What makes a successful daytrader? Is it consistent daily wins, or more wins than losses at the end of the month? When is it time to call it quits? I was up 11k this week, only to lose it all and then some shorting today. My year to date profit chart looks like a heart rate chart, some days I'll be up 2k, then lose it the next day. It is rarely consistent wins (I'll say I will be green 50% of the days, coin flip really), but usually, I'll end the month up, but only by like $300 or so. Then there are days like today, where I was up 11k this week by winning 4 days in a row, only to lose all my profits and my own cash today. It's been like this for 2 years, haven't blown up my account yet, but it feels stagnant like I cannot control my outcome. What is frustrating for me is not losing money, but the realization that my dream career may be out of my grasp. That is what hit me the hardest.
Successful traders have good discipline, good risk management at the minimum. If you were up 11k this week to only lose it all and then some...you don't have good discipline and good risk management. In addition, if you've been repetitive in doing such for 2 years...you have a big problem that falls under the umbrella of self-sabotage.
just because I am up 11k on THU doesn't mean I may not lose it all or more on Fri. That's what it is there for. To trade. If you don't want to trade, just take an 11k profit and quit trading for the week? Then what?
The moment you know for certain you have an edge is the time you should quit. As long as you're still gambling please carry on.
You asking a question or Steven asking ? Steven said he's been having this problem for 2 years now. I'm not sure how many more years he can keep repeating those poor trading habits.
This can continue for another 2 years it's all up to Steven now, he can choose to read good advice that have cost many of us 000's to learn or he can continue. Which if he does he is quite thick ! Get into the habit of banking half of your DAILY wins, YES this means slowing things down and thinking about what's really important, keeping money NOT making it. Anyone can make it, but pro's keep it. In fact Steven may have the makings of a real pro unless he stops to actually think about what he need to change. (post trade records AND analysis) "YES kids this does require work", sorry to disappoint you. Well Steven your balls are in your court now. All the best, emotionally it's the toughest game out there.
I guess I don't have a good strategy then. I used to use tight stop losses, but every now and then I let them run a bit since the volatility hits tight stops. So now my losses are a bit more generous like 8% or so for the stocks trading under $10
3 Questions: 1) Do you have a specific, written trading plan? 2) Do you keep a trading journal -- consistently? 3) Do you have a trading coach?
I do have a strategy that is mostly technical related. On some days, I can call the top and bottom perfectly and feels like I am in sync with the stock. On some days I am off due to fake signals, but I win more often than not. It's just that commissions take away all my profits. For the year, I am break-even. A note to this is that I spent 12k on commission this year already. So my system works, just not well enough after getting shafted on commission