Sive Morten
Special Consultant to the FPA
- Messages
- 18,681
I might be the only trader in here who had a pitfull week..!
The only 2 days when the market didn't respond my studies, and acted funny (Tuesday & today) I lost badly.. those were the only days when I could sit in here and try to trade. Freaking unbelievable..!!
I'm a day trader but I am beginning to consider that this is not the way to go. My lifestyle doesn't allow me to sit hours and hours in front of a laptop waiting for a set up, and tried order to open 2 times - never filled.
I need to ask Sive a question: Sive, do you think that I would be too fearfull if I moved my stop loss to break even, when market reaches +10 points only from my entry point?
Have a good one guys.. i know better times will come, but this is it for me for the month, too much bad news on the market for my taste.
Hi, Maluco,
if you let me, I would like to say, that may be will help you. I can't describe all stuff here in details, so I tell, what I want in points:
1. Loss is a part of business. If you can't accept it and frustrating too much - it could hurt your health. Be carefull with that.
2. Try to keep your max risk at one trade - no more than 2% of your total assets.
3. Try to trade only on single pair, or 2-3 pairs - not more.
4. REST IS MUST. You have to rest at least 3 days every 2 weeks. If you're intraday trader - rest each third day
5. Be very carefull to your mentally health. If you are down by some situation on your life - do not trade.
6. If you take a loss in three consecutive trades - take a break for 3 day.
This is must even more, if you make solid profit in some consecutive trades, that around 10-12% from your assets. Take a break for 3 days
7. Trading time of any trader is a cycle - good periods follow after bad one etc. So, try to catch these bad periods, reduce trading volume and rest more.
Now about trading plan:
Make the trading plan on paper before push the trigger. Try to execute it letter to letter. Never change trading plan after you've entered in trade. Do not force it to current market action - don't move entry points, stops, etc...
I suggest you to read carefully our Forex Military School. Yes, there is very initial knowledge currently, but later we will turn to advanced and sophisticated details with stop placing, risk management and how to make solid trading plan.
May be I forget something important to say. But this simple rules should help you, I think.