Your Trading Day.

As I contemplate giving up my day job and start trading full time, I would be interested to hear from other members on their experiences of making the transition and also a brief outline of their TRADING DAY at home.

Thank you in anticipation.

Nick

Hi

my day is currently like this -

0800 - 1600 = trading

0615 = time to wake up and go for 1-2 mile walk to wake me up and get the blood flowing before an inactive day sat at a desk. Failure to do this can leave me feeling tired throughout the day.

0700 = breakfast.

0730-0740 = turn computer on, look at charts, identify things on my chart such as potential areas of support and resistance that may come into play today.

1130-1230 = quick lunch on the job.

1600 = review the days trading in my trading diary

1615 = switch off computer.

0700 - 10.00 Up and turn on PC. Check previous night's closes, do my analysis and put in any orders that are required. At any time I'm usually running a trial of a new system or method alongside my real money accounts, so will spend whatever time necessary to check up on those. Maybe do a bit of general admin and check on here while waiting for LIFFE commodity markets to open if I have any trades to place there.

10.00 - 11.30 Go for a bike ride, or walk if the weather's bad. As JTrader says you need to make effort to keep fit as otherwise you get no daily exercise.

11.30 - 13.30 A couple of hours for other stuff, maybe work on backtesting new ideas, methods, etc.

13.30 - 17.00 Keep an eye on US economic releases and market openings while doing other stuff, either unrelated to trading, or more back-testing, thinking, reading, etc. Finish for family tea.

19.15 - Quick check of US commodity market closings while kids in bath.

Bedtime - Quick check of positions before lights out.

Repeat ad-infinitum.

Obviously this is position trading - very different to someone who has to watch the charts permanently for day-trading opportunities - have tried that and found it enormously difficult to stay interested / focused even with alarms set, etc. Also the hours I do and the way I work is based around the particular markets I trade and their hours.

Things to watch when making the move:

Exercise is really important, otherwise the temptation is to walk from your bedroom to your home-office, sit down for 12 hours, and basically lose the use of your legs. At least going to work involves some kind of walk at either end....

Trading is a pretty lonely profession and you need to make sure you keep in touch with other people to avoid becoming reclusive! Again, work brings an automatic social life, even if it's just a chat round the coffee machine and a quick beer after work. You have to plan your social life a bit more carefully to make sure it happens, because you don't just bump into people on a daily basis.

Discipline - set hours for a trading day and stick to them. I found initially that the temptation was to work for 24 hours a day, but you have to remind yourself that it's not necessary or very productive. Having kids helps, because their tea-time is a good time to stop. Even if I'm in the middle of an interesting bit of research, it'll be put aside for the next day, not picked up again afterwards.

Do something to get your head out of the desk and the house and remind yourself that you're part of a community. Volunteer to sit on the board of a local charity, become a school governor, etc. Not only do you feel you're giving something back, but working as part of a team you get to use the social and teamwork skills you don't use when trading.

My Day

Hi,

0600 Get Up
0610 Quiet Time Downstairs For Meditation and Yoga
0650 PC On, Charts On, Trading App On
0700-0900 Trading Cable Morning Session

0900-1600 My Day Varies - depends on which news announcements are scheduled for which times, predominantly more free time in the morning unless a UK 0930/1000 announcement. So fill my time with a swim/gym session, walk the dog, feed the kids lunch, do some shopping etc around any news.

Sometimes a later trading session if there are any US announcments at 1700/1900.

Thats it, structured around the trades of the day, it may not be the most idyllic lifestyle, but the most important thing is that the time IS MINE TO DO AS I PLEASE, and not dictated by some twat of a boss.

Dave

Hi

as Jack points out, do not underestimate the solitary nature of trading, and if you do give trading a go, you have to make an effort to become more active, as otherwise you become lazy and its easy to stay in the house from 1600 until the next day.

Trading is very solitary, and requires a lot of discipline and effort to manage yourself effectively. The good thing about a job is that your boss can do this for you (even if you don't like them)!

Besides daily pre-work walks, which I class as an integral part of my working day, I've also joined a gym which I go to 3-4 times a week, which is good as it helps keep fit, and being around people in a social setting helps me feel part of the human race. I also play sport twice a week.

If and when you trading activities do start to become successful, you may feel able to do the kind of voluntary things that Jack mentions. However, these may be difficult initially if you are struggling to be successful and make a living, voluntary activities may be the last thing on your mind!

I suppose being married, with kids etc. will be a big positive for coping with the solitary aspect.

Be as prepared as possible before quitting any job, in terms of market knowledge, technical analysis knowledge, effective strategies etc.

Forgot to mention - Sunday - print off economic calendar from forexfactory.com, so that i can prepare for the coming weeks economic news announcents.

