02 Jul Daily Report Card 07022020
To trade or not to trade. That is the question.
#dailyreportcard #tradingforex #forex #FX #XAUUSD #GOLD #daytrading #tradinglifestyle #daytraderlife #NFP
Every trading day I recap my trades, including more than entries and exits. Why did I take the trade? How did I manage the trade, my emotions and cognitive function? All the good stuff as well as all the ugly of being a day trader. No secrets here. As always, feel free to reach out to me.
My weekly goal
My goal for this week is to get my sizing right. Whatever asset, I need to have the correct contract size representing 1% of my account.
Good Pre-market routines
Good Session PECS
Bad Trade selection
Good Trade sizing
Good Trade Execution & Mgmt.
Good Risk Adjusted Returns
Yes Daily review
Muppet meter (1 being best — 5 being worst): 2
Summary: Understanding the ‘range of my mental state’ conducive for trading
- GOLD: I know it’s NFP day so things are probably gonna be slow if anything happens at all. Still, based on M15 ladder action and IB (normal width) extension up plus H4-C‑D 1770.548 I went long (through a buy stop I placed) at 1770.764 SL 1767.128 TP 1774.233
- Expecting a slow incline if any also due to congestion from M30 supply overhead (we just took one out but there is still one left). Will monitor TPOs for sustained or failed auction.
- Forgot to place TP correctly at VAL 1780.824 (2.7R)
- Not the best trade going long into D1 c‑sup. Scratched the trade and taking the rest of the day off. Also because of NFP. I totally missed that conterminous and was just focused on lower time frame price action. Too hopped up on caffeine. Scratched at 1770.780.
- The position would have traded higher testing D1 conterminous and a time-based stop would have netted 1R. It doesn’t matter though because I still believe it was the right decision to scratch the trade due to feeling ‘jumpy’ in my head and lack of confidence. Normally when I am in a good trade (even when it gets stopped out) I have a clear understanding of what is going on and where it could go.
Weekly Goal Achievement: Have appropriate sizing
- At least I sized right! 🙂
How accurate was my assessment of market context?
- I messed up not considering the Daily conterminous as addressed above. This tells me I am not in the best state of mind today so decided to scratch and not trade the rest of the day. Instead I worked on documenting past trades into my playbook. I already do this but decided to change the format a bit.
How did I feel before, during, and after the trade?
- I thought I felt well before but then quickly noticed I missed something and was getting ‘jumpy’. Decided to scratch and go do something else.
- I feel better knowing that I was not in the right state of mind to be trading today. Regardless if it was a NFP day or not.
How well did I follow my process?
- Messed up then corrected myself.
How well did I manage my physical, emotional and cognitive states?
- I was tired today. Took a nap but still didn’t sleep well because of all the coffee I had to get me through my day. Then some more coffee made me get ‘jumpy’. Now that I have confirmed this again for myself I know how to spot it better next time.
What did I learn today?
- Understand what range of mental state allows you to be able to trade. We’ll never be at our best every single day. Sometimes you’ll hit that 100%. Other times you’ll be at 90%. Anything over 85% is good in my mind (I just pulled that number out of thin air btw, but you get my point) Can’t just wait for your head to be at that 100% to trade because there might not be any opportunities that day. So you need a range. I have that range better defined for myself. And with experience I’ll define it even better. I have what I call ‘red flags’ (I know, original right) that help me better identify when I am not in the right state of mind. An example for me is being too quick to snap at someone/something. This could indicate I might be tired and thus should consider not trading today. And so I have more red flags identifying different areas of my personal life.
What’s one thing I need to do more often?
- Trust myself to not allow myself to trade and be fine with it. The markets aren’t going anywhere. I’m not going anywhere. Have patience. As Dee says: “Less haste, more speed!”
What’s one thing I need to do less often?
- Feel guilty about not trading. It is okay to not trade. You have that freedom.
For my trade plan(s) on this particular day, go here: