Wednesday, January 24, 2007

Realisation

After a string of losses last month, I only realised that:

  • My trading strategy, which I devised back in last August and allowed me to yield a huge amount of pips (1 Aug– 25 Nov), has lost its edge in current market situation.
  • Since the market is in a rally mode, you get punished heavily if you back the wrong trending direction.
  • There are a lot of false breakouts (traps) due to extreme price volatility and non-justifiable price action.
  • Trading based on emotion, aggression and hope will cost you dearly.
  • Discipline and cool mind are all you need when you are down and despair.
  • A fragile soul (of mine) takes 7-8 weeks to recover from mistakes.
Now, I think I am ready to make a comeback and be better than ever.

1 comment:

Anonymous said...

Great article

I hope everybody read this article

Thanks