Plan of Attack

Recently:

- Discipline is currently exceptional, and have zero doubt this will continue. Because if it doesn't I'm not fit to be a full time trader. Besides if I fuck up I will need to do multiple 100 hour Uber weeks which I don't want to do...

- Patience for entry is improving, and probably about as good as it's going to get.

- Seem to be getting wicked out of trades a lot. This is in line with keeping things tight, and I like this mental attitude, however can't keep getting wicked out.

Have been trading with minimum size for nearly 20 days now. Which is a single entry and single exit. In general have been finding that this:

(1) Requires really good patience for the great entry; allows things to be kept tight (with the good patience).

(2) Makes it difficult to hold onto winners. The consistency of taking profits quickly versus holding onto a winner. Often times the stock will provide a re-entry, BUT the re-entry wouldn't be quite as tight and therefore on the "tight, single entry" framework it can't be taken.

Where does this all take me to:

- I am struggling with the single entry, single profit target, tight stop. Some days I nail it; others I lack patience, others I get wicked out. It has helped me refine/improve my patience and discipline (necessary for consistency); but is not helping my consistency overall.

- Another factor to consider is that I have my biggest edge in smaller stocks, where it is harder to run a super tight stop on; and there is a bigger edge on staggering orders.

A quick revisit to prior reviews tells me that I trade the best when staggering orders (which I already knew), but there are some pitfalls:

(1) Because you are scaling on entry, you are actually adding to a loser (on a smaller time-frame). This is fine if it is part of the original plan, but it is the habit and frame of mind that's the problem. I allowed myself to envision how I would trade in this manner today (27th) and I can already feel that tug.

(2) Losers can be quite large if stop is hit straight away.

(3) It's going to be hard to do this, with such a tight leash that I am trying to develop.

Plan of attacking going forward:

(1) Max size:

- >$2 stock -- 400 shares. In lots of 200 shares.

- $2-$20 stock -- 200 shares. In lots of 200 shares.

- $20+ If ATR is less than $2 can do 200 shares.

- For ATRs greater than $2 I am willing to still do 100 shares, but need to be exceptional setups. So will probably just avoid.

(2) Losses:

- Max loss on 1 trade is $100. Which shouldn't be the norm.

(3) Take profits quickly. Size down immediately to allow for a bit more wiggle room, especially if the stock gives a little more trouble than expected.

(4) As always have the stop-loss entered into the marketplace. This will require some good planning.

(5) Try to anticipate and scenario build. If stock does this, am I adding into that move and at what point does it prove me wrong.