And another trading week has come to a close for me. (But have fun for everyone looking to trade the NFP numbers this afternoon!)
Week#5’s results were an improvement on the four prior weeks, in which I squeezed out a small profit each week. So am really excited to report that this week the profit is 3.5R. I had 10 winners, 9 losers and 4 scratch trades. Although there were essentially still as many losers as winners, the losing trades were a lot smaller on average. The average losing trade was £69.90, while the average winning trade was £129.10, so 1.85 times as high. It wasn’t a case of going for big winners, rather I often got out of losing positions quite early – some of these will have definitely been down to luck though!
In terms of measuring ‘edge’ (see my recent posts on edge here), I am dividing the return by the total amount risked – for this week it is a return of 3.49R over amount risked of 19.29R – a whopping 18.1%. Bearing in mind that 22 trades is not a large data set, so outlying figures can easily occur, though it certainly bumps my average edge for 2016 year-to-date. The average amount risked per trade increased to £166 from £154 during Week#5.
Highlights this week included:
Trading on my 4-monitor setup, together with brand new (and very quiet) machine – thanks Trader Wayne for setting that up for me!
Punching one of these monitors in anger after three consecutive scratch trades (and a disastrous family therapy session and sleep-interrupted night) and it shutting down on me (eventually it turned out to be faulty cable)
Quick phone call with my trading mentor Paul Wallace who checked up on me after hearing that I was trading week-in/week-out despite having some significant difficulties & upsets in my personal life – he was concerned that I was letting out my frustrations via my trading – fair point. I assured him that I wasn’t and that I was keeping myself on a tight leash.
All in all, again trading well (results aside) – excellent preparations prior to London and New York sessions, visualization exercises, trading with discipline, taking valid setups, detailed risk management, good monitoring of the market, good use of support/resistance levels on the 1H charts, utilising price alerts and EMA crossover alerts on my FXCM platform, prompt documentation of trades, focus and concentrations throughout the sessions, anticipation of and waiting for potential setups, mixing gym workouts into the mid-day break on two of the trading days. Results aside, I am certainly doing things that look like competent trading. Well done, George!
Getting a real kick out of noticing inter-market correlations on lower timeframes – S&P, DAX, Dollar-Yen rate, Dollar Index and the Oil contract. Then the $ cross rates, as well as commodity currencies such as the Australian dollar. Listening to the squawk
for 7-8 hours whilst I trade is teaching me a lot. I feel like I am Neo finding my way around the Matrix.
Finding some excellent relaxing music on YouTube – I listen to music most of the time while I am trading, to help keep me calm and to stop me from rushing into trades.
Here are some of the stats for this week – for fun, I also included the total duration time of trades as well as average duration per instrument:
And here are the actual trades I took:
Till next time…..