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A Cowboy's Trading Journal

  #421 (permalink)
 bmtrading9 
Atlanta, GA, USA
Market Wizard
 
Experience: Advanced
Platform: MC and Jigsaw
Trading: ES, MES
Posts: 1,833 since Mar 2013
Thanks Given: 3,001
Thanks Received: 2,159


GruttePier View Post
He BM,

If you ask 10 people for advice, you will get 10 different advices.

I can only tell you what helps me and it's up to you to pick what is relevant or applicable for you.

Having said that, I believe that P&L is the endresult of having the right discipline, the right mindsight, an edge, proper execution of entry/stop/exit management, etc.
So instead of focussing on the P&L, I believe in focussing on getting these basics right.
P&L is only the endresult and totally irrelevant. How about that, huh?

What helps me in getting the basics right is keeping stats on my discipline, the entry, stop, breakeven, adds and exits. Every month orso (after a reasonable amount of trades) I evaluate it, see if I've made progress and what to focus on next.
I don't look at stats like % winners, profit factor, etc. Instead, I look at the charts from hindsight view and collect data like: did price move indeed in my direction after entry, how many points did it move, was the stoploss too tight or not, how much did price move after my exit, etc. This helps me to straighten up the basics.

Regarding discipline, I'm not sure if you've read "Trading in the zone" of Mark Douglas (must read). At the end of his book he suggest doing an excercise on discipline. I've done the excercise and this was the moment that I got my discipline right.
It takes approx 20 days to implant a new behaviour. I use this knowledge on my kids also. They get a present once they do stuff like cleaning up their toys, sleeping in their own bed, etc. after 20 days in a row. If I make changes in my trading, I'll be doing the new, uncomfortable behaviour for 20 days and evaluate it then. Note that this approach does not work on wifes

I believe it was @tradeSlinger who stated in some thread: In order to hold longer, you will have to hold longer. Wise words and very true. In order to change behaviour: do it for 20 days, keep stats of you doing it and evaluate it after 20 days. That's how I make changes to myself.

We had a couple of pm's going on price risk versus information risk. Next to Douglas' excercise, my 2nd game changer was trading price levels instead of getting confirmation from price patterns. Our common friend and hero is not looking for confirmation in his entries either, he enters on price levels and accepts the risk of being wrong in exchange for a good entry location. You might consider skipping the confirmation-part in your trading for 20 days and see what it does on your entry efficiency.

One last thing, I notice you trade various instruments. All instruments have a different characteristics, for example: CL is a very thin market while ES is not. Your edge might not be applicable in all markets. Why not focus on 1 instrument and get the basics right?

I'm not here to tell you what to do, or not to do. I can only tell you what works for me sofar.
The above is in short what I do and what helps me.

Good luck with your personal journey.
I enjoy reading your posts and will be keeping a close eye on your journal!

GP

Thanks for helping me out here...

Yes, I am aware of P&L syndrome but what to do I am human but getting better at it. This year I am trying to reach my profit goal for the week atleast 80% of the time so I give till June and see how I am doing, If I reach that goal that means consistency and that's key word for me.

I am also noticing getting distracted immensely with intra-day movements so every time I see huge rally or drop I start questioning myself swing trade or day trade? I ask myself what the heck is wrong with me struggling every day every minute, telling myself you fool look at your swing start how easy it is, I know it's hindsight but still that voice inside tells me when you will learn to hold longer. But when I go for swinging I get immense nervousness holding futures so switched to ETF for swinging but still that voice inside my head is like laughing at me saying you fool .

Yes, I read Trading in the zone and Disciplined Trader very nice books, helped me a lot but haven't done that exercise will look into it.

My MAIN ISSUE IS

INFORMATION vs PRICE risk thanks to you I see that now I will try to follow Mark's Douglas path starting from next week. Only issue is finding those price levels but looks like I am getting better at those.

I followed other instruments except NQ long enough to know the correlations so based on charts I will just try to enter positions with good RR but this year mainly switched to YM.

Again thanks for chiming in and helping me...

I am profitable this year (but would have made a lot more with less effort with little longer holds though..) except for last week's big loss (around $950) and another small loss week, I am thankful to everyone here on FIO.

