I want to start a discussion about watching price action after you were out of a trade. This happens to me whether I make a profit or loss. I seem to look back afterwards and of course think “I could have made so much more” can anyone else relate with this?
That's part of the process of attaining performance metrics. Rarely does anyone last in this business or improve results without it.
This is what enabled me to "perfect" my system, the parameters of which have not changed in the last month or two (only slight variations in the way I apply them). Comparing what my indicators suggested would happen next to what actually took place enabled me to modify and adjust the measures I use until everything finally reached the point where what my indicators forecast IS what actually takes place. So now, there is little question about when to enter and exit positions and virtually no regrets about getting out too early or too late. (The only indicators I use are moving averages and moving average envelopes, so the way I interpret price action is in relation to these two varieties of tools.)
Firstly and more importantly, debriefing (as I call it) also works in reverse... my analysis was near perfect!! Near perfect applies to both profitable and losing trades without emotion. Once a trade is closed, the only thing in your mind should concern the next trade. Making unqualified "adjustments" or worse, "changes" during your trading hours/day is a sure way towards a false confirmation situation. Debriefing occurs AFTER the trading day is done.
I never look back if I followed my plan. If for some reason I deviated from the plan then I will check back too see what happened.
Where deaddog is coming from sounds like a great position to be in, but before I could sort of get there, I had to arrive at a comprehensive system (plan) with which I was totally satisfied and in which I had 100% confidence. At that point, there suddenly was little need to look back.
This depends on duration of positive, negative and most importantly where the trade happened within the average up or down trend STATS. So many traders do not do proper backtesting and large enough sample size. Our eyes often lie to us unless we have well defined stats.
I was kind of a lazy trader for awhile after getting through an illness. (still emerging from it but feeling much better) Then I read something from one of my ET old timer friends who said "The risk of getting out too early is greater than the initial risk". I thought "Oh yeah, now I remember". Now I use a systematic process for getting out of profitable trades. You just don't know how far they are going to go.
%% Sure\ except its almost never ''a trade'' Its a whole series of trends of trades. or investments. So if you meant what you wrote '' i could have made so much more, on a trade'' Frankly , that's not likely to help you on one trade @ all, or many trades....................................... An exception /if you were not hardly beating a benchmark @ all; change it .