What do you do to stop overtrading / manage trades? | Psychology and Money Management

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What do you do to stop overtrading / manage trades?

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Grantx View Post
I agree but it is not as simple as that. I mean, how do you get comfortable holding a trade longer term? You don't just suddenly get OK with this. It can be extremely aggravating fighting the urge to mess with trades when they should be left alone.
You're not ready for the higher timeframe until you wake up to a particular realization that has to be earned the hard way I am afraid. Its a line that gets crossed and it feels like burnout. When you get slammed enough times on a scalping timeframe you will want to go HT and you will want to put scalping behind you. You won't need to try and be patient anymore, you will just be patient.
That's how it was with me anyway.


I can actually speak from experience on this one. I recently switched from intra day trading to holding days to weeks. Other than the time frame, the differences are minimal. The chart patterns are the same, indicators behave slightly different and it moves at a snails pace. I actually finding this type of trading far more appealing. I make a lot more ticks per trade than I did day trading.

I will admit I thought about doing this for a long time. I just didnt wake up one day and say lets trade long term. Well, maybe I did.... but it took me about 6 months to pull the trigger. I looked into it and studied it and made mental preparations. After that the overall transition was easy. The biggest adjustment I had to make is to not check my holdings 200 times a day. I did that the first week or so. Now its just a few times a day.

I agree about wanting to make adjustments to the trade. My first couple of weeks I kept looking at the 5 minute chart. I would see a spike on the 5m and want to close the trade. Then I switched back to the daily and what seemed like a big move was hardly a move at all. I now use a 4 hour chart to view intra day movement.


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