Smacking the ER2

Hi,

This is the kick off entry for my new journal and I’ll explain why I’m doing it later:

Background

Intraday ER2 Futures Trader – ER2 clearly the best ‘bang per buck’ contract around – certainly for my edge
I spent 9 months developing a trading plan & charting techniques and have been live since 1/5/05
Self taught (read all TA & psychological books etc)
Don’t use any indicators – just price, volume, and 3 ‘secret weapon’ data feeds
I have an eight page trading plan with supporting risk/reward analysis spreadsheet
I do end of day detailed trading logs & an end of week summary analysis weeks trading
I have the luxury of working part-time in the mornings (in the UK) and have my afternoons free for trading the US market 5 days a week
I have an understanding wife who trusts me to do what is in our collective best interest
I have a reasonable account size – but I have limited myself to 1 contract until I can ‘consistently’ hit the daily targets in the trading plan
I use Esignal (various 1 & 2min charts), IB & Ninja – have a backup broadband service and a full office setup
I am a very positive person and my main driver behind trading is financial independence.
Mark Douglas’s ‘Trading in the Zone’ is my main emotional trading reference.
I’m a typical Jung type INTJ personality…if I didn’t feel I could make a good living trading I wouldn’t be here today.


Anyway….to cut to the chase ….the reason for the Journal

I don’t normally go for chatrooms or forum posting…..however:

1) I have a trading plan and charting techniques that give me a great edge…..but I am the weakest link …….and I need to kick my a**e into gear….my current trading problems are the usual ‘fear’ based hesitation & cutting profits short etc

2) So my plan is to write down each day – the times my signals were triggered and where my entries and exits were and a little trade commentary on my emotions etc

3) I’m afraid it is a selfish attempt to get me to stop ‘fearing being wrong’ – by public humiliation if I wimp out on entries & exits - so let’s see how it goes.

4) I am not selling any services or willing to show the charts/secret weapons – so please don’t ask – this a part of a psychological game I’m playing ….

5) But having said that I also want to put a little bit back for all I have learnt from the WWW


First instalment tonight and boy have I hesitated today !!

 

oooops.


better read douglas again!!!

(dont worry too much - just make sure you dont beat your self up over it. learn & move on)

good luck!!

 

can u please explain your trading plan.. and explain the edge that u have to daytrade the er2?

 

ER2 is pretty weak today relatively speaking.

 

not as bad as Friday...what a mess that was.

 

the best bang for the buck is the DAX then the euro fx or cable - er2 is the best among the u.s. index futures - you may want to consider the dax once you've suceeded with the er2 and quit your morning job all the best.

 

Fader - you're probably right

But my edge only works for US indices - I've tried Forex, but the US indices are just the only place to be.

Fred - its on my bedside table and I do read various chapters at least once a fortnight

Thanks for the early encouragement guys

Cheers

 

Signal UK Time My Entry/My Exit Comment


1 15:02 L None/None Just watched even though it was a no-brainer long

2 15:22 L None/None I had bias for short entry here even my signal said still a no-brainer

3 16:30 S None/None Just pure hesitation ……..finger over sell button etc

4 16:44 L 16:44 / 17:10 Good entry but poor exit – exit signal was 17:44

5 18:20 S None/None Overrode signal – too close to breakout

6 18:32 L None/None I let it go – contrary to what trade plan says

7 18:38 S None/None Realised I should have taken signal 5 now

8 18:50 L 18:53 / 19:00 Entry a bit late – exit not on signal, should have been at 19:04

9 19:05 S None/None Never reverse in time – exit from Signal 8 was entry for 9 – missed it

10 19:34 L 19:34 / 19:52 Ok entry – much prefer it when QM is offline – exit a bit panicky – wanted to hold longer
but exit signal was on next 2 min bar anyway

11 20:02 S None/None Hesitated again – my breakout bias overrode the signal

12 20:10 L None/None Family distraction – not at desk – not going to chase it – could be an expensive distraction !!

20:45 - I never usually trade the last 5 minutes – but I’m finishing up now

3 signals out of 12 taken – 25% - my best to date has been 33% and my worst 10%

Signal 12 was an very expensive distraction indeed !!

Onwards and upwards tomorrow

 

I hate to see a Jung INTJ type go down in flames.

 

FWIW - here is the chart for the signnal/entries(E)/exit(C)