Template trade for July: BOBO => SAR
(Quota Trade = CPG)
The beauty of following process is that even if you lost couple of trades, when you follow your rules strictly, there’s bound to be a winner. Don’t overanalyze, don’t get hyped by others, don’t switch styles often, & just execute a trade if your checklist says so.
I hope the other one will follow suit. xD
Trade Objective: BOBO=>SOR
If you wonder why I don’t do TF, it’s because I’m awful at it. I’m terrible in setting my stops. What I’m used to really is setting Target Prices/Selling at Resistance. If the stock rallies further then I just have to accept it, plan a buyback & exit plan if I want to re-enter, or just lie down and cry.
Fortunately, I’ve gotten past the part where I lie down and cry. Believe me there were countless stocks that I missed the monster rallies on coz’ I’ve sold at resistance. You might get crazy and become too emotional on your next trade if you don’t get over it quickly. As a momentum trader, naturally, I sell on strength.
There’s no one way towards success. That’s why in the ZF course, there are plenty of ways / strategies in buying or selling. You just pick your poison and choose where you’re good at.
So whether you’re better at Trend Following or Swing Trading, just remember one thing:
Focus on strengths.
I need another +10% trade to hit my monthly quota this month by only trading uptrending stocks and so far, so good. 🙂
Trading uprends – less hassle and analysis because there’s less resistance, by the book trade objective, easier to scale positions going in and out because there’s demand.
Do you also like to trade uptrends? Is it also ranked 1 on your checklist? If you do, thumbs up to you. (Y)
Buy on Breakout -> Sell on Resistance — so me. =p
But there might be another play in the making. xD
Are you the type of trader that can’t seem to pull the trigger because you’re afraid to lose? If you are, then you might be showing signs of having loss aversion.
- Always define your trade objective, follow that objective, and don’t change it (if you keep changing your objective, you will get confused, you will overanalyze, and you probably might blame yourself for not sticking to your original plan).
- Stick to uptrends. Yes, they might not have 100% hit rate but if you manage your risk properly and have rules that you follow then chances are your net gains on your winning trades will outweight your losing trades. Angkas lng ng angkas 🙂
- Avoid Sideways/Downtrending stocks—most basic tip. xD
- Personally, if I see 2-3 Bullish signs on a stock, I just wait for the trigger then buy. Don’t overcomplicate things, hindi ka talaga makakaexecute ng trade nyan or makapag execute ka nga kaso late na. xD
Simple set up, rewards outweigh the risks, created plan, executed plan, sold on objective, & tracked.
On to the next. 🙂
Vacation is over and done and too much time was spent away from the market. I miss the everyday grind and there are a couple of realizations I wish to share:
- It reminded me of my greatest “WHY?” in trading.
- Enjoy, share your profits, and don’t roll all of it over.
- Many people have it harder than you do so dont take it for granted and waste the opportunity.
- There’s no such thing as work-life balance, it’s work-life integration (read that online xD).
- It’s true that Trading is life, but Family is lifer. =p
Enough reminiscing and back to work. 🙂
In order to get back on track, I decided to review my journal and remind myself which high probabilty plays should I get into, look for those stocks if there’s any, then ride them.
So here you go…
I will get very busy in the coming weeks and might purge myself from trading for a while to accomodate some very exciting changes in the near future. But before that, let me share some of my momentum plays this month. 🙂
Goodluck to all traders and my ZFT family! XD