So as I continue getting to grips with Jimmy Young’s approach to FX this week ended very slightly on a low for me as I reverted to ‘old style’ i.e. losing approach trying to substitute a system for using my brain…
As with so many things in life generally getting too attached to outcome means you can’t look at a situation rationally and make good decisions.
If some strategy or tool gives you a signal then it’s only the beginning, a hint to think about taking a trade. You still need to ask yourself why you should take the trade. One big part which I consistently forget is knowing where my target is for the trade…!
In other words Friday saw me taking a short with only a 1:2 reward risk ratio so immediately that’s a recognizably dumb idea. Now, I tried to short-circuit this by putting my stop way too close to the price.
Rather than accept it was a dumb position to take I compounded the error by changing all the criteria to fit the picture I’d become overly attached to.
Overall this week I’ve learnt quite a few things and am down this week a single point. Tools/Strategy is working but the trader (me) still needs more practice 🙂
For those of you who might be considering learning to trade please see updated ‘Read this first‘ page which now includes an educational video!
Thanks for reading