One Trade at a Time

Discussion in 'Journals' started by Chris_Anonymous, Jun 2, 2011.

  1. Redneck

    Redneck


    Tomorrow end up being day 3.. or day 1

    RN
     
    #121     Jan 30, 2012
  2. RN,

    Yesterday was day 3, and I've proved to myself that I can execute it properly, but it's plain as day now that it needs some changes.

    The more I see the changes it needs, the harder it is to follow it.

    This fact in itself has made me realize that what NoDoji said was right. I need to make changes, compile back-test results similar to the amount she had (3 months or so) and then once I have that, I should be good to go, at least for another round of balls-to-the-walls sim-trading.

    This has been a good test so far, and the same guy who deflated my ego also said I've crossed "the threshold of consistency," meaning I may not be totally consistent in trading, but my mindset is much further than it was before.

    Although I'm not quite there yet, I'm getting glimpses of what is possible.
     
    #122     Jan 31, 2012
  3. Redneck

    Redneck


    Then I will leave you with these thoughts


    Consistent and repetitive application – once you have your plan

    Every morning – place your ego and opinion aside

    If/ should you become confused – always go back and get reacquainted with your plan

    Once you start making real money – do not change your plan.., or the consistent repetitive application thereof – instead increase your size (this is a mistake many make)


    If it is to be – it is up to you


    Successful Journey CA

    RN
     
    #123     Jan 31, 2012
  4. Ignorance is bliss.:D
     
    #124     Jan 31, 2012
  5. Trading Stats for today.

    3 trades so far.

    My first trade was long at 10:17am @ 2539.75. It was on the break of the 10:10 candle. The reason for this trade was that price found support around 2536.50 and as it made it's way up, I anticipated that price would at least head towards higher price levels.
    I exited upon seeing the 10:25am candle close without breaking beyond the price resistance level at 2543.25 for 2.5 points profit.

    I re-entered on the break of the 10:25 candle's high @ 2544.00, to see if price would head towards the next price level at 2546.75. It didn't and in fact I thought a new resistance level had formed at 2545.25, so I stopped and reversed as this would be a proper trading range setup. The SAR occurred at 2542.00.
    My last trade was short at 2542.00 @ 10:38am. As price did not really move in my favor much, I was stopped out at 2544.00.


    As I review these three trades, I am considering that maybe I should have held onto the first trade longer, as eventually it did hit the higher price level at just under 2548.


    I've attached a chart showing trades and entry/exit points.
     
    #125     Feb 10, 2012
  6. Back at Day 1, I'm only working on trading proper execution and form in accordance with my plan. Still trading NQ.

    Took 7 trades. 1 was a trading error and 1 was not following the plan. The other 5 were decent.

    I've started asking myself before entering a trade, "Am I willing to risk this much to find out where price will go?"

    Today I also started to explain to myself what price action reason I was entering on (i.e. Price is rejecting this level and now it's heading up...), and where I thought the next price level was for a reasonable profit target before entering any trade.

    I'm also putting a bunch of effort towards maintaining a mindset of a calm and collected person who is simply watching and following price.

    Anyway, onto the trades.

    Trade 1: Started a bit before 9:30am today. Price was halting around the 2560-ish area and began rising. I entered long at 2562.50 and then was stopped out at 2561.25.

    Trade 2: I stopped and reversed as I thought maybe price was instead heading back down again. If price wasn't heading back up I thought maybe it would be forming a second pull-back in a trend instead. Again, I was stopped out.

    Trade 3: I felt good about taking the third trade based on what I was seeing, not based on how I felt about two losses in a row. Since price wasn't going down either, it started to go up again. I entered a third time knowing that if I lost a third time, I'd be done for the day. I went long at 2564.00 and set my stop just below the entry bar at 2561.25. I took profits around 2567.00 at what I believed to be the next price level that might find sellers or longs taking profits. It worked, I exited profitably and price did indeed find resistance.

    Trades 4 & 5: First I took a trade NOT according to plan. I had the idea that in order to see if price would approach the next level higher (around 2570ish), I should enter at a price that would allow a very tight stop. I was stopped out and consequently stopped and reversed into a short trade as price then seemed to be going down since it wasn't going up. The latter of the two trades was profitable and price did indeed go down. It was nice reassurance that maybe I can read price to a small extent.

    The 4th and 5th trades got me thinking though:
    1. I felt uncomfortable knowing that I took an improper trade.
    2. I think I might be onto something because I had a tighter stop and the trade was profitable, even though it was an improper trade.
    This led me to a new idea. Getting great trades with the best R:R/tightest stop/lowest risk seems to be done by not waiting for the 5-minute candles to close but rather by anticipating sooner. I know people do this using smaller time-frame charts and it always made sense but I could never own it or make sense of it until now. Is this how rather successful traders have very small losses? And if so, it means that perhaps I need to amend my plan.

    Trade 6: Long at 2562.50. Price found the same support levels as it did around 9:00-9:30 and so I decided to see if price would go up from there. Stop was set below the entry bar at 2560.00. I bumped the stop up to break-even as price hesitated and turned around momentarily.

    Trade 7: This was my trading error. Accidentally left on a profit target sell order from the last trade and it got filled. I immediately cancelled and flattened the order.

    I need to work on sitting on my hands for only the very best setups.
     
    #126     Feb 14, 2012
  7. Stupidity is free.
     
    #127     Feb 14, 2012
  8. Redneck

    Redneck

    CA

    Imo – you need more… and more specific – context on your chart

    Horizontally & Diagonally

    Lines are pretty cheap – use em… just don’t forget to erase the invalid ones – messy charts are no good either

    RN
     
    #128     Feb 15, 2012
  9. RN,

    I am able to see horizontal price levels but the diagonal trend lines are not something I'm used to. I don't know how to draw them properly, but I hear it's all about the 45 degree angle and that it's from one price pivot to the next. I also see successful traders with BUNCHES of lines all over their charts, so it doesn't yet make too much sense as to which lines are valid and which aren't.

    I've attached a chart to show what I mean. I'm watching NQ so that's what I posted. The stock equivalent is the symbol NDX. Could you help break this down for me?
     
    #129     Feb 28, 2012
  10. Here's another example of a chart, this time a bit trendier.
     
    #130     Feb 28, 2012