OVERTRADED | RESTART | Trades Review

Screen Shot 2017-03-18 at 10.17.14 PM.pngWhat the fuck is this?

[1] Too many strategies

Thinking of too many names… Creating new set-ups… Coming up with new names…

No no no… This is not supposed to happen…

[2] Wrong use of timeframes…

Mixing all of it up… Making decisions on one and managing a trade on another…

Setting stop loss on one and take profit on another…

Wrong wrong wrong…

[3] Good risk to reward, BAD probability

Look at all the “initial R”, great prospect… But… They’re not gonna happen…

Even if they do, it’s gonna take too long and some how the management will fuck the trade up… Due to the mix up of timeframes

[4] Good entry, BAD management & BAD exits

The entry set up is there, scored some fantastic set ups. But what’s the point if there’s no plan to exit or management fucks up the trade…

[5] Inconsistency

Very few similar set-ups… How to distinguish an edge?

Different amount risked for every trade… Keep the variables to a minimum

[6] Semi Analysis Paralysis

Apart from mixing up the timeframes, a bunch of tools has been used. This has gotten less compared to the past and is making good improvement, moving in the right direction.

Tools used –

(i) 30SMA and ST-TL for identification of short term trend. 30SMA for confirmation and removing of subjectivity based on facts and ST-TL for accuracy and projection

(ii) 150SMA and LT-TL for identification of long term trend. 150SMA for confirmation and removing of subjectivity based on facts and ST-TL for accuracy and projection

(iii) Support/Resistance levels – Identify demand and supply areas of value

Other tools for analysis such as Candlestick patterns and Elliot waves are just for added confluence. No positions should be open solely based on this analysis.

Therefore (for now),

(1) Do NOT open anymore trades

(2) Just manage all these trades in whatever way possible until they’re all closed

(3) Create a plan covering – Entry set-ups (x4) to take, trade management plan, exits and risk management rules. There must be a detailed plan (Standard Operation Procedure) covering these 4 aspects. Do not only focus on entries cause it’s useless without the other 3.

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