Hopefully this is a bit of food for thought and discussion material.
Since having started trading full time as of 01/11/2012 I have learned a lot of lessons about trading that I would not have otherwise even thought about.
1. Trading results are not linear - one must remove the idea of I'll just make $XXX dollars per day and that makes $X per week etc.
I have learned that the way I trade US treasuries is basically mediocre days followed by one big 'earning' day and the same with the MHI and HSI.
2. Position sizing does not have to be fixed when trading discretionary - I now know the types of days on which the 'style/method' I trade works very well and the ones on which it doesn't. When I spot the characteristics of these favourable sessions developing I start to increase my size to make the most of the conditions; thus far it has worked very well.
And on the flip side, as soon as I see an inkling of the opposite I drop my positions right down which has saved bank account damage from a string of losses.
3. Do no harm - I think T/H coined the phrase for me, but it is 100% right. To have to work your way out of a hole over a couple of days is bad enough let alone if it were weeks/months.
4. Be careful when withdrawing funds from the trading account -
It can do funny things to ones mentality when withdrawing funds; I took a fair heap out to travel and enjoy christmas this year with my lady and I had a losing week first week back combined with the already decreased account size made for a miserable mindset trying to revenge trade my way up and inevitably losing more.
5. Trading really is a great lifestyle but don't expect excitement all the time lol, there's alot of waiting and sitting on your hands so as not to over trade and force trade.
6. I am never going to trade Late Dec. again. Lesson learned; conditions did not facilitate profit with how I trade.
I would be interested to hear of others thoughts and input on similar issues.
Since having started trading full time as of 01/11/2012 I have learned a lot of lessons about trading that I would not have otherwise even thought about.
1. Trading results are not linear - one must remove the idea of I'll just make $XXX dollars per day and that makes $X per week etc.
I have learned that the way I trade US treasuries is basically mediocre days followed by one big 'earning' day and the same with the MHI and HSI.
2. Position sizing does not have to be fixed when trading discretionary - I now know the types of days on which the 'style/method' I trade works very well and the ones on which it doesn't. When I spot the characteristics of these favourable sessions developing I start to increase my size to make the most of the conditions; thus far it has worked very well.
And on the flip side, as soon as I see an inkling of the opposite I drop my positions right down which has saved bank account damage from a string of losses.
3. Do no harm - I think T/H coined the phrase for me, but it is 100% right. To have to work your way out of a hole over a couple of days is bad enough let alone if it were weeks/months.
4. Be careful when withdrawing funds from the trading account -
It can do funny things to ones mentality when withdrawing funds; I took a fair heap out to travel and enjoy christmas this year with my lady and I had a losing week first week back combined with the already decreased account size made for a miserable mindset trying to revenge trade my way up and inevitably losing more.
5. Trading really is a great lifestyle but don't expect excitement all the time lol, there's alot of waiting and sitting on your hands so as not to over trade and force trade.
6. I am never going to trade Late Dec. again. Lesson learned; conditions did not facilitate profit with how I trade.
I would be interested to hear of others thoughts and input on similar issues.