Live Journal Exercise – Learning to Trade an Edge like a Casino

[Mike B 624]

August 21, 2019 - Nothing

I had work today that prevented me from trading the open. I tried to take a trade on $ROKU in the afternoon but ran into some Ping Rate issues followed by internet connectivity issues, so I had to call it a day. The life of a trader on Wifi.

Hopefully tomorrow afternoon will go better.

Sample Set Results,

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[Rob C 826]

2 hours ago, Mike B said:

August 21, 2019 - Nothing

I had work today that prevented me from trading the open. I tried to take a trade on $ROKU in the afternoon but ran into some Ping Rate issues followed by internet connectivity issues, so I had to call it a day. The life of a trader on Wifi.

Hopefully tomorrow afternoon will go better.

Sample Set Results,

S 2 3 P 5 6 P G 9 10 11 12 13 14 15 16 17 18 19 20

 

 

That's quite a delay Mike. Could you see the sluggishness on DAS which alerted you or do you methodically check your network on your checklist?

[Mike B 624]

DAS became sluggishness, which caused me to look over ta my network delay. Something with Verizon happened today around 1130. I have not been able to get my network speeds back up.

[Mike B 624]

August 27, 2019 - Had the opportunity to trade today that I was not expecting. I decided after being away for about a week, that I would trade Sim today and prepare for tomorrow. All I did today was work on my entry criteria for my moving average cross-overs and my routine for the afternoon. I was watching $MOMO and $AMD at the open but I did not see any opportunities that I liked to entered. Overall a good day to get back into my routine.

Live trading tomorrow to finish out the month.

[Igor 21]

Thank you very much for sharing this Mike!

The time you invest in your journaling is impressive!

I read "Trading in the Zone" and also watched the YouTube Series "How to think like a professional trader".
I tried the approach of thinking in probabilities and using a sample set and it really changed a lot for me!

But I have to admit that I stopped working with a sample set after I saw an improvement and my rules are no longer as defined as they were.
Your journal inspired me to go back to this approach and take more time analyzing my trades and following strict rules for setups, profit taking, stops, etc.

[Mike B 624]

Thanks, "Trading in the Zone" was a great book. I read it a couple of times.

Trading in sample sets has assisted tremendously with building confidence in my trading edge. I am so looking forward to adding my next trading edge as I have been working on it for a couple months now. I just have to confirm that my entry signal is viable and produces the results I am looking for. 

 

[Mike B 624]

August 28, 2019 - Stop & E-Stop

Terrible day at trading after coming back. I must of been a little rusty or over anixious to trade. My first trade was not to bad, except that I entered early and did not let the trade come to me. I contribute this more to I wanted to trade and did not want to miss the move. I got stopped out.

Second trade was total revenge, FOMO, or crappy trading, who knows. All I know is I should not have entered, but was happy that I realized it and exited. After that I called it a day. No need to keep digging my hole just to dig.

Sample Set Results,

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[Mark D. 435]

AMD has me so salty at the open. definitely not a good buddy. 

also, caught up on your youtube trade reviews. they're great, keep it up!

Edited August 30, 2019 by Mark D.

[Mike B 624]

September 3, 2019 - E-Stop & E Stop

I did not get any of my setups to appear last Thursday and well Friday CMEG had some issues with the platform at the open, so I decided not to trade after that.

For today though the question of the day is - 

Can you have a great trading day still be red? Well I think you can. It may not be the best for the pocket book, but for the psychology it is great. I have had a rough couple weeks, but the new risk management plan still has me in the gross and slightly red net. 4 Green days and 6 Red days or 4 green trades and 8 red trades. My old risk management plan, I would have taken a hit to the account.

So I took 2 live trades today. 1 5 min ORBO on $SNAP and a moving average crossover short on $AMD.

Trade 1 – I did not get in during the first pull back towards VWAP, because it broke before the close of the 1^st five minute candle. I eventually took it on the second pullback and rejection of VWAP. A little higher entry, but it broke the previous candle, a moving average, and a resistance level so I was happy with the entry. It popped up but did not quite make a new high of the day for me to get a partial. A new rule I have is I do not exit within the first 2 candles after my entry unless it hits my stop, after that I re-evaluate the trade and decide either to stay in to the stop or exit at a different point. I exited after 5 minutes when the stock just could not break above 16.35 and lost the 9 moving average. It did make it back to the high of the day, but I would not have gotten filled and eventually would have gotten stopped out.

Trade 2 – Between 0700 and 0730 I look for the 9/20 moving averages to cross the 50 SMA on the 1 minute with the slopes of the 9/20 moving averages looking to cross the 50 SMA on the 2 minute. My entry is a break of the 50 SMA on the 2 minute. Today I missed the entry and entered late, causing me to not get a 1R partial and eventually stopping out. I exited early again once the stock closed above VWAP and the 2 min moving averages rolled over. Except for the entry this was not a bad trade.

