If you want to be a successful trader then you are going to have to suffer. You will experience the highest highs and the lowest lows as you climb the mountain of trading success. On this journey there will be one skill that will be more valuable to you than all others, and that is the ability to learn from your mistakes. In order to succeed in trading you are going to have to analyze every trading decision that you make, and the best way to do that is through a trading journal.
Now if you are anything like me when I first started trading then you are probably thinking to yourself � a trading journal? I don�t need that�, but I assure you that keeping a journal will improve your trading dramatically. A journal will allow you to analyze every trade to determine what went right or wrong so that you can keep doing the good things and eliminate the bad. This is essential to your growth as a trader because after all if you don�t know what�s not working then how can you fix it?
Keeping a journal will be the simplest thing you do in your trading life because all you have to do is write down every trade that you take, why you took it, and the outcome. After that you should analyze each trade and over time patterns will emerge. You will notice behavioral tendencies that you repeat time and time again that hurt your trading as well as noticing things that work that you may not do as often as you should. Then its as simple as eliminating the actions that aren�t working and doing more of what does. This is what makes a trading journal so powerful. A journal will show you things about yourself and you trading that will be difficult to realize otherwise. So if you are serious about being the best trader that you can be then put whatever notions you may have aside and start keeping a journal of your trades. You can thank me later.
No comments:
Post a Comment