12:45pm CDT - Revamped the trade plan to focus on slower timeframe charts, fewer trades (2-3 per day per symbol), and wider stops. Of course the market laughs at my plan on the first day trading it. And the 4th trade, which I did not take, went over $2500 in the money. What do they say, without bad luck I'd have no luck at all?
| RESULTS FOR DAY |
|---|
| NQ Contracts: | 15 |
| Net $P/L: |
-2089 |
| Wins: |
0 |
| Losses: |
3 |
| Win%: | 0 |
| Avg$Win: |
0 |
| Avg$Loss: |
-696 |
Weekend thoughts: This graphic spoke to me when I saw it. "You're going to have to sell" doesn't really apply but the rest are spot on when it comes to trading imho. I really like "Don't have a backup plan!" :)
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8 Things Successful People Traders Do and Why They Work **
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Having no back up plan, doesn't it violate one of the fundamental aspects of trading which is managing risk, pre-defining your risk level etc.
ReplyDeleteI read this as having a backup plan if trading doesn't work out. Like having another job or career path. I like the "balls to the wall" mentality of being fully committed with a singular focus.
ReplyDeleteHmm, I think replacing "having to sell" with "You must use risk adjusted stops" works for the trader ethos. It's something we are biased against due to whipsaws and egos telling us otherwise.
ReplyDeleteI think it's okay to have a backup plan, as long as it something you don't really want to do. That way you have a failsafe, but since it's an undesirable one, you will find it also serving as a trading motivator to keep from having to take that path- giving you both a carrot and a stick.
@MBA, I understood that but isn't it interesting what is considered a complete no-no in trading might be considered a good strategy for success in life. I think it is okay to start off with no plan, but one has to put the trader hat on after a while and say time to cut losses if it is not working out.
ReplyDeleteLoved the info graphic, contained a lot of great points. My favorite point in the info graphic was about avoiding the competition. In my experience, I can not compete in a choppy market, so I have developed a habit to stay away from it.
ReplyDeleteAs for a backup plan, a safety net does provide a since of fearlessness and self confidence that is needed when trading. Nothing to fall back on when you are a bread winner for a family does not make for good trading psychology imho.
That's the take away point though, don't have anything to fall back on so that you are "forced" to succeed. It's just an analogy in the end however...
DeleteMBA.
ReplyDeleteI understand how frustrated you are now. I'm sorry.
I don't know what your strategy is. It seems to me that you need to put the risk on the top of the trading. If day-trading is not working well, change it to the swing-trading or focus on something else for a while.
I had one day loss over $30K back in 2008. I have reminded myself that I don't want to be that situation again since then. I'v focused on not losing money or losing less for the last 3 years. It works for me.
Good luck!
Judy
Thanks for comment Judy. I'm not as frustrated as you might think. Sure there are days...
DeleteMBA and I are following a plan by Hernán Cortés , who ordered his men to destroy their ships, so that they would have to conquer the country or be killed."Burn The Boats!"
ReplyDeleteScrew a backup plan, it's do or die!
:-)
Exactly! :D
Delete