emehoke

nq trade is in our favor. now what are we thinking about?

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CME_MINI:NQU2021   E-MINI NASDAQ-100 FUTURES (SEP 2021)
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Nasdaq is working for us in the first 25 minutes of the day and we have to consider how to manage it. A trade isn't successful or unsuccessful until you are out of it. So far the trade has gone 1600 in favor at the most favorable, and now it's rallying against. It could easily run up now and take me out at a loss. There are emotions associated with these events that cause us to betray our trading system. That is why it is so important to have a plan before entering.

For really advanced traders, part of their plan will may be to give themselves the opportunity to adjust their plan depending on how the market is behaving. This is a double edged sword. True, you can profit more by giving yourself degrees of freedom, but also if you make decisions that would take away from your original plan then you have to face that fact, and it doesn't feel good. This in turn may effect your attitude towards the market. Everything about trading is about sustainability for the longer haul. If it's not good for the long run, then it's not good for the short run.

No matter how good of a trader you are, it pays to examine your habits and keep things as systematic as possible. The emotional-human side of us will make it difficult to achieve profits, and the rule-bound mechanical side will make it easier.

To top it off, it's also ok to open yourself up to the feelings of fear and greed. Because we all feel these emotions in a similar vein, when you are feeling fear about a market then it's likely that others are feeling that way as well. If you can train this to be a gentle feeling as opposed to an overwhelming feeling ten it has the possibility of offering assistance.