A Good Imagination and a Pile of Junk

I’ve got a problem.  When I go back over my trading notes I notice a couple interesting things:

- I’m getting pretty damn good at getting in to a trade.  I have a couple trade setups that I recognize and time very well both to the long and the short side.  In fact, my success ratio is a little bit over 2 to 1 which is exceptional.  My trading is pretty basic still, but for now that’s all it needs to be.

- While I don’t “cut winners short and let losers run” I absoLUTEly “cut winners short.”  While I’ve gotten somewhat better at bearing the necessary drawdowns as things work themselves out I still hop out of trades at the first sign of trouble, once they’ve started working for me.

Again and again I look at notes that say: “jumped out too early”, “damnit it kept going”, “bitched out of the trade” and a couple less complimentary phrases.

I’m entirely frustrated by my lack of exit criteria.  I’m not going to go in to what they are, since this whole thing was just a lead in.

I sat down tonight (having exhibited this exact behavior on my two winning trades today) and collected a bunch of trading books, a notebook and a bunch of 3×5 cards.  I said (out loud actually) “I’m looking to learn one topic, exit criteria of successful trades.”

Then I came over here and opened a blog post.

*bangs head on desk*

Yes yes I know, it’s 12:45 am.
“ah, I should just go to bed so I’m fresh for the morning.”

*twitch*

Alright alright.