I know most of the books and you will say long time chop is sideways and can go either direction, but I am horrible at trading both sides unless I have rules for the trade am doing, I find the S/R trades are best after an extended move, but stats won't let me to forgo S/R with trend, same with H&S patterns, the BB failures are always counter-trend and for me supersede all other trades for number of bars. But I always have strict rule there is a trend of one direction and can take counter-trend trades. I am just not much of trend trader cause losing percentages/or not fulfilled enough to go to second target. What many traders don't take into account, if you lost near one's limit, you have also lost TIME and best trades often in first third of the day, so to make up the losses, one would have to make it up in the worst parts of the day session where there is less volume and momentum pushes.
YK, Some of my thoughts based on real experiences, in no particular order - if you take something of vale then good for you, if not, so what. Every trade is a loser - I must accept this before I put on a trade. If I start wishing and hoping then I am just going to become one of the many fools out there. I MUST have identified my loss exit price for each trade, and how much it is going to cost me (acceptable % risk of trading capital) to see if I can win some money. I should have a profit exit price identified should the trade make money, but I may change this value depending on market conditions - a limit order to lock in profits. If I trade the larger time frames then I need larger stops - no sense in me trying to think I can beat those who have billions behind them and can handle large draw-downs. If I keep losing on most of my trades (over a certain time period that I choose) then I need to look at changing something - if I keep doing the same thing then I will just get the same results. Indicators are derived from the underlying price - so best I understand what the price movements may mean, and not fool myself into thinking that a certain indicator is going to reveal where price is going to go next. It is my hard earned money I am risking, so I need to make sure that I do not listen too seriously to other people who may cause me to lose more of my risk money than I had initially set aside for trading - no matter what they might think they know. There is always room for improvement in what I am doing - to improve I must first recognize what is wrong and then address the root cause of my problem/s. Trading is a fools game - all I need to do is be a little bit smarter than the other fools out there and I will be ok. J_S
Hey Ubo I didn't not respond back to KP - as continuing the conservation would not have been germane to what he was discussing at that time - and he's on a good roll I'll ask him - and if he agrees - I'll respond there it not..., Maybe YK will say yes..., but this journal is really about psychology Other options; I can PM you my thoughts.., or I'll create a thread in chit chat and respond there No matter - I'll share my thinking with Ya Sir It'll be tomorrow - about ready to leave for a wedding (NOT MY OWN :eek: ) RN
@Redneck , you just feel free to share anything you like in here! It is all really valuable. If there is a part to tie it all in with psychology, then that is helpful too. Thanks YK
Weekend update - Today is the first day off I have had in about three weeks. What was a simple surgery for my business partner, turned into blot clots, allergic reactions to medicine and was suddenly pretty complicated... he is out of commission for a while. I'm the kind of guy that has always worked harder, longer, smarter, or pushed my limits until I got something done. That is fine in the business world, when a crisis demands you step up... however, looking back over the last two weeks that is exactly what I tried to do in trading. And that won't work in trading... you can't push your limits... you can't try to "make it happen"... the market doesn't respect any of that. Yet considering stopping trading for a week feels like a failure, like a setback... What am I supposed to do with my mornings, my routine? Still wake up like clockwork with no alarm at 5:23 am... then what? Shouldn't I be pushing myself to follow my trading plan perfectly without any deviation, even in a tired, stressed out state? Or is it more of a triumph, more the right thing to do, to just pause... stop trading for a bit.... relax, no pressure.... and then pick it up again when life is a bit more normal? What would a professional trader do..... My morning musing as I catch up on my journal. YK
The professional trader you want to become has a state of mind that is consistent. This comsistency is built of very simple beliefs about the market. These beliefs need to be adopted, and they need become a fully functioning part of you. If you TRULY believed that Anything Can Happen, or that Every tick/moment is unique, you wouldn't have to "push your limits", you wouldn't have to "strive for discipline". It would be who you are. When you truly believe something, you couldn't think of acting any other way. Your beliefs align and your behavior proves it. Your fears--faulty beliefs---are in direct conflict with Consistency. All this to say, instead of fighting, pushing, stressing...have you considered your beliefs in market--specifically beliefs about losing, being wrong, missing a move, leaving money on the table----to be in conflict? -JS
You know good and well what a pro would do Real question is; what are you going to do -> be a pro..., or revert back to old habits Mkt will be there..., when you are ready RN