I knew somebody who had a very similar philosophy. Once he made $X he logged off and went to play golf etc. Other days he sat there all day and made nothing. Too me that's backwards. If you've already made $X in the first hour of trading, chances are that it's one of those days where you could make 2X, 3X, 4X etc if you trade all day. On the other hand if you've made nothing in the first several hours, thats probably a good day to log off and go and do something else. Maybe it's just me, but I find that I make 50% of my money on 10% of my trading days.
Saying that I trade 9.5-10 hours a day, every day. That's time spent in front of screens watching markets, running algo's, checking margins/PnL, updating spreadsheets etc etc. On top of that I probably spend 5-10 hours a week, reading, researching and thinking.
The following 3 users say Thank You to SMCJB for this post:
I trade the DAX so usually at my desk for 6.30 GMT ready for the open at 7. Usually wrap up around 4pm, with an hour off for lunch. Need to get better at taking some small 5 min breaks every now and again, not very good at that.
The following user says Thank You to mazdaq for this post:
If one can focus all their energies on trading than by all means trade during this time period. Once the energy is divided you can only expect to make poorer decisions. That being said, time is irrelevant because you can make a bunch of great trades in the first few hours and then lose it all in five minutes if you're not careful.
The following user says Thank You to Itchymoku for this post:
For me the trading time is dependent on a reasonable daily goal. I think we trade to achieve a certain daily goal. Once that goal is met then the reason for continuing to trade will probably due to some other reason such as practice etc. and you change to simulation mode. I can usually make my daily goal in 2 - 2.5 hours from the open. If you decide to increase your daily goal, then simply increase your position size and continue to trade the same number of hours. Be careful when you choose to increase your position size that you do not exceed your risk tolerance. I increase my position size only as I grow the account and keep the risk tolerance the same. I think if increasing your position size causes you to increase your risk tolerance, then you will tend to trade differently and probably impact your performance negatively.
The following 2 users say Thank You to steveo107 for this post:
I trade the 1st hour of FTSE100 at 8am uk time, then I go to work. For me it's enough. But I also market replay the previous week during the weekend. I like to be be in and out of a trade and then its over until the next day. My average trade is 9mins. It seems to suit me. I'm not sure if I wold like to be watching charts all day.
The following user says Thank You to Hood for this post: