As a day trader, I always emphasize the importance of sticking to a well-thought-out trade plan, and today was no exception. Before the market opened, I had already mapped out the blue and pink levels on my charts, which represent the support and resistance levels. These levels are crucial as they guide my trading decisions throughout the day.
One of the key trades today involved the SPY, where the market opened above a critical level but below our risk threshold. As the market surged into this level, it was a straightforward decision to execute the trade. The speed and volatility at which it approached the resistance level ensured a reaction, and that's precisely what happened. The trade was executed, and as it pulled back, I made sure to pay myself, locking in profits.
The main lesson from today's trading is the importance of being incremental, especially when dealing with multiple support levels. Many traders make the mistake of holding out for a big win, aiming for the high of the day or some ambitious target. However, the reality is that with multiple support levels, it's challenging to predict where the market will bottom out. Instead, it's more prudent to take profits incrementally, ensuring that you lock in gains and manage your risk effectively.
In my experience, the key to successful trading is not just about making money but about managing trades and booking profits consistently. This approach has allowed me to make substantial gains, like the $9,500 I locked in today within just 15 minutes of trading. It's not about hitting home runs but about being consistent and disciplined in your trading strategy.
If you're serious about day trading and want to learn more about managing trades effectively, I invite you to explore the resources available at TrickTrades. With over 1,500 free videos and a comprehensive blueprint for trading, you can start your journey towards becoming a successful trader. Remember, it's not just about making money; it's about managing your trades and ensuring long-term success.