Trade Journal: What to Record Besides Profit
A green result by itself does not yet prove that the decision was a good one. One lucky purchase can conceal an emotionally driven entry, and a separate loss can occur even when the plan is followed.
A simple template for review:
1. Pair and date.
2. Entry reason, written BEFORE the purchase.
3. Exit plan and acceptable loss.
4. Actual purchase and sale prices.
5. Commissions and the final result.
6. Whether the plan was followed and what should be changed.
It’s useful to separately note missed trades: why you didn’t enter and whether that decision was within the rules. Otherwise, it’s easy to remember only the missed upside and forget the drawdowns you managed to avoid.
Several profitable trades are not yet a validated strategy. To evaluate it, you need a series of observations, tracking of all expenses, and an understanding of drawdowns.
What do you use for the journal: a spreadsheet, an app, or regular notes?
A green result by itself does not yet prove that the decision was a good one. One lucky purchase can conceal an emotionally driven entry, and a separate loss can occur even when the plan is followed.
A simple template for review:
1. Pair and date.
2. Entry reason, written BEFORE the purchase.
3. Exit plan and acceptable loss.
4. Actual purchase and sale prices.
5. Commissions and the final result.
6. Whether the plan was followed and what should be changed.
It’s useful to separately note missed trades: why you didn’t enter and whether that decision was within the rules. Otherwise, it’s easy to remember only the missed upside and forget the drawdowns you managed to avoid.
Several profitable trades are not yet a validated strategy. To evaluate it, you need a series of observations, tracking of all expenses, and an understanding of drawdowns.
What do you use for the journal: a spreadsheet, an app, or regular notes?