Wednesday, January 20, 2010

Day after

I'm feeling little depressed today, which is natural after yesterday. I always wonder how did it happen again, how did trading like that slipped in when I'm alert on most of my trading days and try to stay away from trouble. It's also funny how in middle of bad trading day when you are staying in a big loss and it's widening bit by bit you don't have mental power or any other that is needed to stop the nonsense. You just wish and hope and can't acknowledge the loss and reset things. At that point you are no longer trading but following tracks that are set before and you can't change direction. It's pretty much debilitating experience. I'm not any more new to trading and I know what can I expect. Maybe before I truly believed that staying long time in big losing trade is good for me because there is possibility of reversal. I don't any more and I know that it's better to get out and take fresh perspective and try to see in which direction to trade, or even better to step away and leave to other day opportunity to correct things.
Those blow up days are like some relics from the past with frame of mind totally different than my current usual one. Tiring.

I had one little trade, more to break my mental cycles about yesterday than anything else. Mike at Fxmadness had great post yesterday about profit targets. Today I had experience with my trade of guessing where will I get stop out when it didn't go my way at first. Is it -4, maybe -6 or -8. When things don't go your way but you also don't feel that you are wrong it's problematic where to give up. Especially when you are scalping and all is so close, getting stopped or getting profit. Maybe it's best to really stop wasting mental energy and let it hit my predefined -10 pips stop that is automatically set when I get in. Only when I feel that I'm truly wrong I should stop before it. For my kind of profits 4-12 pips usually there is no point in fine tuning, it's going one way or another.

Today I didn't leave my profit like yesterday's first trade, they were very similar.

+7 pips

1 comment:

Mike K. said...

Thank you for your kind comment.