What is a successful trading day?
Jan 11, 2022
Jan 11, 2022
Andrew Moss, CMT
Don’t focus solely on PnL. Think qualitatively too.
Beginning traders have a tendency to rate the quality of the trading day based on profit or loss. Of course its nice to make money. But having a losing day doesn’t necessarily mean that a trader performed poorly. So when conducting daily reviews ask these questions instead of focusing solely on PnL.
Did I have a written plan for every trade that I entered?
Did I enter a stop order for each position?
Did I move those stop orders in accordance with the proper trailing rules?
Did I size all of my positions correctly?
Did I journal thoughts and emotions throughout the trade in day?
Did I wait patiently for the proper timing for all of my trade entries?
Did I maintain calm emotional state throughout the day?
If the answer to all of these questions is yes then you’ve had a successful day. It does not matter how many wins or losses. It does not matter how much money you gained or lost that day. If you follow your rules, your process, your routine, and your training plan, then you have had a successful training day. If you made money, that is just a bonus.
If you focus on having one successful trading day after another, day in and day out, the money will accumulate.
Originally published at https://typeshare.co.