Thursday, August 26, 2010

Bad Decisions

The trading education program has a trading room where trades are called, discussed, and taught.  I practiced simulated trading for a few weeks, grew my account $2,000 with some good trading and some bad trading.  I think I am ready to trade.

So, I get off work, no sleep, and sit down to start trading.  When I log into the room, the trade caller is out till lunch.  I made the bad decision to proceed with no mentoring or sleep.  Well live and learn.

Trades 8/23/10:

1)  8:32.37 am  sell 1073.75.  I had no confirmation of a breakout.  I just was ready to trade and wanted to be in the action.  Bad reasons.  Bad trade.  lost $62.50.  Not the fairy tale start I had daydreamed about having.

2)  8:43.01  bought the 1st reversion to the mean (rtm).  Good legitimate trade. +$87.50

3)  9:21.28  bought trying to get catch the bottom. Algo said sell, tape said sell.  -$50.00  STUPID Trade.

4)  9:33.56  bought Algo (algorithmic chart) turned blue (up trend) bought early being aggressive.  +$12.50. Dumb trade

5)  10:02.14  sold tape trade.  +$50.00   originally said not a good trade.  when checking it again I could not match the tape.  I like making $$, but I have to take good trades.

6)  10:15.06  bought the algo channel turning blue trying to be very aggressive. -$62.50 STUPID trade.

7)  10:19.00  bought when algo was red, bottom line blue, and tape said sell. -$62.50  Really STUPID trade.

8)  10:30.45  Sold the 4th rtm in the value area thinking the 80% rule was in effect to fill the value area.  -$87.50  not a good trade.  Value area did fill much later in the day.

Sumary:  -$175.00

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