Right up-front, before anyone else makes this comment I’m going to make it for them.
I am currently failing to learn this skill
Now this isn’t in some sort of ‘oh, woe is me’ post because I’m just not like that – oh no.
This is a statement of fact based on a recent trade where I went completely off the reservation. Friday I got involved in a trade with the following characteristics: –
- It wasn’t my idea
- It was in a pair I’ve not previously looked at
- It was against the prevailing market mood
- My entry point didn’t follow any setup at all
- It was on a timeframe I’ve not traded in before
While this experience wasn’t particularly damaging financially it did lead me to question whether (after all this time) I have any business putting real money into trades when I am still pulling this sort of suicidal crap.
After much soul searching (well 20 minutes) I’ve pulled my live account and will be trading on demo till Feb. So that’s four months to get my proverbial s**t together and prove to myself I can build a rising equity curve over time.
BEFORE anyone chimes in with the ‘demo account is not like real trading’ bleh, bleh, merh meh me noises… I know this. However I’d suggest that if you (or one if you’re pretending to be HRH) can’t do this off a demo system then there is literally no way on earth you can trade successfully with real cash.
I appreciate this isn’t exciting or interesting for people reading (sorry) but as I pointed out this trade was a universe away from everything I know that works…
Reading books, knowing setups and all that is valuable but they’re nothing without proper execution… and my execution really, really does suck.
So back to the drawing board, back to school, back to backtesting and back to demo. The upshot of this may be that my posting rate drops off a cliff but it was already pretty minimal. However, in this context going backwards may actually mean going forwards in the long run.
Let’s make it so ’cause now I’m just plain pissed off.