Opening a tradingjournal is easy, maintaining it is more difficult, due to methodological distractions and frustrations as a result of losses and lack of discipline. It is this journals intent to track an approach that appears to be the most basic in forex:
Price moves, reaches a s/r level, retraces and then moves towards that level in order to break it, or price breaks a level, retraces to it and then bounces off of it. This behaviour can be found on every timeframe.
Levels are psychological levels, high/low's, trendlines or even moving averages.
I mostly relate to trendlines and moving averages.
Another topic that I would like to cover as this journal proceeds is trademanagement. Quite an issue that I hope to resolve or at least that I hope to finde some peace of mind about it as the tradingdays go on.
Capital preservation should be the main concern. r being the pips risked per trade, I'm going to either reduce the sl to -0,5r or set the trade be after 0,5r has been reached. Profit target should be realistically determined by chartanalysis, but at least 1r.
I risk 2% of tradingcapital on each trade.
The timeframe traded is 4h, 1h, sometimes for early entries 15min.
Marketrhythm detection (as taught by Philip Nel) will be key to this trading, using average price high/lows, candlesticks, 21ema and 8ema and trendlines.
I don't label this method a system, since I don't want to squeeze it in into a rigid frame of rules.
Also the the mentioned trademanagement is more like a guideline than a ruleset. I'm hoping to find a method to safely manage the trade to profit riding the trend or profiting from the range.
Price moves, reaches a s/r level, retraces and then moves towards that level in order to break it, or price breaks a level, retraces to it and then bounces off of it. This behaviour can be found on every timeframe.
Levels are psychological levels, high/low's, trendlines or even moving averages.
I mostly relate to trendlines and moving averages.
Another topic that I would like to cover as this journal proceeds is trademanagement. Quite an issue that I hope to resolve or at least that I hope to finde some peace of mind about it as the tradingdays go on.
Capital preservation should be the main concern. r being the pips risked per trade, I'm going to either reduce the sl to -0,5r or set the trade be after 0,5r has been reached. Profit target should be realistically determined by chartanalysis, but at least 1r.
I risk 2% of tradingcapital on each trade.
The timeframe traded is 4h, 1h, sometimes for early entries 15min.
Marketrhythm detection (as taught by Philip Nel) will be key to this trading, using average price high/lows, candlesticks, 21ema and 8ema and trendlines.
I don't label this method a system, since I don't want to squeeze it in into a rigid frame of rules.
Also the the mentioned trademanagement is more like a guideline than a ruleset. I'm hoping to find a method to safely manage the trade to profit riding the trend or profiting from the range.