Originally Posted by Blooey
1) My impatience gets the best of me and has me entering too soon instead of waiting for the right set up.
2) Not selling at the stop I had decided I would.
Same problems here blooey, I finally decided to start taking notes and I have come up with a general plan and a reason why I want to instill the specific rule into my trading. Here's a few:
1. Trade only what you are familiar with and only very strong setups--otherwise ignore it; it will help you cope with emotions if you turn out to be wrong.
2. It hurts when you lose money, however if it is indeed a setup you cannot help but getting in—keep in mind that the macro outcome of consistently trading only these kinds of setups in your mind will statistically mean success in the market.
3. Errors lead to more errors, accept both outcomes and move on, the best way is to be unattached to whatever the outcome is. Win or lose, you should not be directly influenced emotionally in either way.
4. You are trying to make money off of the market's emotional tendencies, do not let the market take your money because of your emotional tendencies.
5. Learn to identify when you are being emotional and know when to call it quits.
6. Technical analysis does not predict every move of the markets, it merely isolates and defines probable moves based on your interpretation. If you feel like taking a trade that you do not feel super confident about, take a look back and remember the kind of setups that you felt like the market was giving away free money to you. Those are the kind of setups you want to take and only take.
The key to staying consistent is to being very selective IMO.