Experience, Reflection and Action!
Simply put, its a template for reflective style writing, Jasper (2013) came up with it. It's used to take note of an experience that has happened, record down one's thoughts about it then finally come up with actions on what to do about it or similar situations.
What does it have to do with trading:
I think its advantageous to new traders who want to journal their trades and aren't familiar with a set template. This framework offers a simple standard way for recording the thought process behind trades, and clear user-defined way of improving bit by bit i.e you will have more conviction of what you want to do better next time.
Example trade journal entry:
Experience - What happened/details?
[SELL] SPX500, 1hr timeframe, price touched recent high/resistance. Stopped out after some hours etc.
Reflection - What were your thoughts?
As price ranged around, I felt unsure if the trade worked. I scaled in too early, ignoring a rule of X strategy etc.
Action - What can be done better next?
Use a sell stop order instead, so I could be sure of where and when to add more positions in the accordance of X strategy etc.
Sources:
https://libguides.hull.ac.uk/reflectivewriting/era
Simply put, its a template for reflective style writing, Jasper (2013) came up with it. It's used to take note of an experience that has happened, record down one's thoughts about it then finally come up with actions on what to do about it or similar situations.
What does it have to do with trading:
I think its advantageous to new traders who want to journal their trades and aren't familiar with a set template. This framework offers a simple standard way for recording the thought process behind trades, and clear user-defined way of improving bit by bit i.e you will have more conviction of what you want to do better next time.
Example trade journal entry:
Experience - What happened/details?
[SELL] SPX500, 1hr timeframe, price touched recent high/resistance. Stopped out after some hours etc.
Reflection - What were your thoughts?
As price ranged around, I felt unsure if the trade worked. I scaled in too early, ignoring a rule of X strategy etc.
Action - What can be done better next?
Use a sell stop order instead, so I could be sure of where and when to add more positions in the accordance of X strategy etc.
Sources:
https://libguides.hull.ac.uk/reflectivewriting/era