Not much better results to report today than yesterday unfortunately. While I didn’t have any -3 R-Unit trades, I did have enough full stops to negate the many solid trades I had. I’ve been tweaking my style a little bit today and trying something a little different and I found myself making the same kind of mistake over and over…almost always leading to a full stop. It revolved around taking CT trades back into the prevailing trendline instead of waiting for a trendline break. Thus I put too much emphasis on the TRIX reading and not enough on the rest of the signals.

It should be an easy problem to fix tomorrow now that I know its there. Below is just one of the several instances of similar mistakes that I made today.

In this trade I actually had a lot of little stuff going my way. But the mistakes I did make ended up being very costly turning what could have been a solid profitable potential trade into a full stop.

The first big mistake I made was to ignore the significance of this powerful up-move. It all happened very quickly and there was a surge in the 5-minute volume. This should have been the red flag that warned me to slow down and curb my short-side expectations significantly unless I got a powerful signal to the contrary. So I went for too much, mistake # 1.

Mistake #2 though was the killer. The reversal point labeled as ‘A’ was way too powerful of a move to be ignored. But ignore it I did. Not only did I ignore it and stay in the trade. But I left my stop at 735.90, or 4 ticks above the high!!! This really is unforgivable and I don’t know why I failed to exit the trade:
A.) For a 2-tick profit
B .) At Break-Even when the reversal signal came or
C.) On a breakout to a new high (not 4 ticks above it!)

Just goes to show you how easily it is to slip into a state of mindlessness and give back all that you’ve worked so hard for if you’re not careful .