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Early on in my day trading, I have started the practice of journaling my trades. I realized that every day when I perform journaling I tried to find ways to avoid the responsibility for the losing trades. I have tons of reasons ready to attribute to the losing trades. It could be an analyst who I have followed, internet, platform, bad emotions, psychology and etc. However, I did not realize that I had become the biggest obstacle to my trading success. I will discuss the following secret ways that help me improve my day trading. Also, download your free self-assessment checklist at the end of the article.
Tip #1 - Self-Assessment with Pre-Defined Criteria
At the end of the day when you are reviewing your trades to see what went well and what went wrong, you should have pre-defined criteria to review the trades. The criteria could include quality of the trade idea, entry, stop-loss, risk to reward ratio, confidence, and emotions during the trade and emotions in case you stopped out.
Journaling trade without pre-defined criteria is like finding water in a desert.
Tip #2 - Give yourself a rating
Once you complete the journaling, assign the rating between 1-3 for each trade and the overall rating for the day. 1 represents need improvement, 2 good and 3 excellent. Keep track of your statistics which will help you to see your progress.
"Without proper self-evaluation, failure is inevitable – John Wooden"
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