[method]

I've decided to post up a trading log to instill some 'routine' into recording my trades.

I have been watching and trading the markets for about 2 years now. I am currently a losing trader. Probably down about 2-3k euros. I hope to change that by the end of the year, scraping past at least BE.

I have two accounts - one is a bucket shop account (CFD) with NZ$2000 at CMC Markets, and the other is a 5000 euro account at Velocity Futures. I usually trade the DAX with the CFD account and FESX with the proper account (due to leverage issues).

However, I have recently ventured into commodities and FX - CL & 6E respectively.

I'll post screenshots of my trades whenever I do any.

Feel free to contribute!

[method]

Here is my latest trade, a stoxx short on memorial day (I think it was, I don't live in the US):




An overnight gap. I had my original target set at 2532 but then closed the trade after the tight red bar with large wicks, which indicated the market may be heading up.

Needless to say the market briefly touched my original target then bounced back up.

[method]

Losing short on the FESX two days ago.

One problem I've been facing since I started trading is not taking my winners when the market lets me. I get greedy and hope the market is going to go further my way. Usually the market reverses and hits my stop (I don't move my stops after I set them).

However I just realised it's probably better and easier if I grind out relatively small winners and go for the jugular when I have a safety cushion to fall back on, or when I have extremely high conviction on a trade.

Livermore said the way to truly earn big money is to ride your winners, i.e. sit on your winners but due to the choppiness of the equity markets and the difficulty in riding a meaningful trade I am forced to grind out smaller winners to build up/protect my capital.

Here's hoping this new strategy will work. I'll go for a 1:1 profit/stop ratio on my trades.

30 min FESX Screenshot:

[MidKnight]

Instead of hoping, surely you can test if 1:1 is indeed better than trying to let it run by examining your statements.....no need to hope, it either is or it isn't better and you have the data to know.

With kind regards,
MK

[method]

Another loss. Done about 3 days ago, on the FESXM0.

Got close to my target and promptly reversed and hit my stop for a 20 tick loss.

Probably shouldn't have gone against the trend.

[WorldTrader]

Method,
You need some help. I am not sure where to start. First, have a solid trade plan, if you don't tak trades against the trend then don't. I had a rough week last week, but so far my trade from last night hit target. I have two more for tonight. Here are my trades from last night and tonight. My win rate is around 69%.
Tonights trades This USDJPY long will probably become a short if the market moves down in the next few hours.
USDJPY Long 91.52 Stop 90.97 Target 9197

GBPJPY Short same as last night 133.84 Stop 134.66 Target 133.31
Last nights one no trigger and one hit target. I am going for smaller trades with Summer
GBPJPY Short 133.84 Stop 134.66 Target 133.31

EURCAD Short 1.2618 Stop 1.2672 Target 1.2582

[cuttshot]

Method,

The markets that you listed abover are all very volatile markets and you are trying to trade them with smaller account sizes. For me I would rather start with an account size of $12,000-$15,000 on CL and closer to $20,000 on the DAX. With the volatility on these markets just a handful of losing trades or sessions could wipe you out.

Not to mention trying to track and trade all these markets can be difficult. My advice to you would be to pick one market and focus on it exclusively. This will lower your exposure to the markets and will also help you learn one market really well.

Take crude oil for example. If you go back and look at the last 2 years on this market and did some back testing you would see that you can make a really nice living trading this single market. Everyone seems to think you need to trade multiple markets to be successful and it's just not the case. Any of the markets you listed could be traded alone for really nice results.

Worldtrader made a great point that you really do need a trade plan. You have to know where you are getting in and getting out before you ever enter a trade. Otherwise our emotions will get in the way and start telling us to get in or out and the worst possible times. I personally wont trade a market with live funds unless I have a detailed plan in place. This plan must be created and backed by my back testing. I have to be able to show statistics to back up any rule in that I consider adding to that plan. Until you have this in place I wouldn't recommend putting another dime on the line.

[method]

Thanks for all the feedback.

I am trading with the expectation of blowing my account, as I am a novice. In time I will learn the ins and outs of trading. Right now I just want to trade.

I don't really do any backtesting, because most of my trades are discretionary in nature, although I probably should. The only form of backtesting I do is looking at past price movements and seeing how they respond to S&R, price movement before a trend develops etc.

Anyway here is a screenshot showing my last few trades (and my current one).

First trade is a short @ 2721, which doesn't work out. I close it on the next day.

Second trade is a long @ 2728, which hits my target on the same day.

Third trade is an erroneous one at the EOD, which I close immediately upon the next day's open.

Fourth is a short @ 2721, which hits my target on the same day.

Fifth is a long @ 2673, which I reverse a few minutes later at a tiny profit because the price didn't behave according to expectation. I'm still riding the short, as you can see on the chart.

Depending on the opening price action tonight I will either cover or leave it to run, hitting my target hopefully which is at 2599. However I have a feeling it will be a buying day tomorrow if the shorts decide to cover.




Happy trading