Tag Archives: Expectancy

Losing Sessions – Expect Them!

Late last year I had a request for more examples of losing trades, which led to the article series "Winning through Losing Better" (see part one and part two if you missed this popular article series).

Let's take that concept further and look at a losing session, and see if we can find a couple of lessons.

Because losing sessions happen!

Often!

Let's examine my most recent losing session, last Monday. This is the five-minute chart of Crude Oil for the first two hours from session open at 09:00ET (midnight chart time).

losing sessions

(more…)

The Most Important Trading Stats

Last week we looked at key components of the daily session review process (If you missed it, refer to last weeks article Part 1 and Part 2). This week we’ll look at another key aspect of your review process – but longer term – some of the key stats you should monitor to measure the profitability of your trading business.

These stats should be monitored over a series of trades, at the very least nothing less than 20. So, it’s something you’ll want to schedule as a part of your longer term review processes, maybe weekly or monthly, depending on your frequency of trades.

So, what stats…

Firstly…

  • win% = number of winning trades / total number of trades in the sample

This is simply the percentage of winning trades. Nice and simple.

Secondly…

(more…)

Improving Exits & Win Loss Size Ratio

Question:

Hi Lance,

The exit strategy videos have really been an eye opener for me. Must say it is the best exit strategy tutorial I ever came upon. A big thank you to you.

This single aspect has been what I now identify to be the only problem for my trading. I realise that my win/loss ratio is about 60% success, I realise that my stop loss sizes (which are dictated by price action) are bigger than my targets therefore contributing to my account reducing. Can you please give me an exit plan to solve this?

 

Answer:

(more…)