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  #422 (permalink)
 mzabarain   is a Vendor
 
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bmtrading9 View Post
Thanks alot! Yes, I am aware of my position size that' why for swing trading I use etf's such as TZA, TNA, SPXL, SPXS, I generally don't about those position that much. TopstepTrader combine is one I am looking at right now but I don't if I can operate under those strict rules...

What do you think are the rules you can't stick from TST?
I don't think they're that strict!
Please let me know.

Don't hesitate, just trade!
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  #423 (permalink)
 bmtrading9 
Atlanta, GA, USA
Market Wizard
 
Experience: Advanced
Platform: MC and Jigsaw
Trading: ES, MES
Posts: 1,833 since Mar 2013
Thanks Given: 3,001
Thanks Received: 2,159


Damn my brain is wired to the core for mean reversion because I didn't even got off the ship saw the markets way extended on my 2hr timeframe retested and started dropping so shorted but realized I can't trade without proper context or seeing charts etc etc so closed the short for few YM points

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  #424 (permalink)
 bmtrading9 
Atlanta, GA, USA
Market Wizard
 
Experience: Advanced
Platform: MC and Jigsaw
Trading: ES, MES
Posts: 1,833 since Mar 2013
Thanks Given: 3,001
Thanks Received: 2,159

Not great but will take anything positive to keep my hopes of consistency alive and keep working towards that consistency.


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  #425 (permalink)
 
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 bobwest 
Western Florida
Site Moderator
 
Experience: Advanced
Platform: Sierra Chart
Trading: ES, YM
Frequency: Several times daily
Duration: Minutes
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bmtrading9 View Post
Not great but will take anything positive to keep my hopes of consistency alive and keep working towards that consistency.

Also not bad. Positive is OK.

Bob.

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  #426 (permalink)
 bmtrading9 
Atlanta, GA, USA
Market Wizard
 
Experience: Advanced
Platform: MC and Jigsaw
Trading: ES, MES
Posts: 1,833 since Mar 2013
Thanks Given: 3,001
Thanks Received: 2,159


bobwest View Post
Also not bad. Positive is OK.

Bob.

Thanks sir, as I feared I do well in volatile markets and not that good in a trending markets mainly because of my mean reversion mentality and always thinking logical (i.e markets should be doing this not this etc etc.) but we all know markets can be irrational for a very very long time.

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  #427 (permalink)
 
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 bobwest 
Western Florida
Site Moderator
 
Experience: Advanced
Platform: Sierra Chart
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Frequency: Several times daily
Duration: Minutes
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bmtrading9 View Post
we all know markets can be irrational for a very very long time.

I would change "can be" to "are always," but otherwise I agree with you.

Bob.

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  #428 (permalink)
 bmtrading9 
Atlanta, GA, USA
Market Wizard
 
Experience: Advanced
Platform: MC and Jigsaw
Trading: ES, MES
Posts: 1,833 since Mar 2013
Thanks Given: 3,001
Thanks Received: 2,159

Wow! I dig myself a nice hole on the last day of the week...

Edit: All my morning positions would have made money damn...I deserve this because I deviated from the plan.

Today is simply not my day because indices are selling and I am currently short oil from 35.70 that's just not moving usually it's the other way round...FML

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  #429 (permalink)
 bmtrading9 
Atlanta, GA, USA
Market Wizard
 
Experience: Advanced
Platform: MC and Jigsaw
Trading: ES, MES
Posts: 1,833 since Mar 2013
Thanks Given: 3,001
Thanks Received: 2,159

Looks like we are at a point where the oil correlation doesn't matter anymore or is oil just playing games because of options expiration? Anyway my stop is in place so I will accept whatever the fate is

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  #430 (permalink)
 
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 ratfink 
Birmingham UK
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Experience: Intermediate
Platform: NinjaTrader
Broker: TST/Rithmic
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bmtrading9 View Post
Looks like we are at a point where the oil correlation doesn't matter anymore or is oil just playing games because of options expiration? Anyway my stop is in place so I will accept whatever the fate is

Sent from my SAMSUNG-SM-G900A using Tapatalk

Market (Dax/Dow in my case) can gap big either way from where we are right now, imho. Distance travelled North or South might surprise a lot, it never has been about oil or any of the usual reasons given, they are all their own markets, they appear in sync only when they want to.

Cheers

Travel Well
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