Late last night this morning, I have been thinking about my trading. Most of the time I am following my trading plan (90%). Nearly every trade I have followed my risk parameters(99%). I always have my biggest losses when I do not follow the plan to the letter. Either the trade is bad or the risk is too big. The other item is too many times I cut the trade off way way way too soon not giving it time to work. This prevents losses but also prevents decent profits and I mean decent profits.
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I have received at couple of life wake up calls this week that I got to be more discipline in my trading both from the plan side and taking risk side if I am ever going to get my chance to do this full time.
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I want a chance at my dream.
I think picking the right share size is important. If I go in with a big share size I get shaken out easily, and have to constantly watch the stock. Smaller size allows you to have wider stops, giving you more wiggle room.
ReplyDeleteI agree with OBAT. With the stars finally aligning I jumped on the TWM's. Due to the large position (versus my usual) I kept the trailing stops at a generous 50 cents. Not nearly enough. Got stopped out several times after nice runups. What should have been a banner day turned into an average day. Good news, I honored my rules and my stops.
ReplyDeleteBill