I am averaging a gross loss of about $8.50 per 1000 shares that I am trading. I am trading in 100 share lots and trading at a very high frequency for someone as new as I am. I am still having trouble getting my frequency down. This is just something I am going to have to force myself to do... what I want to know is how hard I should be on myself considering these numbers? I am trading stocks in the $25-$35 dollar range that do between 2 and 6 million in volume a day. I am getting rattled and tilting some during the day too. How does my performance rate for someone very new?
Newbie looking for tips to limit overtrading
- Thread starter Garbage Can Ray
- Start date
Consider automated trading.
I also started trading recently, in January. I have a set $100 downside, and trading 100 shares also. I've had probably 5 positive days spread over the 2 months. These past two weeks I've had only 2 negative days. I'm already 2,200 in the hole, less commissions and I trade probably twice as much as you... (I know i trade way too much, and what i'm working on right now is patience) These things take time. My past 2 weeks I've tried to limit my trades more and more. I set firm rules to how many trades i do per day. every few days, i've lowered it a bit. Each day it forces me to trade only the really good setups, and takes hope out of the equation. Don't stress about losing money, it happens to everyone who is just starting. focus on improving, and learning from your mistakes every day. Set firm rules and stick to them, and slowly but surely you will become positive, and eventually net positive. Keep a trading journal, and write down good trades and bad trades, what you were thinking during the trade, what emotions you had, what your upside target was, and your stop loss. Did you stick to the stop loss? most importantly focus less on the bad trades, and more on the good trades. Why did that trade work? Stay positive, and don't just beat yourself up for bad trades, write down good trades and encourage yourself. It goes a long way.
In regards to stocks, I also trade similarly, i normally do $15-40 stocks, trading between 1 and 10m. 2 stocks trading at the same price with the same volume can behave completely differently. Keep track of which stocks you do well in, and find stocks that move similarly.
Again, these things take time, and you have to remain positive. Your state of mind has a huge impact on how well you trade.
In regards to stocks, I also trade similarly, i normally do $15-40 stocks, trading between 1 and 10m. 2 stocks trading at the same price with the same volume can behave completely differently. Keep track of which stocks you do well in, and find stocks that move similarly.
Again, these things take time, and you have to remain positive. Your state of mind has a huge impact on how well you trade.