Friday, December 16, 2011

The Week That Was.

I have been very quietly plugging away at my trading over the last couple of years. After taking an infinite number of notes on trading (even more on myself..), recording data from various approaches to trading the markets and keeping them in separate spreadsheets, one thing has become crystal clear... isn't the method. It's me holding,umm, me back. I sorely underestimated the influence that mindset has on the outcome when using anything even remotely discretionary to navigate the markets. I am fixing that now.

I have three decent datasets whereby I did/tried to adhere to one way of doing things for a large number of trades. All three have very similar equity curves that ultimately finishes with losing in the "end" (we'd have to go to infinity to find the real end, but that's another post!). Adding more weight to the above assumption.

So here I am at dataset four. I got off to a stellar start and have got to the point where, historically,I usually stop working (because we KNOW that several differing systems producing the same results in any given trader's hands is almost certainly connected to the trader's behaviour and not the systems themselves).

I'm currently in what could be 1) a draw-down in a rising equity curve or 2) The beginning of the end!

But, in the past, I've often found myself literally discontinuing data-keeping after a period of bad trading as the extent of the losses made the idea of going on with the idea seem...well...pointless.

But herein lies the difference. I've just had a terrible week, nothing worked the way it was supposed to. The week was negative but the percentage of gains lost was tiny in relation to how bad the week felt. This type of week would have usually resulted in a new spreadsheet!

So I didn't need to make this week, along with it's trades, just's just the week that was.

...Maybe this is what "1)" feels like...

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