I wanted to spend a little more time on today and think I will do more chart screen shots as opposed to Trade Account Performance tab to help myself ride the trades longer and see the big picture / remind myself I am exiting too early.
It was the first time I felt like I followed my rules in a long time.
Today I sat down around 8, looked over my charts, did my usual routine of marking key areas of support/resistance as I see it based on the various charts, overnight, pre-market, etc.
A long signal was already in play from 7:33 from 83.81.
I felt tempted many times after sitting to jump in the long, looking for a reason to get in, but ultimately decided not to, as I had just told myself I would only concentrate on letting my runner go, which meant being patient and waiting for a better setup.
I was also prepared to wait until after the inventory news at 9:30 was released if necessary. I did.
Shortly after the news was playing out, I got a signal.
Here is what it looked like on the 6R:
I had noticed during the blur of price action just after news, that it had failed to get higher than .74-.77 area multiple times.
My thinking at time of entry:
1) It had just failed to get above the .74 area again and made a double top on the 6R.
2) It had just lost what I viewed as a key support area on the 5 minute in the .64 area.
3) It gave me a short signal bar fully below my MA, with a "decent" cut. The angle on the MA could have been higher in a perfect world.
4) The reward was going to be good, especially once it lost the .46/.44 short term support.
5) I set my first 2 targets just above this point, filled. The third I pulled a little too soon on the thought it was going to bounce off of this area. I forced myself to leave the runner in. (this was my key focus today and should be until I fix this "issue")
This trade made it easy to manage the runner as the move down went fairly quickly.
In hind site, I should have reversed the position to the long side as it gave a very nice V shaped GMA X cut when I exited.
Here is what it looked like on the 5 minute:
The most important thing is I followed my rules, was patient, didn't jump into the long, waited for a good signal, and most of all, let my runner do it's thing. Failed to take signals in the afternoon, already decided I was done, but this is one of those days that is just giving it up nicely / gives a reason not to have a set $ daily goal, etc. Trade until you get a good reason to stop.
You said: "Failed to take signals in the afternoon, already decided I was done, but this is one of those days that is just giving it up nicely / gives a reason not to have a set $ daily goal, etc. Trade until you get a good reason to stop."
ReplyDeleteI think this is dangerous thinking. It falls into the "woulda/coulda/shoulda" and hindsight-20/20 methods. If you did take a couple of trades after you told yourself you would stop, and those trades turned out to be stops, then your argument would be entirely reversed and you'd be saying that you should have followed your own rules and stopped after hitting a nice daily target...