Intraday trading is a funny activity, because it is solitary and can be lonely as you don't have anyone to talk to if trading from home. However, it is the type of activity that perhaps lends itself to not being suitable for chatting while trading, as this can be a distraction.
However, this largely depends on your trading style - if you place 10 trades a day, you probably need to pay greater concentration to the details more than a trader placing 2 trades per day.
If you can cope with the boredom of having to concentrate on something for 8 hours without having people to chat with, working from home, you probably have a good aptitude for trading from home.
If you live with people, I find having brief conversations throughout the day a welcome distraction from the monotony of trading - which for me largely involves looking at a chart, waiting to place trades, and then paying extra attention to the chart when in trades.

JTrader said:

Intraday trading is a funny activity, because it is solitary and can be lonely as you don't have anyone to talk to if trading from home. However, it is the type of activity that perhaps lends itself to not being suitable for chatting while trading, as this can be a distraction.
However, this largely depends on your trading style - if you place 10 trades a day, you probably need to pay greater concentration to the details more than a trader placing 2 trades per day.
If you can cope with the boredom of having to concentrate on something for 8 hours without having people to chat with, working from home, you probably have a good aptitude for trading from home.
If you live with people, I find having brief conversations throughout the day a welcome distraction from the monotony of trading - which for me largely involves looking at a chart, waiting to place trades, and then paying extra attention to the chart when in trades.

Click to expand...

All replies very interesting. The way I trade at the moment (in the office at my 'day job') requires me to watch the screen sporadically as I only trade once or maximum twice a day with the Dow. When I trade from home (in the future) this will leave me a lot of time for back testing/reading etc. I presume. It is the solitary nature of trading at home that I am most worried about, but the above comments do help allay some of the fears. Also must buy a dog.....

Nick

Hi again,

One of the most difficult things I found, which is overcome with discipline, which isnt easy to do, was that when I made the transition form trading while at my day job to trading at home, I found I had all this extra time to fill, which was otherwise filled by my day job, and spent quite a while overtrading in the beginning, which had a direct impact on my bottom line simply because I wasnt following the original plan and methodology I had tested.

I felt that since I had the time, I should be trading more, which was not condusive to the methodology I trade around events/periods of increased volatility.

Dave

dwaddell said:

Hi again,

One of the most difficult things I found, which is overcome with discipline, which isnt easy to do, was that when I made the transition form trading while at my day job to trading at home, I found I had all this extra time to fill, which was otherwise filled by my day job, and spent quite a while overtrading in the beginning, which had a direct impact on my bottom line simply because I wasnt following the original plan and methodology I had tested.

I felt that since I had the time, I should be trading more, which was not condusive to the methodology I trade around events/periods of increased volatility.

Dave

Click to expand...

Hello Dave, I understand what you are saying about discipline as I did work from home quite a few years ago before I bought my current business. I found it then quite easy to discipline myself into doing the jobs that needed doing through the day while alone in the house, but your comments about overtrading because of the excess time available are very pertinent.

Keep the comments coming.....

Nick

My pennyworth is to remember you are time rich on retiring. Personally I thought I could make a lot more money if I spent more time trading. Older and a bit wiser I make the same on end-of-day trades with the major indicies and have a lot of time to do outdoor and other activities. If I feel I need a bit of action in the evening I play on-line poker, which is similiar to trading in money management and analysis plus the thrill of winning.
I am thinking of taking up metal detecting for a hobby - lots of fresh air. The Reich's Bank gold from WWII etc. is patiently waiting for somebody to take the effort !
Let us know how you get on ???

JTrader said:

If and when you trading activities do start to become successful, you may feel able to do the kind of voluntary things that Jack mentions. However, these may be difficult initially if you are struggling to be successful and make a living, voluntary activities may be the last thing on your mind!

Click to expand...

Actually, I made it sound a bit more altruistic than the motives maybe were. Sure, I get a nice feeling out of 'volunteering', but I also thought that if the trading didn't work out, it would be good on the cv to have some continuing experience of teamwork/management and some of the 'soft' stuff that doesn't come into trading, in case I needed to look for another job. Secondly, if you do hit a bit of a losing streak (it happens), it can get very oppressive and you can lose a sense of proportion and distance if you don't have other things to help put it in perspective. For me, having to go to meetings and deal with a completely different set of issues and problems involving a local school, helped me very much through periods when my own trading wasn't going complelely to plan.

Jack o'Clubs said:

Actually, I made it sound a bit more altruistic than the motives maybe were. Sure, I get a nice feeling out of 'volunteering', but I also thought that if the trading didn't work out, it would be good on the cv to have some continuing experience of teamwork/management and some of the 'soft' stuff that doesn't come into trading, in case I needed to look for another job. Secondly, if you do hit a bit of a losing streak (it happens), it can get very oppressive and you can lose a sense of proportion and distance if you don't have other things to help put it in perspective. For me, having to go to meetings and deal with a completely different set of issues and problems involving a local school, helped me very much through periods when my own trading wasn't going complelely to plan.

Click to expand...

Hi Jack I can empathise with the points you are making.

