As a professional day trader with over a decade of experience, I've learned that the most crucial aspect of trading is not just having a plan but following it to the letter. This lesson was vividly illustrated in today's trades.
The day started with a clear trade plan for the Q's, which involved going long at the previous close. As the market opened, it was essential to wait for confirmation that the level would hold before executing the trade. This patience paid off, allowing me to execute the long position successfully. However, the real lesson came when I had to sacrifice immediate profit-taking to focus on a short position. This decision was not about the potential $1,000 profit I could have made but about adhering to the plan and focusing on the bigger picture.
Following the trade plan meant executing a short position that had a much higher potential for profit. By sticking to the plan, I avoided a potential loss of $15,000. This experience reinforced the idea that profit is merely a byproduct of doing things right. It's about the process, not the immediate financial gain. When you focus on the process and follow your plan, success becomes inevitable.
Today's trading recap is a testament to the power of preparation and discipline. By treating trade plans as contracts with myself, I ensure that I follow through with my strategies, leading to consistent success. Remember, it's not about the P&L; it's about the process. If you can master this mindset, a world of freedom and success awaits you.