Trading Business

What did this Trader do Wrong?

The following chart was sent to me by a trader who just completed his very first futures trade. It shows the MNQ (Micro E-mini NASDAQ) on a 3 minute timeframe, YTC Price Action Trader BOF Setup off the overnight low and prior day’s low support. A one part position (all-in-all-out). He took a small loss,…

Trader

A Confidence Boosting Progress Check

We’ve talked for quite a few years about tracking your trading results in “groups of trades”. And using the stats from those groups to drive your growth and development. (If you need a larger copy of the original flowchart image, I believe this was the first article it appeared in.) It can be very tempting…

Trading Business

One Trade Does Not Provide Enough Data

I think it's time we revisited a topic we discussed a few years back. The fact that an individual trade does not provide sufficient data to allow you to make informed changes to your plan. Changes MUST consider the impact across a series of trades. I see this problem repeatedly in email conversation with new…

Trading Process and Strategy

One Winner One Loser

  A question received last Monday: "Are you trading today? It's a holiday but the market is open." For future readers… Monday was 11th November 2019. Veterans Day. And yes, the economic calendar which I use also has this listed as a US holiday. But the market is definitely open all day (or at least…

Trader

Missed Opportunity Mindset Hack

  The end result is that I still have a profit. And yet I feel crap. And my mind starts beating me up for not doing better. All part of being human, I guess. But not ideal if you wish to be an effective trader. There is very little to be gained by carrying negativity…

Trader

A Shift in Mindset – 2

  Last week we discussed a common problem with new and developing traders – difficulty accepting losses as a normal part of the game. And we discussed a simple idea for moving beyond this problem, through seeking profits over a larger series of trades rather than any individual trade. You can see last week's article…

Trader

A Shift in Mindset

  I love this comment in response to last week's article (see the article here if you missed it). This was the trade Steve is referring to: Too many traders take the loss personally. As Steve says, they're stuck in the mindset of "Aaargh, I did it again." Their focus is on themselves and their…

Trader

How I Think on Trade Exit

  Context: The trade idea: The entry: Out: How I think on trade exit: All exits are temporary. Pause and reassess. Consider re-entry if the premise remains valid. Sometimes it takes two entries. Sometimes it takes three. There are no ways around this. In the uncertainty of market action it's unreasonable to expect that we…