Trade Summary
20130219
Short 1 TF 924.7, -0.4
Short 4 TF 927.8, 927.9, 928.0, 928.2, -0.3, -0.3, -0.1, -0.3
Short 2 YM 13021, 13020, +10, +16
Short 1 TF 928.3, -0.5
Short 2 TF 928.7, 928.3, -0.2, +0.1
Total YM +26
Total TF -2.0
If your trade plan includes entry models that can capture the early breakouts and impulse pops the futures markets often offer, you must stress the importance of being ready from the opening bell to take those signals, even if the sleepy burrs are still around the corners of your eyes... ...or you haven't had your coffee... ... or there are other pressing personal things on your mind... Trading requires complete focus. Rehearse those early plan models in your ahead. What are their criteria? Sometimes, it's an intuitive market appraisal in the early going that keeps us from executing our plan. Today, I missed the early bull breakout entry signal, which came as a 'Stop and Reverse' in my trade plan. I could feel the appraisal in my head saying "The TF is too high already. It's up in nose bleed new contract highs. How can I possibly be a buyer!?" But that was exactly what the signals were. And having missed that, I was left with the scraps of sorting out an ugly consolidation pattern, which involved more stp-outs than profits. Be ready with your entries. Your trade plan should withstand intuitive market appraisals. We're not tape readers. Tape readers can rationalize anything, whether it's staying out of a valid trade, or taking a bad one. It can always fit some market appraisal in the emotional flow of the action. We're The Trader. We have a trade plan. It's been constructed on models that work far more often than they fail. Follow the plan. Take the trade models. And if your model cannot overcome your market appraisal, then something legitimate in that market appraisal should be part of the trade model. But if it is not, then your appraisal should be ignored. Be ready. Stay disciplined.
