Weekly Trading Review 22-26th August – Fade to black

Weekly Trading Review 22-26th August

As this was my first week back after my usual break in August, I was not working towards my main goals.

The goals for this week was a follows

1) Before I start trading I will read my trading system plan, from start to finish, from pre session right thought to end session. Even though I know everything my heart, I will re-read it all.

Completed this.

2) Completing all my routines to the letter.

Completed this.

3) During the session, a focus on only Grade A trades with no pressure to take every opportunity. Goal will be to ensure that my read of the market is good and I am back into the flow, before actual trading.

Completed this. Did not trade on Monday just did my plans and followed the market.

4) Goal for the week will be to have 90% Grade A trades with a focus on what my read of the market is like.

Failed. My average grade for my trades this week was 89% and the cut off for Grade A was 90%. So did not make the cut. This was due to a few dodgy trades on Thursday but I will cover this below.

My read of the market, improved every day during the week.

What did I do best this week and how I did I do it?

What I did best this week is tied into the reason I failed to make the Grade A trades target.

My normal routine is to switch to the 1 min chart for the cash open. Just to get an idea of the flow in the first 5-15 minutes then I switch back to the 3min. Which is my normal trigger chart. I failed to make the switch back and stayed on 1 min for the whole morning session.

The result of which I got a lot more setups then normal. But I failed to realise that I was on the 1-minute chart and was playing the setups wrong. They started as Grade A and then slowly dropped thru the Grades, till one got to Grade D. By this time, I was nearly at my stop limit for the day. I then called a halt to my trading. And re assessed what I was doing.

It was then I realised that I was on the wrong time frame. I took a break, mediated and mulled over my mantra of I cannot change what has happened but I can change how I respond to it.

So I restarted trading and on focused on only taking Grade A set ups on the correct timeframe. Took 2 more trades that day and ended the day up by 3 ticks.

So why was this good. Normally on a day like this where I start to go on tilt. I have to wait till the next day to work on my recovery methods. As I am normally either at an extreme of risk adverse or risk seeking. But this time I was able to be in my A game for the rest of the day.

I have done this occasionally in the past, managed to recover from a bad morning session with a good afternoon session but each of them times it has been very stressful and I have had to force myself to trade back to the green, whilst trading mainly in my B game.

This time I was calmer, more focused and traded well and the whole recovery process was a lot less stressful.

What did I do badly this week and what lead me to do it?

I have noticed from my stats and just from my normal trading that I have a tendency to fade more then go with the flow or bias. Whilst I my fades are working well. I tend to miss the easier trades, which also have a better RR and just as good win rate.

Weekly Trading Review

What is the problem

The fade trade is the easier trader to take for me. It is clear where the stop should go (outside the zone which normally has some sort of pivot high or low) and clear what the risk reward is, normally the next level on that timeframe.

The pullback trade for me is a more difficult trade. Where am I wrong, as normally no clear structure close enough not to screw with the risk reward ratio. And where is the target? I always have doubts that price is going to make new extremes.

Why do I have this problem?

I have this problem due to my risk adverse nature and my fear of losing. Whilst I have managed to make head way on this in general. My progress in this only highlights the other areas where I have not made much progress.

What I am going to do

The first step is to identify whether my gut instincts and my stats are correct. I only have eleven trades in my stats for this setup. So the sample size is too small to start with. I want 50 trades in my sample size.

Therefore, I am going to start tracking these type of setups more careful and with more detail in the missed trades journal.

I am going to include the MFE and MAE tracking for all missed trades. Once I have a large sample size, this will help me decide the targets and stop size.

I already include the big picture and immediate picture trend bias in my missed trades journal.

Part of the problem is that all my time and effort and practice has gone into my fade and breakout failure trades. This means that these sort of trades are not a major part of my trading routine.

The second step is that as part of my weekend practice, I will pick 2 pullback trades from the missed trades journal and replay them on sim to help me get used to that style of trading.

Thirdly I will look at the rules for entry the pullback trade and see if I can simplify them.

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