-$1000 in 2 days!

I’m down $1000 in 2 days from day trading ER2. Take a look at these graphs and it’s obvious the reason is that I’ve over-traded.

ER2 graph February 7, 2008.

ER2 graph Feb 8, 2008.

I have completely forgotten what I have learned in the past two weeks in Canada. I could blame it on the fact that I’m not used to trading at night and that I was very tired also because of jet lag. However, I shouldn’t have traded at all if I knew that I wasn’t in good condition.

Perhaps the thinking that caused me to trade so many times is that I didn’t want to miss any opportunities. I move in too fast before the signals are mature. Thus, one thing I need to do is don’t guess where the market is moving. Let the signals mature and the price to move a bit first before entering; I don’t have to get in and out at exactly the top and bottom of a swing.

For the moment, I am imposing a 3 trades maximum rule to restrain myself until I’m producing better results and am more disciplined.

Related posts:

1. SLW up about 20% in 2 days
2. Gold closed short position: +>$1000
3. Starting manual day trading
4. Day trading result Jan 18, 2008: -$400
5. Day trading report Jan 25, 2008: -$140