A Brief word on Overtrading...

[Handle123]

Quote from Trader.Fighter:

Well, trends can turn into chop, and chop can turn into trends.

You are so right, but after three trades all going to breakeven while trading trend signals, unless price "thrusts" away from current activity, I can expect more of the same or losses. I am not one to keep pulling the trigger waiting for trend or chop to start. Currencies can make a very hard push in one direction then go sideways for six hours, and I rather be floating in my pool.

 

[Trader.Fighter]

Quote from Handle123:

You are so right, but after three trades all going to breakeven while trading trend signals, unless price "thrusts" away from current activity, I can expect more of the same or losses.

Good wisdom.

 

[mabenn]

Quote from NoDoji:

This was posted on ET a few years ago:

“Being disciplined in the past isn’t good enough: on each and every trade you must be disciplined. Forever. Like a drunk in a program you can NEVER slip off the wagon.”

Perfect. Someone should make an AA for traders...

 

[mabenn]

Quote from nazzdack:

Your "apparent" $1,000 daily loss limit is too large. :eek:

Yes it is... if I hit that on a 20k account in a day than it's gone too far. + evidenced by the lower risk model I would be better off overall capping the risk at 3% max for the day.

 

[mabenn]

Quote from electron:

Right, those are the reasons that can lead to overtrading, but what you are talking about here is really the lack of self-discipline.

For instance, the first and last items on this list are examples of that. They do not necessarily need to lead to overtrading, but they are not helpful either.

Agreed and thanks for your feedback!

 

[gmst]

mabenn - are you looking for solutions in this thread or you just want to tell everyone about your discovery?

 

[ammo]

"my tendency to over trade is on it's way out " this isnt something that you might get around to,develop discipline ,when to trade and not trade,black and white,kinda sorta is the way to the poorhouse

 

[Pipflow]

Over trading is very much bad for the traders because its the reason why traders lose money.

 

[mabenn]

Quote from gmst:

mabenn - are you looking for solutions in this thread or you just want to tell everyone about your discovery?

Both. feedback is always good but if this helps someone else then great.

 

[chimera]

i am beginning to think all trading is actually waste of time

if hedge fund managers can't even outperform the averages...what does that say about all these so called systems and traders out there?

Is it all a smoke screen?