Home > Beginner education > $trading journal must have

$trading journal must have

Every new trader knows to keep a trading journal; it is kind of right up there with let your profits run and cut your losses. In my experience it is one of the most powerful yet under utilized asset to a trader. Experience is everything in trading and the more you have the better you will trade. You will start to develop a “feel” for the market.

The purpose of a journal is to learn from your own progress, your own trades. My journal would have no meaning to another trader because we may need to work on completely different aspects of of our trading.

To me personally I believe the absolute must have to shoot yourself through the learning curve is recognizing what type of day unfolded to trade. In other words was it a good day to trade or was it a tough one.

From this you must ask yourself:

Did I trade according to what was available?

Did I push my trading on a tough day? This is not good. What was I focusing on?

Did I trade actively with a higher expectation for follow through on a day the market offered more for me to take? If not what was I focusing on? If I did take advantage of a good day what how can I recognize it next time?

Most new trader want to know how to make more money. The correct question to develop a good trader who can think on their own is: How do I recognize the difference between a tough day and a good one.

Advertisements
  1. Qamar S.
    July 21, 2009 at 5:08 pm

    Hi Pete and Eric,
    The correct question: “how do I recognize the difference between a tough day and a good one?” Well I have been amazed and excited about a book you recommended, “TrendWatching by Ron Insana. It makes the often repeated phrase “the trend is your friend” sound like a joke when don’t know any of the ingredients of what trends looks like. What an education!

    I realizes Ron is talking to investors, but I will be swing trading and found the book very useful. Your website is very informative. I can barely wait to get the trading experience and training with you guys. I look forward to reading your recommendation “A Rich Man’s Secret”.

  1. No trackbacks yet.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: