Monday, March 15, 2010

Isolating scalps from big picture

I was thinking over weekend how I should concentrate on isolating my scalp trades from the big picture. By that I mean that I watch closely what is going on and always guess on movements that are basically swing trades. My trades are scalps but when I'm in them I consider them like I will catch some big move. It would be better to find opportunities like I do an just take scalp profit and don't look back what will market do. Two, three trades like that in a day and that is my job.
Today those thoughts turned in a way I was trading. I found good spots for immediate move on one side or another, took trades and took profits when I consider them good for today's market. I didn't bother myself with thinking will the market go fifty pips up or down after my trades. I didn't put any emphasis on catching the bigger move. The thing is even thou you can't see on my charts any bigger moves that I captured I always consider that in my mind while I trade. So that is just empty thinking and losing energy and focus. That's what I think when I say that I should only scalp. In reality I do only scalp, but in my mind it's like I'm catching 50-100 pips moves all the time. That is useless and counterproductive.
It's o.k. to be conscious about what is going on on higher time frames and base my scalps on that but when I have my scalp profit just say good bye and never look back. Only for next short opportunity for another scalp entry.

I'm basically talking about my Friday's trading where I was in active market and I lost myself in trying to catch big move, while I neglected to use market movements to find good places for scalps that were available. Today I done just that and I'm proud of it. Two, three good trades should be my goal for a day before I sit down in front of my screen and not catching 50-100 pips move because I never do it and don't trade good that way.

Later I tried to catch any meaningful bounce with half size trades but there wasn't one. I expected some value buying but market just cleared all of Fridays advance. In reality I was empty for further trading after first two successful trades, so those were not so good actions on my part anyway. When I'm not any more for trading I'm in no mood to follow the trend, that's why I chose those trades.


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