Attended AFACT's Time for tea yesterday. Had chance to talk with one of the seniors, and seeing I've been at a few of AFACT's event, he got asked about what and how I trade. He was shocked when he learnt about what I've been doing and his immediate reaction was "you're wasting your time!"
Though disappointed, I knew what he said was true. I've not been trading consistently and without doing so, I won't know where I fall short and how to improve. So even though I've manage to minimize drawdowns to my account, it's not because I'm good or anything. In fact, on hindsight, I'm probably just prolonging the process but given long enough time, i'll burst my account one day..
The senior was nice and offered to meet up me one day to see how I can be helped. I thanked him and exchanged phone with him but know that waiting for others to help is passive. I must resolve to be more proactive and work out my trading plan and work out the schedule to execute it! Or I'll just be wasting my time!
Saturday, January 14, 2012
Monday, January 9, 2012
I survive!
Many books I read says that most people can't make it as a trader. In fact, many books give 95% as the statistic of people who burst their account. I see this number so often, I think it's like taken for granted to be fact already. Wonder if anyone really go and check the validity of this number?! Another statistic I see often is that most beginners burst their trading account within 6months. Again I have no idea where and how this number came about, but I guess it really doesn't matter!
I opened my trading account 6 months ago, and my goal at that point of time is to not burst my account within 6 months. Glad to say that I've achieved this goal, because I've been very conscious of this goal and took care to prevent myself from bursting.
On hindsight, what helped was that I followed my stop-loss very closely. Not once have I moved the stop, when the move was against me. I hope that qualifies for discipline. Another factor that helped was that I do not force myself to trade every night. In fact, sometimes I force myself to trade. Not that I don't like trading, but at the end of a working day, sometime, or rather often times I'm so tired, really want to sleep. So most of the time, I won't force myself to trade. So because I don't trade all the time, and kept my loss as small as I can, my account is still alive....
But again on hindsight, I really need to work harder on my strategy and mental stamina. If not, I'll never going to be able to improve my trade and level up.
I opened my trading account 6 months ago, and my goal at that point of time is to not burst my account within 6 months. Glad to say that I've achieved this goal, because I've been very conscious of this goal and took care to prevent myself from bursting.
On hindsight, what helped was that I followed my stop-loss very closely. Not once have I moved the stop, when the move was against me. I hope that qualifies for discipline. Another factor that helped was that I do not force myself to trade every night. In fact, sometimes I force myself to trade. Not that I don't like trading, but at the end of a working day, sometime, or rather often times I'm so tired, really want to sleep. So most of the time, I won't force myself to trade. So because I don't trade all the time, and kept my loss as small as I can, my account is still alive....
But again on hindsight, I really need to work harder on my strategy and mental stamina. If not, I'll never going to be able to improve my trade and level up.
Monday, December 19, 2011
It takes many to "boo"
Spent the weekend thinking and reflecting on my trade for last week. How did I lose when the news on the EURUSD were so straight forward?? Maybe I'm not cut out to be trader?
After looking at the charts, I realise that the problem could be I was only relying on one indicator. The double bollinger was meant to help traders get into trend. But its also important to get into the trend at the right time. What's more, trend don't seem to move in a straight line only. The way the price moves reminds me of a snake, meandering like a stream.
Looking back at the 15-min charts from last week, I realise that the price has been meandering inside a "channel" since the 15th. And the channel has been moving pretty consistently upwards. Just before I went to sleep at 2am on friday night, it seems that EURUSD has broken through on the downside. But the next morning when I check again, the price has returned back into the channel.
Hmm...what's going on? Why is the trend up in the first place when Eurozone has not managed to get its house in order? Is it because the S&P is generally bullish so far and so "risk-on" is in favor? How reliable is this 'channel trading'? Read that it's actually called "swing trading". So how can I improve my trading??
charts from dailyfx.com
After looking at the charts, I realise that the problem could be I was only relying on one indicator. The double bollinger was meant to help traders get into trend. But its also important to get into the trend at the right time. What's more, trend don't seem to move in a straight line only. The way the price moves reminds me of a snake, meandering like a stream.
Looking back at the 15-min charts from last week, I realise that the price has been meandering inside a "channel" since the 15th. And the channel has been moving pretty consistently upwards. Just before I went to sleep at 2am on friday night, it seems that EURUSD has broken through on the downside. But the next morning when I check again, the price has returned back into the channel.
Hmm...what's going on? Why is the trend up in the first place when Eurozone has not managed to get its house in order? Is it because the S&P is generally bullish so far and so "risk-on" is in favor? How reliable is this 'channel trading'? Read that it's actually called "swing trading". So how can I improve my trading??
charts from dailyfx.com
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