18 Sep Daily Report Card 09182020
#dailyreportcard #daytrading #tradinglifestyle #daytraderlife #grasshoppersanonymous #tradingforex #tradingcommodities #NEXT
Summary: Learn from mistakes
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. As always, feel free to reach out to me.
My weekly goal: Formulate hypos in order of likelihood and track with actual development on the day
Good Pre-market routines
Good Session PECS
Bad Trade selection
Good Trade sizing or SL placement
Good Trade Execution & Mgmt.
Good Risk Adjusted Returns
Yes Daily review
Muppet meter (1 being best — 5 being worst): 3
- IB traded higher off a near ADR exhaustion level running into M30 VWAP in DT closing as a big bull engulf with B closing higher as a possible base
- C: Hypo 1 add: Mean Reversion
- Preferred: IB extension up, sustained auction, Value acceptance, Hit PPOC as profit target (4.5R, but will taper down as time goes along). Actually the variation on Hypo 1 could be considered as hypo 4 for my tracking sheet. I put in a buy stop order in case of an IB extension up. Price has been slow but steady for now.
- If no value acceptance and price action confirming a reversal can switch to Hypo 2
- D: Traded closing higher still but within IB although 3 ticks from IB high.
- E: Long 1.91530 SL 1.91230 TP 1.92862
- Reasons: Mean Reversion, IB extension up M30 slow and steady incline
- E closed back within IB but not as a reversal pattern
- F: Made a poor high but then consequently made HH 91566
- Got stopped out after a move back into IB at 1.91230 so down ‑1R
- F closed as M30 Bear Engulf leaving behind a selling tail in F and closing within IB forming a failed auction so went short in G
- G: Short 1.91312 SL 1.91617 TP 1.90717
- Closed as strong inside bar but still within IB with no HHs
- H: H retraced all of G looking for a continuation if any. Never came in the end. I closed it at 1.91455 for ‑0.5R loss.
- Was I right on the direction of the session?
- Which hypo played out and how did I hypothesize it playing out? How did it actually play out? What did the profile and price action show?
- Hypo 1 add: Mean Reversion
- Preferred: IB extension up, sustained auction, Value acceptance
- The mean reversion happened right at the open. Even though we extended IB up the auction failed.
- Hypo 2 – Return to value (short)
- D1-C‑S 1.91979 at VAL with LTF supplies
- Preferred: Fake out extending up, price action confirming reversal, failed auction with quick play through IB range and
- This was the actual play even though it didn’t work out. The follow-through on going through down IB never came.
- Hypo 1 add: Mean Reversion
How accurate was my assessment of market context? Was I aligned with market context?
- Time for the bad part. The actual play was my second hypo. The first Hypo I should not have taken due to overhead LTF supplies and suboptimal profit target. If I hadn’t done so I could have focussed on the 2nd hypo and closed the day off with a ‑0.5R which is okay.
- Every time I hit a full stop 9 out of 10 times I feel it was a trade I should not have taken.
How did I feel before, during, and after the trade?
- I felt okay. Started getting slightly jumpy when price didn’t go in my favor fast enough since most of the times my trades do. So started lifting some weight.
How well did I follow my process?
- I did okay. Not on the first one but did well on the second one even if it was shortly after I lost the first trade. At the time I felt like I was grasshoppering but I don’t think it was. I understood it was the actual play I should have been focussing on the whole time so took it.
How well did I manage my physical, emotional and cognitive states?
- I did well. Started lifting some weights.
What did I learn today?
- The first trade did not have a good profit target plus value acceptance should be closer to value from the get go. Thus it was another confirmation that I shouldn’t have taken the trade.
- I learned that even though I made a mistake I can stay composed and follow my rules for entering and exiting a trade based on my plan.
What’s one thing I need to do more often?
- Fail to succeed. Learned a lot today.
What’s one thing I need to do less often?
- Worry about the outcome of an individual trade
Under the circumstances, did I perform at my best?
- I did okay
For my trade plan(s) on this particular day, go here: