Ok, several times during my trading career I've failed to learn from my risk management mistakes. About two years ago I had my first margin call on a 2000 dollars account, and that was the most awful day in my life. I told myself that never ever do I want to put myself in a situation where my trading "spark" will decline to almost zero.
After my first margin call I've had an fair amount of success in my trading.... I have manged to increase my account by respectively 13, 24 and 36 percent before I managed to give it away quicker than the wink of an eye (yes I know, I am an idiot.. well almost).
I think my greatest flaws in trading is that I have never manged to hold my risk constant.
From this day on my risk will be held at 1% any given trade.
Lets put out a scenario where I time after time change my percentage risk:
First assume that risk-reward for my winners is always 1:1
Trade 1) Risk = 3% ---> Trade ended up in profit.
Trade 2) Risk = 5% ---> On a 5% trade I "should" feel extremely confident ----> Well the market did not react as I saw it and it resulted in a 5% loss.
Result: -2%
A constant risk would put me in a break-even situation which would be counted as a winning month in my book
The aim of this journal is to:
1) Keep track of my trades
2) Developing a traders long-term success mindset by talking with others about mistakes, how one could do things differently to what I did/do etc
3) For every trade there has to be a detailed written management plan, I've been quite bad at this and this is something I will work on.
I view myself as a chartist who is slowly managing to take the step away from being a newb. Thats at least what I think.
I follow 32 FX pairs + gold and silver. All my trades is based on the daily timeframe, haven't had the time to follow markets more than that for the past 2 years. Most of my trades are based on confluence with respect to specific price action patterns. While a few percentages of my trades are based on box breakouts or pure box trading. What I mean by box trading is when price have been trading in a rectangle. I do not consider funnymental in my analysis.
While I'm on it might be a good idea of where my trading is influenced from.
It started here on T2W with the MMT thread by TD and continued over at FF j16 thread.
By the way, my journalistic skills are probably as bad as my trading skills haha :innocent:
Cheers
After my first margin call I've had an fair amount of success in my trading.... I have manged to increase my account by respectively 13, 24 and 36 percent before I managed to give it away quicker than the wink of an eye (yes I know, I am an idiot.. well almost).
I think my greatest flaws in trading is that I have never manged to hold my risk constant.
From this day on my risk will be held at 1% any given trade.
Lets put out a scenario where I time after time change my percentage risk:
First assume that risk-reward for my winners is always 1:1
Trade 1) Risk = 3% ---> Trade ended up in profit.
Trade 2) Risk = 5% ---> On a 5% trade I "should" feel extremely confident ----> Well the market did not react as I saw it and it resulted in a 5% loss.
Result: -2%
A constant risk would put me in a break-even situation which would be counted as a winning month in my book
The aim of this journal is to:
1) Keep track of my trades
2) Developing a traders long-term success mindset by talking with others about mistakes, how one could do things differently to what I did/do etc
3) For every trade there has to be a detailed written management plan, I've been quite bad at this and this is something I will work on.
I view myself as a chartist who is slowly managing to take the step away from being a newb. Thats at least what I think.
I follow 32 FX pairs + gold and silver. All my trades is based on the daily timeframe, haven't had the time to follow markets more than that for the past 2 years. Most of my trades are based on confluence with respect to specific price action patterns. While a few percentages of my trades are based on box breakouts or pure box trading. What I mean by box trading is when price have been trading in a rectangle. I do not consider funnymental in my analysis.
While I'm on it might be a good idea of where my trading is influenced from.
It started here on T2W with the MMT thread by TD and continued over at FF j16 thread.
By the way, my journalistic skills are probably as bad as my trading skills haha :innocent:
Cheers
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