Skip to main content

Evaluation On My Bad Trading Streak

The last week has been another challenging moment for me, where I had encountered multiple setbacks in my trading. And yes, it was a challenging moment for me throughout the week, and in addition, it felt even worse when I knew I was making such lousy calls on the market. This experience has indeed humbled me a great deal, and I do hope I could share some experience of this short evaluation that I had done up over the weekend:
  1. Allow the market to show its hand,  especially when it trade sideways.
  2. Look out for the more liquid markets, as their volumes remains fairly thick even though volatility remains high. (e.g Eur/Usd)
  3. See not trading as making money, instead of seeing it as 'not making money being the same as losing money', where to wait is not a waste of time.
  4. Leverage should be greatly reduced, and stops should be widened to allow you a chance to allow your trade to work out. And that will greatly help the trader psychologically.
  5. Stops must be used. In such volatile markets, there is nothing like denial (my GBP/JPY long). Admit that the trend has changed and continue with your next view. In addition, I have exited my GBP/JPY trade at 185.86. It has been painful, but I saw the rewards right after that. 
The above should suffice for the moment, and I am glad I have improved further on my trading by blogging. Over the next few days, I will be continuing to post my trades on the blog again. And for the moment, I am now left with no single opened position in the market, and all old positions have been closed.

Cheers.  
Labels:

Comments

Post a Comment

Popular posts from this blog

FreeWeek: Elliott Wave GMP

Greetings friends, Long time no see.  Once each year or so, our friends at Elliott Wave International will offer free premium elliott wave access to their reports and analysis. So this is the time again. This time, they are offering the public more than 100 pages of free analysis and forecasts on  every major world market.   EWI is giving away one month of its most popular global analysis publication, a 120-page "little black book" of investment insights called Global Market Perspective, which includes EWI's three regional publications: The U.S. Elliott Wave Financial Forecast ($19/month value) The European Elliott Wave Financial Forecast ($29/month value) The Asian-Pacific Elliott Wave Financial Forecast ($31/month value) PLUS, the 120-page book includes analysis culled straight from EWI's professional-grade Specialty Services, each of which is valued at $199/month. This means you also get analysis and forecasts for the following global markets: World stock markets (...
Post a Comment
Read more

Effects on Banning Short Selling

If the SEC temporarily bans short selling, it will actually INCREASE the cost to banks of raising new capital, and the market's floor might be removed. - "The Securities and Exchange Commission took its most aggressive assault against bearish stock bets by stating its intention to issue a temporary ban on short-selling," writes the WSJ. "SEC Chairman Christopher Cox briefed Congress late Thursday of the agency's intention to take the extraordinary step of interfering with the market's regular functioning." - This move will affect hedge funds that use short positions to hedge investment risk during a rights issue or placing. If they're not able to provide liquidity during a rights issue, the costs to banks of raising new capital will increase.  - Shorts provide a floor, buying (i.e. covering shorts) when there is no one left to buy. If you can't short, the only way to reduce your risk is to sell, which may exaggerate downside pressure in the event...
Post a Comment
Read more

Asian Comic: During bad times

Nice Asian styled comics    
Post a Comment
Read more