Actually averaging can be adding to a winner as well to a loser. I really have no idea how you trade, but larger max share size certainly allows more room to work either strategy, one being counter-trend and the other with-trend, but both being very effective if managed properly. I have to agree that larger size makes you more patient and disciplined. There are rare times when I will trade significantly larger size than normal, but it's on a very specific setup, my timing has to be perfect (I absolutely won't chase entry if the exact entry price is missed), and my stops are insanely tight. When these work, they really work well; when they don't work the loss is minimal. I've yet to have one fail, because the patience in waiting for the setup and the sniper-like method I have of entering make it extremely high probability. I, too, found earlier trades to be the best and sometimes I won't take a trade despite a valid setup/signal simply because it's later in the day, when textbook setups have a greater tendency to fail. Congrats on a great week!
Later trades are mostly dominated by day traders emotionally forced to close out their open losing positions and many setups do not work, especially counter-trends.
I am also extra wary of the afternoon session; when one considers where intraday "noise" comes from in terms of say a daily time frame, it's usually the afternoon into the close that is most deceptive, with the open being a close second.
And/ or spent less time in a position(s) â equating to less risk of the trade(s) tuning and going red RN
P/L for week 7/9: -12k on 100k shares traded +5, -3, -2, -12 Traded from home for a couple days, then got whacked adding into a loser on friday for a 12k loss on a single position. Such is the risk of larger position size when discipline is not one of my strong suits. The lesson learned here this week: have the intention of trading larger size from the trade's inception -- given setup, timing, liquidity, volatility, and perhaps most importantly, profitability of your initial entry. Never add size as an afterthought or just to improve cost basis.
Hi illiquid, Perhaps you can tatto "discipline" on your wrist.. the chinese calligraphy of the word "discipline" or any symbols can look pretty cool and will always remind you to be "Discipline"! Take care & Good Luck!
Like RN said once before, you have to WANT to be disciplined, nothing can force you to do it. I'm still at a place where doing the right thing is hard at times. My instinct for protecting my equity just isn't automatic like it should be, whereas I'll take to risk like a duck takes to water. And here's a confession I'll make that may freak some of you out -- the days that I DO do all the right things, especially if its several sessions consecutively, I start to feel . . . nausea. Headaches etc. Strange right? It's been that way for years and as long as I can remember trading. Maybe I need to get back on the headshrinker's couch lol.