Last week I did a great job of trading my plan. I was strict and the results were good. Today I slipped up. It happens, we all make mistakes. As long as we learn from them it’s a part of the growth process.
I missed the long at 99 because I was too slow to make the decision (I considered it risky because VPOC was just above at 1400.50 and I saw selling there) and when I finally saw it was going to work it was too late to get a good entry. After the double top it retested 99 but there was no signal. So I didn’t take advantage of the long opportunity.
So what did I do? I forced a short. I thought we’d drop back down to test IBH and I thought I could pick up 3 pts there and then get long IBH for 1406 which would have been an awesome trade. So I entered on a signal but it wasn’t at a zone. I invented a trade. I knew my mistake so I did what I’d do if I was flat – got short in the zone on a signal. I exited the entire position for +1 pt.
Had I been patient and waited to get short at 1406 (in the zone), I would have had very little MAE and would have had the necessary emotional capital to hold the winner down to 1403 area for 3 pts.
Fortunately my mistake didn’t cost me money, but the 3 hours of torture being upside down on my short was punishment enough.
One common characteristic I hear in the emails I receive is people appreciate my honesty. I hope you will benefit from my experience and we can all learn.
I will try not to let that happen again. I must stick to my key areas and I must enter on signals at those key areas.