The Daily Note - Top That!

As traders I think we compete more with ourselves than with other traders. Maybe not at first, but as we become more assured and more experienced with our success. So I realized as I thought to myself: "How do I top that?" coming off one of the best weeks of charts and plays.

The early game that some traders play is to try and outdo one another in quantity, quality in some imaginary contest. This can be good because it allows for emulation which is a good way to learn many things in life; but it is detremental when the competition becomes more important than the trade.

I prefer to look at a good trader to learn from, not to outdo. You can learn a lot by looking at trades through different eyes. Charts allow you to do that. However, if the charts confuse rather than help, ask yourself what you are missing, and then, if still stumped, ask the creator of that chart. Most chartists are willing to share their craft, otherwise, they would not post them for all to see.

By asking yourself what you are learning from the many charts that chartists who post on the web, StockTwits especially, you will soon find ones to follow who will teach you, even if silently. However, if you are looking to be just told without doing your homework, you are really not learning to trade or to read a chart, but only to follow. In other words, you become dependent on someone else telling you what to do and when.

Your willingness to chart your own trades and then compare them to someone else, will help you to become the good trader you are meant to be. I prefer to teach, therefore, I leave a bit of mystery in my charts for that reason. Guiding you by giving clues may help you see the chart with fresh eyes, teach you to find those levels that will break/make the trade, and hopefully encourage you to try to top that on your own.



So, how am I doing?
Happy Trading, Living and Learning
Anni


The Daily Pick - DRYS a pre-earnings chart

©DayTrading with Anni 2011 All Rights Reserved

The Daily Note - You Can't Finish What You Don't Start

How can you finish what you haven't started? If you do not set a goal in your life, how do you know when you've arrived, achieved, excelled? Whether you realize it or not, you actually set goals every day of your life. Things like: Get up time ____, Get to work time ___, Eat, drink, be merry, watch a show, go to the gym etc. are all daily goals. When you have done them, you finish them and you achieved them. You may even have overachieved them as in, too many drinks or excelled in them as in, an extra 15min at the gym. Realize it or not you complete many goals every day.

So why do many people have a tough time setting goals that go beyond the routine? Do they think they don't need it or perhaps they have low self esteem and do not wish to feel pressure or worry about failure? If you are one of them, maybe you don't realize that without goals, you can't have achievement ergo self-esteem suffers and a negative routine continues. Let me ask it this way; do you want to set a goal of: "Today, I will lose _____."? That is what you are doing by not setting a goal. The unconscious mind still sets goals according to its thinking and negative is as much a goal as a positive one.

A conscious positive goal is much more powerful than an unconscious goal but without setting a goal you cannot start the task.  Therefore, positive goals are as important in your daily routine as they are for your life.

So, if your trading is not quite what you'd like it to be I suggest that not setting positive goals as being a possible reason.

Try this instead:

• Each day set a "total gain" goal. Make it just a bit out of reach of your last day. If the last day gain was negative, make the goal a positive amount. Write it on a post-it.
• Plan each trade before the day begins with a goal in mind. Write down each on a post it.
• Paste your post-its on your desktop just in view.
• Vow only to focus on your post it trades and goals for the trading day.
• When a goal is achieved, remove the post it.
• When you have no post its left, your goals are achieved, your trading day is done.
• Celebrate

Now,  you have finished what you've started, rather than not starting at all.



Happy Trading, Living and Winning
Anni

The Daily Pick - Continued pattern play NFLX

©DayTrading with Anni 2011 All Rights Reserved

The Daily Note - Work Smart Trades

I work hard which will probably never change, but along with working hard, we all have to learn to work smart. It's true in any market situation, and no more than now. Working smart does not mean that you do shortcuts or that you work less, although it may lead to it, in a smart way. Working smart means figuring out what works for you and doing it over and over again.

Smart means knowing which strategy works best for your style. The one that no matter what the market does, you know how to trade. Some days less, other days more but it's one that you know will be successful a high majority of the time. You also have to know which symbols work best with your strategy and it's good to have a basket of them. I call mine "The Usual Suspects"

By tracking your trades, you can find out which stocks work best with your best strategy. Keep the daily log on each symbol separately and see which ones perform best on the average for you.
Weed out the ones that do not trade well daily first, then weed out the ones that work in the lower percentage of the time with a minimum of 60% preferably 70+% success.

Finally, remember that smart does not replace practice. Practice them until your percentage of success with each improves to be above 80% preferably to 90+%; by which time you're basket will be weeded down to about five traders.

Your Smart Trades can be the starters of your day or the ones you go to when others are not doing well. The ones that will boost your success and your confidence. The ones that allow you to - Work Smart Trade - them well.




Happy Trading, Living and Dancing
Anni



The Daily Pick - AAPL

©DayTrading with Anni 2011 All Rights Reserved