Trading has made me aware of/miss going into a workplace, interacting with colleagues, chit chat, problem solving etc. and strangely enough it was the idea of escaping these things that made me interested in trading in the first place :!: It's all the competitive and bitchy aspects of a work/team environment that I don't like.
The grass is always greener on the other side.................
Charity work does certainly look good on the CV, is rewarding and worthwhile etc. etc. Actually, come to think about it I've helped plant 100+ trees since October!

Trading has outlined to me how important and rewarding quality social interaction can be. It is also necessary, otherwise as a trader you can just become locked in your own little zone, with no customers or other issues to deal with except your own performance - i.e. is it good enough or not? How can I make it better? etc. etc.

Perhaps gaining this type of quality team work and social interaction through work is more likely in a voluntary capacity where people are doing it because they want to do good, they must have some interest in the voluntary activity itself, and competition and bitchiness are less prevalent?

When things get really slow during the trading day, besides T2W, I can also have a quick game of magnetic darts on my Mookie magnetic safety dartboard!

I'm trading from home in north london and am desperate for some "trading room" activity. Does anybody know any dealing rooms where i could rent a desk ?
Thanks/

See here: http://www.trade2win.com/traderpedia/Trading_Arcade_Index

Also search by name of specific arcades to see if there are individual comments.

I can see how a trading arcade would sort out a lot of the issues of working from home, but my bigger concern would be that ego and competitiveness would kick in and I would badly overtrade.

By the way, 10am bike ride cancelled today due to adverse weather:cheesy:

thanks very much for the link

Hi...Totally agree with alot of the comments above. I left my job last March to trade from home. I used to trade while at work..Pointless really for me at the time cos it was too busy.. Overall I have been successful but there are have been periods when things went wrong. Then a string of losses.. Confidence gets dented..Sometimes I have felt that maybe working alongside other traders would have helped alot. Talking to non traders about trading . well you night aswell talk to your pet. I would reiterate what others have said..Know what is moving markets. Know your economic calendar. Good traders postion themselves in front of events..then sell on the rallies when the novices come in to buy at the top..Discipline yourself. I know its easier said than done. But try not overtrade on whims. That's when I have started chasing losses. Step back and stop trading. There is always more chances when you regain composure.. Learn money management in relation to your trades..Alot of novices fail because they trade up to their credit limit and then get hit with margin calls....Excercise..Healthy body and healthy mind and all that. I have been going to gym for last 5 years..Not only does it keep you fit..It helps instil discipline for me..I have never found motivation an issue. I love trading for myself. If you have a real passion like most do on this site, you will naturally have an urge to learn, read and hopefully succeed..good luck

JTrader said:

Hi Jack I can empathise with the points you are making.

Trading has made me aware of/miss going into a workplace, interacting with colleagues, chit chat, problem solving etc. and strangely enough it was the idea of escaping these things that made me interested in trading in the first place :!: It's all the competitive and bitchy aspects of a work/team environment that I don't like.
The grass is always greener on the other side.................
Charity work does certainly look good on the CV, is rewarding and worthwhile etc. etc. Actually, come to think about it I've helped plant 100+ trees since October!

Trading has outlined to me how important and rewarding quality social interaction can be. It is also necessary, otherwise as a trader you can just become locked in your own little zone, with no customers or other issues to deal with except your own performance - i.e. is it good enough or not? How can I make it better? etc. etc.

Perhaps gaining this type of quality team work and social interaction through work is more likely in a voluntary capacity where people are doing it because they want to do good, they must have some interest in the voluntary activity itself, and competition and bitchiness are less prevalent?

Click to expand...

For me, I think the bottom line is if I prove to be successful at trading, i will feel good about myself and what i am doing.
If things start to fail, then i will have doubts and perhaps wish i was doing something else.
I'm in week 6 now of full-time intraday trading. So far so good, but a very busy period as the learning curve has been steep and I have implemented several things along the way that will hopefully fine tune my strategy//s for the better and improve my results. But as yet, I cannot say whether I will succeed or fail.

that line in football..you are only as good as your last game ( trade in this case) is very applicable to trading..and being in business for yourself always carries that risk that one day you go bust..but we live in hope

JTrader said:

For me, I think the bottom line is if I prove to be successful at trading, i will feel good about myself and what i am doing.
If things start to fail, then i will have doubts and perhaps wish i was doing something else.
I'm in week 6 now of full-time intraday trading. So far so good, but a very busy period as the learning curve has been steep and I have implemented several things along the way that will hopefully fine tune my strategy//s for the better and improve my results. But as yet, I cannot say whether I will succeed or fail.

Click to expand...

All really good replies - I think I'm going to look forward to my 'new' career now that I've had the pitfalls pointed out. Bike, Gym and Dog are going to be arranged first.

Have any of you been tempted into a Trading Arcade/ local meeting of traders because of the solitary nature of the game ?

Nick