Stock Trading Journal Book - Example of How to Write a Stock Trading Journal
Stock trading journal will track all your stock trading trades in a Stock trading journal. By following this simple, easy to follow stock trading journal writing tip, you can easily improve your stock trading results. Here is how you do it:
Step 1 - Write down WHY you are making a stock trading trade BEFORE opening a stock trading trade transaction on your stock trading journal.
Before opening a stock trading trade position, write in a stock trading journal the reasons why you are making the stock trading trade transaction. It doesn't have be long; it doesn't even have to be in compete sentences. Just write in the stock trading journal a few key reasons why you are making this stock trading trade.
Be honest with this stock trading journal. If you are honest, it will prevent you from making the biggest mistakes in your stock trading. If you see that you are making the stock trading trade because of anything other than a sound Stock trading strategy. DO NOT MAKE THE Stock TRADE TRANSACTION!
If you make a losing stock trading trade, do not open another stock trading transaction immediately so as to make profits to neutralize the losses you have made, this is known as revenge stock trading, do not revenge against the stock trading market. Shut off the computer, walk away, and take a cold shower. Remember that you will never lose money that you don't put in. A winning Stock trading strategy is not only about how much you win, but how much you don't lose.
Step 2 - Write down how you will exit the stock trading trade BEFORE making the stock trading trade transaction.
Do not get trapped with a great entry stock trading strategy without an exit trading strategy. Your stock trading strategy should have both great entry and exit strategies. One is useless without the other.
But you ask, Why bother? I know my stock trading exit strategy. Why do I have to write it down?
Well, the reason is this: humans are at best irrational, impulsive, and emotional creatures. If you have your stock trading exit strategy written down, you have a frame of reference when you exit a stock trading trade position. You will refer to your stock trading journal BEFORE exiting a stock trading trade transaction. If you are closing a position for any reason other than your original stock trading exit strategy, you must ask yourself why?
Your stock trading journal will save you more money than you can imagine. It will prevent you from making impulsive moves, which is usually why people lose money in stock trading.
Step 3 - Write down why you exited the stock trading trade position.
This should be the same reason that you wrote down in step 2. If it is not, it is up to you to analyze it. The most common reason why people deviate from their stock trading strategy is lack of discipline. Your stock trading journal will be looking back at you with glaring evidence of exactly why you are not a winning Stock trader.
Step 4 - Analyze the stock trading results
You must learn from your mistakes in stock trading. This is the best way for anyone to improve their profits. Everybody makes mistakes, but the great stock traders are able to learn from them and not repeat.
And the best way to learn from your mistakes is to document them in a stock trading journal. A few years down the road, you can still look back and realize that you are still making the same errors you were when you first began trading stock trading online.
This information cannot be found in any book or seminar. Your stock trading journal is personal and is uniquely you. Your personality will determine the type of stock trader you will become, and will also determine the type of mistakes you will make.
Not only does your stock trading journal highlight your weaknesses, it will reveal the stock trading transactions that are the most profitable. After a little while you will see the type of stock trading trade setups that make you the most money, and a stock trading pattern will emerge. Do not let this information on your Stock journal go to waste.
You should do every effort to understand why those stock trading trade transactions went well and try to replicate it as often as possible. Profitable stock traders know their strengths and weaknesses. They play on their strengths and try to minimize their weakness.
Do not get lazy and forget to write in your stock trading journal . Documenting your thought process is the fastest and surest way to get better at Stock trading. Do this consistently, and you will learn more about your habits than you can imagine.
Your stock trading goal is to identify and break the bad habits as soon as possible. If you notice that you always hang on to a losing stock trading trade transactions too long, you should do everything in your power to prevent this from happening again.
Your stock trading journal is stock. It contains a wealth of information that will play a vital role in your success as a stock trader.
We strongly urge you to use it for at least one month. If it has not helped improve your stock trading profits in thirty days, then feel free to stop.
But be sure to try it before deciding not to. It may be just the stock trading tool needed to push your stock trading to the next level to becoming a successful stock trader.