It's true. With an account starting with 100K (demo of course), trading currencies,
I doubled the account in 2 weeks. I was gunning for 1 million in the next 6 weeks.
I was determined to be number one and win the contest.
Unfortunately, my emotions got the best of me and I started to make stupid trades. I started losing. I started to make revenge trades trying to recoup losses. The account continued down. I went from 214K down to 12K in a few days. What went wrong?
You may think my emotions got the best of me but the real reason for failure is that I did not keep a journal in which, if reviewed, I would had known what was working and what wasn't. And based on what was working I could had modify my trading plan. And most important, I would have had a reference to go back to because when my emotions had kicked in I had forgot what I was doing right and for the life of me could not remember.
So part of your trading plan should be to keep a journal, and review it at the end of
each trading day. Below are two resources on trading journals.
Doug Hirschhorn Video on CNBC.com, The Traders Journal
Brett Steenbarger Blog article
How to Keep a Trading Journal: Trader Perspectives
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