The benefits to journalling your trades
It is always good to review your trades to learn from your mistakes. Sometimes it can be absolutely painful to review them but well worth it. I highly recommend all traders have a trading journal or use Profitly to analyze your trades.
In learning your own patterns you can hopefully correct them. Sometimes it can be a slap in your ego’s face to see where you went wrong. However as in life when you swallow your pride and see your weaknesses you can improve.
The changes to improve are not always obvious or easy. I won’t lie this month was rough for me. Going from averaging about $5K a week in profits to $9K in a month is a change. I felt bad and had a bunch of distractions within the house with renovations that really acted as hinderances to me.
In looking at my trading each day and seeing when I made poor choices it was easier to step away to take time for life instead of letting life interfere with trading.
The market will always be there, but sometimes life comes first.
The difference of making $9K in a month versus $20K was worrisome to me because I thought I had lost my mojo. However the past two days have instilled confidence again.
In reviewing my trades for the past month, my amendment to my rules are as follows.
- How am I feeling today in terms of health? Anything distracting me mentally? i.e.. my daughter, home renovations, or maybe a personal disagreement (this all affects your trading)
- Is this the best entry? Set a stop to protect myself if it is not!
- Try to get better at moving stops while the profit is running to give it wiggle room. All profits are great, but try to let the runners run more.
This Friday is Canada Day for us and our daughter will be home from daycare, so I will not be trading at my desk. I look forward to starting July off with fireworks and I hope you do as well.
The end of June will wrap up the majority of our home renovations and distractions, so I’m very much looking forward to July. My hubby will be paper trading after watching some of Tim’s DVDs and I’m excited for him to get a feel for the real price action.
Every trade, Every day we are all students and can only strive to get better. When we beat ourselves up or let others beat us up mentally over errors it will affect your trading. Stay positive and take the lessons from all your errors. Hopefully you are humble enough to learn and improve. If you are you and your trading will benefit.
As always I love hearing feedback from you. It makes my trading more personal and I like to hear how I can help you. If you have questions or comments you can contact me here or on Profitly, Twitter, Instagram, LinkedIn and Facebook.
This blog is for information purposes I am not a registered securities broker-dealer or an investment advisor. The information here is not intended as securities brokerage, investment or as an offer or solicitation of an offer to sell or buy, or as an endorsement, recommendation or sponsorship of any company, security or fund.