you have to have some rules to trade by and follow them, including when to exit a trade.

 

Sorry to hear that.

I don't intraday day trade, but if my trade is stopped out--that's it for the day.

I don't think your confidence should suffer due to your lack of discipline. If you followed all of your rules, and had this result, then your confidence should shatter. But, your system might be fine--if you stop interfering with it.

I would probably become more motivated to follow my rules...and look forward to trading out of the hole I dug.

HTH

 

How much did you lose dollar wise or % account wise

That's just the nature of the game -- for every point, there can be just an equally right counterpoint.
Half the battle is trade management. Trading is foresight, wits, smarts, balls, , art, science, some luck too. -- everyday, it's a new alchemy composition mix thereof.

 

$1700 (%6), too much for my small account.

It's exactly one month since the first day I traded es on May 11, 23 trading days, the break down P/L:

-$1,136
-$569
$510
$185
-$49
$330
$426
$197
$375
-$25
$151
$293
$234
$193
-$295
$348
$110
$352
$195
$172
$156
$93
-$1,726

After the second day I swore not to touch es again, but I couldn't help trading again the next day.

 

I think still good if we willing to making evaluation trades, and recoginized all mistake that commited, if likely our mistake because often break and violating rules hence we can learn from it and trained to keep discipline with rules

 

Who do you think you were then?

 

Someone who lost his mind.

 

I define my worst exit price before to take a trade. Then manage to get out at a better price if the trade goes bad. If I can't get a better price then I take the "worst" one cause I know there's always worse. You could leverage down to set a looser worst exit price. If it doesn't look like a bad trade then you leverage up on the fly and tighten your stop.

6% is fine but not if your max Win is 3%.
Keep loss small and profit unbounded.
If you gamble with your losses ...
Start to dig your grave bro'

 

I agree. I target a 3:1 ratio. If my target gain is 6%, I set a 2% loss to cover. You have to expect to be wrong a lot.

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