Tuesday, March 31, 2009

Tuesday Goes...

Not much again today. Took some great trades today, managed everything well, exited well. A great day. That being said, it wasn't that profitable of a day. Just not a lot in the moves that I took. But I captured what was prudent and a winning day is a winning day. 5 trades today, 1 loss (-1 NQ point), 1 par, and three for profit trades. Not bad. And i'm not going to scoff at my earnings today because I did everything I needed to do and this was the outcome. Consistent growth, whatever amount is what i'm shooting for. The rest of my issues can be solved by simply adding size in the future. I certainly wouldn't have an issue walking away with today's profit (or yesterday's) on a 10 lot.

I have talked about this before a bit and I just want to reiterate that most of us starting out in this game focus a LOT on getting the maximum number of points per day possible. Most pro's I know and have traded with think of it in opposite terms. My mentor was always one to advocate trying to average two ES points per day and just adding size.

The harsh reality is most of us (myself included) would give anything to average 1 ES point per day in profits. Why? Because we all know that with size that's more than enough money to pay for anything we will ever want or need in life. The key then is that you don't make 1 point on average a day for awhile and then lose 5 or 10 points in one day. Which is why i'm focusing so much on giving myself options to get out of trades and minimizing drawdowns. I don't even want to trade a setup unless it is a 80-90% win rate. Its not about how much you make in profits, its about how much you give back!

So was today a 300.00 day? Nope. Was it enough? Yup.

Trade Results:

ES: +50.00
NQ: +5.00


Michael said...

Your exits looked like they were timed just right today!

ryan said...

Not bad at all!

Keep up the work, and best of luck!

Stan said...

Dude, I know you were thinking of me when you talked about averaging 1 point a day but then losing 5! That's me, man! :) But it's not like anyone would do such a stupid thing on purpose. Don't talk smack.

Seriously though, nice day today and props on the correct frame of mind.


Matt said...

Stan - you saw straight through me!

I kid i kid!!!