Understanding Every Action You Take As A Trader

Why do you have your chart/s setup the way you do? Why are you using that indicator, what role does it play within your strategy? Why do you have your $CL chart first-right and your $AUDNZD chart far-left? Why do you wait for a candle to close before entering or exiting a position? Why did you enter that last trade, what was the catalyst and, looking back, (Do you always look back and deeply, consciously analyse each action you take?) was it the right decision? If so, why? If not, why?

Following an hour spent in conversation with a trader I respect hugely yesterday, Zack Hurwitz (Of Sang Lucci and The VWAP),  not only did I learn a lot but I came away questioning my every action.

As an extremely analytical person, I keep stats on everything. My exact entries and exits, reasoning for both, analysis of this reasoning, a journal detailing my daily actions, structure and reminders of any mistakes I’ve made recently so I don’t make them again, stats on my most profitable days and months and on the exact times of day that my winning trades take place and are executed and closed, stats on my strategy’s MAE and MFE… The list is endless. I constantly strive for improvement in any way possible. I take my trading extremely seriously.

As Tom Dante put it in his ‘Fail Better‘ thread on Forex Factory;

“If you are still not making money trading, it is because something you are doing [is not] working”.

To succeed as a trader, you have to understand every single action and its relevance, execute ruthlessly and with precision, have full belief, know and understand probability (Remember, even a well-executed and well-planned trade can and will result in a loss), and manage risk to stay in the game.

I believe the first step to becoming and remaining consistently profitable is;

Understanding every action you take as a trader.

  • Will.


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