We have moved to Discord. Please click here to join us in the Trading Terminal Discord server.
These forums are read-only.
Leaderboard
Popular Content
Showing content with the highest reputation on 02/15/2022 in Posts
-
1 pointThanks! There are so many things that came together to make it happen, it's hard to choose only one. I would say that the biggest help was switching from shares to options, as it kinda forced me to take more risk (you can't take less than 1 option contract haha). I think one of the biggest problem I had was that I would take very little risk and make very little profit, then I would be frustrated to make so little money on the biggest opportunities, and I would then manage to have hulk days on bad opportunities because of that built up frustration. So when I switched to options, I started making more profits because of the bigger minimal risk involved, and that fixed something on the psychological level. I got confident I could make money, finally, and losing wasn't as big of a problem as before because I would be able to recover faster. That kinda tipped the balance in my favor (because I already had a good win/loss ratio, its just that my wins were too small compared to my losses) and gave me confidence. And it all went better from there. There was definitely a big psychological thing I had to get over about risking money. I used to be afraid to risk 20$, now I don't mind 200$. I hope that makes sense. But simplifying my tools and watching only 1 stock was probably as important.
-
1 pointThanks!! Sure, here we go: 1. the large drops in acct was "hulk" days ? Yes, some hulk days and some "deer in the headlights" days. 😄 2. Which tools u changed ? I went from DAS to TWS+TradingView for 2 reasons: 1- I wanted to trade options instead of shares, and TWS is much better than DAS for trading options 2- DAS is pretty expensive and I felt the monthly cost was pushing me to take trades to "make use of what I was paying for" and I wanted to remove that pressure. TWS is free, and TradingView is pretty cheap (around 300$/yr) compared to DAS, and I was already using TradingView for technical analysis anyways., I just love those charts and I find they are less taxing on my computer when calculating indicators in real time. 3. General or detailed info on strategy/setups and or risk reward as u profits are also very dramatic ? I used to scalp shares of stocks in play at the open using momentum, ORBs, engulfings, etc... kinda like what Andrew is doing. I was watching at least 4 to 6 different stocks every morning. I was also watching the level2 and Times and Sales for my active stock. I was using the automatic share size calculator by Kyle. It's complicated to explain exactly why it wasn't working for me but anyways... When I almost gave up in December of 2020, I decided to give myself only 5k$ for the whole year of 2021, and if I lost it all in the first week, just too bad, no trading for the rest of the year. And so, with such a little account, I had no choice to try options trading. I figured I would try to do the same thing as before, but scalping options instead of shares, and watching only 1 stock instead of 4 or 6. Since TSLA was and is still my favorite stock to trade, I decided to only look at TSLA every morning for a while and try to scalp options on it. It took a couple of months of setting up my new tools and adapting to this new strategy, and I almost blew up in the process (see the big drop to -27000 in early 2021, my account was less than 3k$ at that point), but I was able to recover and it finally started paying off. I also bought a macro keyboard to give me better control of my keyboard shortcuts and I feel like it made a big positive impact. I couldn't see myself trading without it now. So basically, I simplified my trading in many ways. I ditched the Level2 and Times and Sales windows, those were just too much information for my brain to process at the same time. I also went from watching multiple stocks to only one, which allowed me to really connect with the price action on the stock and feel what it wants to do a lot better. And I switched from shares to options and futures (I watch TSLA and MNQ for the market, so I will sometimes take trades on MNQ when I don't see anything on TSLA that I like), using only 1 contract on any normal day. Sometimes I will take more contracts when I'm absolutely certain of a move (I know there's no such thing as 100% probability but some moves can get pretty close to that) and I'll go up to 5 or 10 contracts which allows me to have those bigger green days. I also reduced my trading time to only the first 15 to 30 minutes most days, on rare occasions I will trade for the entire first hour but I try to avoid that as much as I can. Once I'll have a little green cushion (let's not forget I only reached break even yesterday), I will slowly increase my standard position size to 2 contracts instead of 1, then 3, 4, 5 etc. I'm hoping I can get to 5 contracts standard for the end of 2022, but we'll see. Right now I'm aiming for between 200 and 1000$ per day, and my max loss is around 500$ but its all good as long as I keep it under 1000$. I usually have 3 or 4 red days per month at most and they are usually more between 200-300 than 500-1000. Part of the simplification was also letting go of the chatroom, so I don't come in anymore, I trade alone, in silence. I can focus better and read the price action more accurately without the distraction. I hope that answers your questions, if you would like any other info, let me know! 🙂