Sample Set Results,

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[Mike B 624]

September 4, 2019 - Partial & Hot key Error

Today I had $MU and $BOX on my watchlist for 15 min Orbs. I decided not to trade 5 min Orbs until I start to see some stocks continue trending after the orb. Right now I am 1 for 6 on 5 minute orbs. I almost got into $MU after the 15 minute mark, but the risk to reward was not there. $BOX did met my setup, but the volume and the price action where not smooth, so I decided to stay away from it. It did make a move but I would have gotten stopped out before the move.

After 0700, I switched my display and started filtering through my Moving average crossover stocks to see if anything look promising. $FB and $AMD both looked promising, so I started watching them. They both met my indicators and confirmation, but $FB did not break the 50 SMA, while $AMD broke, so after a little battle with my emotions I entered it at a good level. I set my Limit Order for my 1R partial and set my Range Order for my stop loss and profit target. I got my partial and then made a hotkey error when adjusting my range order and covered all of my position. I am going to have to work on that.

Overall though a good trade and I was happy with it.

Sample Set Results,

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[Mike B 624]

September 5, 2019 - Nothing

I had $MU, $SIG, and $CIEN on my opening watchlist and did not get my entry with any of these stocks. It did feel good to watch the charts all morning without the FOMO because I knew my entries were not preset. I switched my display after 30 minutes and started looking for moving average cross-overs. I did not get any to appear in the time I had to trade. I was planning to come back for the afternoon, but work over took my lunch so I ended up not getting to trade. Better luck tomorrow.

Sample Set Results,

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[Mike B 624]

September 9, 2019 - 1 Partial, 1 Early Stop, 1 Stop

Today was an emotional roller coaster. Ended the morning session happy with a partial and an early stop, took a run around the neighborhood, and came back for the close.

Got stopped out on $MU with a hotkey. I was happy with my entry, but very frustrated at how $MU acted at the end of the day. Came right to my stop, filled my order and then went on run to the long side. Just frustrating sometimes. All of my trades today I was happy with, just frustrating at the outcome of them. To make matter worse the two stocks I did not take in the afternoon moved perfectly for me. Again frustrating at the outcome, but happy with my trading.

1 Partial, 1 Early Stop, and 1 Stop w/Hotkey error. 

The best thing is looking at the streak of Red, I am still just down commissions with the new risk management plan I put together.

Sample Set Results,

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[Mark D. 435]

feel you on the frustration today Mike

[Mike B 624]

September 10, 2019 - Short day

Pretty quiet day for me as I did not want to force a trade anywhere. I had $T, $CTRP, and $WEN on the watch list. I would call today a day to take a position in the opposite direction of the 5 minute candle. I think only $ROKU gave a good Opening Range setup. Everything else was momentum or taking a position before or after the cross of VWAP. I almost got into $WEN short around the 9:45 mark but the 5 minute was way to choppy and the 15 minute candle was white and above VWAP. Not a good indicator to take it short. It was a good day for anyone trading engulfing patterns though.

I switched over to my afternoon station for about 15 minutes before having to leave for work. There was a nice setup on $ACAD, but it happened before I switched over so I missed the entry.

Oh well better luck tomorrow. I am trading for a good solid hour in the morning before having to go to work. I am hoping to find something to trade.

[Mike B 624]

September 11, 2019 - 1 Goal

I was still able to get a good hour of trading in before heading off to work. I had $PLAY, $MU, and $ATUS on my watch list. I did not plan on trading 5 minute opening range because they just have not been giving me the setups I like, but I did make the decision that if I got a great setup I would trade it. I got it on $MU, although it was a little later than a 5 minute Orb. I took an entry after it rejected VWAP/50 SMA and broke the previous candle, moving averages, and a resistance level. I got a little worried as it started chopping around the VWAP and even more nervous when Andrew decided to exit his position around the 0944 time. I almost got out, but made the decision that I would hold to my stop at 50.26 or a close below VWAP. It was reassuring that each time the price action touched VWAP that it quickly rejected it.

I took my first partial around my 1R level and I stuck with my trading plan A of exiting my full position at the profit target. I did have an issue as I inputted my range order but it did not fill and the stock began to reject the 51 level, so I removed the range order and decided to exit with the hotkey.

Overall I was happy with this trade. I did start looking for a 15 minute Orb, but nothing was there so I switched to  my afternoon setup and began looking for a moving crossover trade. I did not see anything I liked so I called it a day and started journaling as I knew I would not be able to trade the afternoon.

Sample Set Results,

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