Today was basically a non event day trading in the ES market. We made a couple of attempts to enter the market today. Both attempts did not work out. This happens in trading. You can't possibly win them all.In any case, trading 2 contracts today we took two attempts, on both occasions the entry point was valid, but the momentum to carry the trade to victory was not. The total loss trading 2 contracts today was $600, or $150 per contract today ... two separate trades. Each trade individually lost $300 per trade today.
I know a lot of times I show the positive side of trading, and how much you can make. But the other side of this is you have to be prepared to take losses and drawdown to your account. There is no way that you will win every day.
On average I run between 60% to 70% Win Percentage and around a 2.0 Profit Factor. So for every dollar risked I make 2 dollars. We are coming into another month end and personally I start shutting down the trading for the month around the 28th. Tomorrow there are a couple of economic reports that I would like to trade after the release of them.
Another thing about trading is you will have streaks. You will have winning streaks and you will have losing streaks. Being able to continue to trade through the drawdowns is important. Perhaps, you have to adjust your contract size accordingly as you experience a drawdown period.
Nothing, and I mean nothing goes straight up ... your account will have peaks and valleys. What you are trying to accomplish is to make each valley a little less than than the last valley so your overall performance is in an upward movement.
With all this being said, day trading is perhaps one of the most rewarding things that you can do, but keeping your patience, discipline, and self-controll will determine in the long run along with your trading plan ... your overall success as a trader.
Good Trades,
David AKA Tiger
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