I have this issue wherein I become gun shy after getting a decent profit. Example - I am up $500 or $800 after making some trades during the first hour off the open. I tend to stop trading after hitting this amount for fear of giving it back. Booking a profit and being green is nice, but I realize this is not going to take me to the next level. On the other hand, giving my profits back later on in the day really pisses me off and shatters my confidence. Anyone been through and overcame this problem care to share how he/she did it? Thanks.
Yes.... so I started to scale out of my profitable positions.. this way.. I pay myself when the money is there... I also set my stop to breakeven after I start to scale.. this way.. I pretty much lock in the profitable trade.. -- There really is no right answer but this works best for me.. Actually if i go over my trades I realized that I would be better off never scaling.. but I can never accept that psychologically.. If you are a one lot futures trader.. then ignore my post.... --MIKE
You probably have only one strategy that you feel comfortable with. Once you feel confident trading as comfortably as you do on the open, it will feel the same as the open does now, win or lose. nitro
Trend Fader Thanks for your reply. I do scale in and out of positions (btw - I trade listed stocks in 1000 - 1500 share lots). The problem I am having is initiating a new trade(s) once I have some profit in my hands. I need some person, book, etc. to help me click on that light bulb inside my head and give me confidence to put on more trades when the opportunity arises. But I don't want to overtrade either and end up with nothing or worse.
I would not recommend this for everyone, but I do not look at my account P/L during the day. I use TWS and still see individual stock P/L, but I never look at my account balance until I am done for the day. I used to be too obsessive about protecting early gains and reaching certain dollar amounts. Even though I have an idea of where I am at on the day I no longer focus on exact amounts. Instead I focus only on the trades.
nitro I trade mostly during the first hour, trading individual stocks or pairs based on support/resistance. I do not do Opening Only orders ala Don Bright. Trading S/R gives one plenty of opportunities throughout the day, my problem is being able to pull that trigger more whenever a good set up occurs. Jorge Good point. I will try that this week. Thanks.
Jorge, I do exactly the same thing since it's all mechanical. No quotes except on entry/exit, no Level II, no P&L until the end of the day. My personality is subject to ticks, the quote kind.
Actually.. I dont look at my p&l for an individual trade.. nor the total value of my account intraday... NO P&L of anything intraday... too many psychological distractions... I just focus on the charts... --MIKE
way to go mike! ever since i started focusing longer term intraday, my profit per share has gotten up from a few pennies to 20-40cents and as high as over $1(rare but still happens). Trade your strategy! Do Not trade money!