I started a futures day trading blog some time agao mainly like a diary to help me along the way,it turned into a bit of a mission although quite a few people said it helped them sort a few things out..............
2 post I wrote at the begining and I really believe in albeit it is only my point of view............... i think it carries itself over into Forex trading although written really for day traders.........
the 2 posts
A few simple steps which if followed will ensure you fail when attempting to day trade the futures markets
Never try to outsmart the market,no matter how big,strong,intelligent,clever,old ,young,confident you are you can NEVER outsmart the market in the long term ,if you think you can you wont and you will fail
Never get emotionally involved in a trade..click the mouse forget the trade.. if you get involved at a mental level you will fail
Always use a stop and stick to it,never move it never cancel it never ignore it if you do you will fail
Never try and get back losses by trading harder or bigger than your management rules say so if you do you will fail
Never hang onto that losing trading hoping it will come back..99% of the time it wont and you will fail.
Never lose your temper or shout and scream..the market cant hear you it doesn’t care and you will have to take that next trade on an uneven keel..if you do you will fail
A few simple steps which followed will give you an edge when attempting to day trade the futures markets
2 post I wrote at the begining and I really believe in albeit it is only my point of view............... i think it carries itself over into Forex trading although written really for day traders.........
the 2 posts
A few simple steps which if followed will ensure you fail when attempting to day trade the futures markets
Never try to outsmart the market,no matter how big,strong,intelligent,clever,old ,young,confident you are you can NEVER outsmart the market in the long term ,if you think you can you wont and you will fail
Never get emotionally involved in a trade..click the mouse forget the trade.. if you get involved at a mental level you will fail
Always use a stop and stick to it,never move it never cancel it never ignore it if you do you will fail
Never try and get back losses by trading harder or bigger than your management rules say so if you do you will fail
Never hang onto that losing trading hoping it will come back..99% of the time it wont and you will fail.
Never lose your temper or shout and scream..the market cant hear you it doesn’t care and you will have to take that next trade on an uneven keel..if you do you will fail
A few simple steps which followed will give you an edge when attempting to day trade the futures markets
- Design a system that works on the mechanical principle of trading
- Keep emotional descion making to the bare minimum
- Accept that once in a trade the outcome is out of your hands completely
- If you have a losing trade mentally move on and wait for the next signal
- After a losing signal ask yourself ‘can I learn anything from this’. ‘did I do anything wrong’
- After a winning or losing trade check in your trade execution software that you are flat in the market and hold no positions. Sometimes after a busy day you can find you are still live 1 position, that position could take all your profits and needs to be closed. Check and recheck after every trade.
- Have a list of emergency contact numbers that can put you in touch with your broker in the case of your software going down whilst in a live trade.
- If possible have a UPS so that if you have a power cut you still have time to close out any positions
- Never rush into a signal because the market 'looks long or short' wait for a valid signal.
- Sit on your hands if you have to while your waiting for a valid signal , stay out of the market,one reason for failure is peoples inability to remain on the side lines and they over trade trying to 2nd guess where the market is going to go - no signal = no trade = simple
