TradersWiki

Trading psychology

Keeping a trading journal

A journal preserves what was known and planned before the outcome was visible.

Record the decision first

This is a suggested working method, not a claim of proven performance improvement. Before entry, record the instrument, timeframe, rationale, evidence against the trade, planned exit and intended exposure. Save a timestamped chart if it is part of the reasoning.

Separate process from profit

After exit, add actual fills, costs and any change to the original plan. Score adherence to the recorded rules separately from the money made or lost. A profitable outcome does not establish that an undocumented exception was a repeatable decision.

A practical review

Take ten consecutive completed trades rather than selecting memorable examples. For each, ask whether the setup matched the written rule, the size matched the plan, and the exit followed the stated conditions. Group repeated deviations and change one process at a time. This exercise describes a review routine; ten trades cannot establish a durable statistical edge.

What to keep private

Keep personal account numbers, login information and client information out of shared journal extracts. A public example needs only the details required to explain the decision.

Sources & method

This entry presents a suggested working method. It does not claim a demonstrated improvement in trading performance.