Today, is kinda a rough patch. Trading has been a long and painful journey I've evolved; I learned the hard way the need to manage risk. It irks me how I'm not making money even after all these years and after all the things I still need to learn. Just two months ago I thought I finally had it, but today it feels like I'm starting from the very beginning... Need advice
Keep evolving...it's the only way. Obviously something changed recently, because you thought you "finally had it" just two months ago. I agree, market conditions and volatility have made some changes recently: Brexit, summer slowdown, traders coming back from summer vacation, and the unpredictable FED speak are among the reasons. You must adapt to these changes through experience. Continue your risk management so you can survive long enough to get through the "learning curve". It's normal to think you've finally solved the market, but in reality your search must continue...all of us have been there before! The odds are against us, but not impossible. Good luck.
A thought: Have you documented or can you recall any previous setups that worked terribly? Can you recall the specific market conditions that caused the underperformance? I like to reverse such setups with risk management and document for the next time these conditions appear again.This worked for me and now i have a book of setups. Back test as much as possible to confirm. Don't forget self restraint: never make a trade because your bored, want revenge, or because you just "can't" miss out on the price action...gamblers mentality...have self control!
When you think you had it, write it. Write a set of rules. And weeks, months later, read them again when nothing works. Did you apply them religiously? Yes => your rules need to evolve. Analyze what didn't work during the last cycle. Maybe your rules are valid in a bull market, not in a bear. Maybe your rules fit trending markets, not trading range. Maybe your rules are too complex and difficult to apply in volatile markets. Etc. No => discipline problem. Take a break, trade less money but apply your rules religiously. If your rules fit bull markets, trade only bull stocks/sectors/futures. Discipline. You will gain self-respect, self-confidence (and money ). In my case, when everything goes wrong, i reread my rules and 99% of the time, I notice they are still valid. I take time, solve non-trading problems (family, friend, colleagues, health...), trade less and I regain confidence. Common mistake is to think that former rules were false and you want a revolution, change everything. And you can spend your entire life searching for a perfect method which exists only in your dreams. Generally, your rules / methods are still valid and you "only" need to change your mind. Easier said than done. CM
Stop trading. Very simple. Don't be one of the stupid guys who tries to learn trading by losing money over and over again.
Might trading is not suitable for them that in desperation and frustrated, but might if still having interested they can use demo account for learning purposes.
A winner lives at the expense of losers. Why wouldn't you enjoy stupid guys losing money over and over again? This is the game. You don't become a winning trader after few months in front of your screens. It takes years because you need to live and trade different cycles : bull, bear, trading ranges. Everyone is adult and free to choice his own life, winner or loser. Best advice you can give : "Laissez faire". Cornerstone of liberalism. CM
Keep a journal, record all your trades...price, time of entry, nature of setup, result. Review at end of day or week. Mark trades on your charts prior and then compare to actual trades. If this were easy, everybody would be profitable. I know no one who trades for a living who had an easy road...it takes what and how long it takes. Most can't or won't take it and drop out.
Trading is the hardest thing there is. Even the big time winners that may have had a quick pop to the top often go down in flames and have to start all over. Risk management is the core focus for any top trader making consistent large profits over the long haul. Losing is a part of the game - try not to take it to personally. I traded my way up to a 7 digit account over a few years,than gave it all back and had to revisit the poor house before getting it right.
Question, in your stats, what is the worst number of losing trades in points have you done on a profitable days. So let's say on the "mean" of losing points on profitable days is 4 points, on days where you lose 4.25 points or more, you done for the day, this way couple bad days don't do mental or financial harm to your trading.