Wednesday, June 10, 2009

6-10-09 TheTrading Idiot

The average loser strikes again! How many times do I have to average to realize it's not helping my trading?

Second trade on the EURUSD was averaged. Entry wasn't valid (why did I take it again)? Also missed two winning trades while managing this one.

Like Mark Douglas says I haven't accepted the risk of my losers. Ironically this is causing me to lose.

So after reviewing the morning trades I'm doing something I haven't had to do in a few years. I am reinstating the trading idiot mode. As apparently I no longer have the ability to protect myself from myself. So idiot mode goes like this. For the next 60 trades if I fail to follow my trading rules (such as no averaging) and purposefully pull a stop, take a trade I shouldn't or even not take a trade I should my wife gets a new $1,000 piece of jewelry. The wife will be checking the account statements every morning to ensure that I follow the rules. Eventually I will learn to trade by my rules or the wife takes my trading account piece by piece.

+2 pips instead of +15


Syed Omar (Hilmy) said...

lol. very nice way to hold yourself accountable. Hmm, maybe i should do the same with my wife when i deviate from my system.

Solfest said...

That sounds familiar. LOL

Lord Tedders said...

Solfest your back!

How funny that we both are looking at the same topic. I love your post on being the risk management department.