WHAT TO TRACK IN YOUR TRADING JOURNAL

WHAT TO TRACK IN YOUR TRADING JOURNAL


If you’ve watched this channel before and
especially if you are one of the Duomonians on our full online course then you will know
for a fact that I am a massive fan of trading journals. Some of you are just going to be
blankly staring at me after that comment because I know it sounds kind of boring it’s like
I’ve just told you that I collect stamps or something. Fact is that you can take your
trading to whole new levels of kick-ass, awesome success just by using a trading journal properly.
“Awesome, Wow!” And you can’t say the same about a stamp
collection can you? So for this video I’m going to assume that
you’ve already got a trading journal because if you haven’t you’d better get the **** awesome!
Also I’ve heard rumours that if you don’t use a trading journal as a trader then Clippy
the little Microsoft Office assistant will climb through your trading charts, through
your screen and he’s going to kill you. You’ve been warned.
But all jokes aside if you haven’t already started a trading journal make sure that you
go to the link in the description box and sign up for our free Inner Circle mailing
list. Then spend some time reading the free e-Book ‘How to Trade like a TraderPreneur’
so you can find out about how and why I use Evernote for my trading journal. It’s truly
magical. Right let’s get back on track fellow trading
journal enthusiasts. I want you to take a quick look at your journal. What sort of information
is it that you are currently storing in there? “This…- what did he say?- Is a tiny piece
of paper, tiny little thing containing all of the information”
Yeah, that’s right you lazy arses- I am onto you, because most traders that I speak
to are completely underusing their trading journal they can’t be bothered, they prefer
to live by the phrase “less is more”. “It’s a tiny piece of paper”
Well traders let me tell you, less is more has no place in this area of your trading.
You can save that one as an excuse for your poor bedroom performance instead. When it
comes to your trading journal you need to be meticulous and thorough no excuses ladies
and gents. Now although there are many possibilities
of what you can be recording in your trading journal I just want to share with you a couple
of tips, a few suggestions for you to start off with and for you to really build upon
from there, Okay? So let’s start off with… The Mistake that a lot of Traders make
Dramatic enough for you? A lot of traders make the mistake of only
using their trading journal to track information about their entries and exits. Things like
their entry and exit price, the amount of profit and oss they made, the position size
all of that kind of thing. Now by all means, you should include that
sort of information it’s not going to do any harm and it might be quite helpful in
the future but let’s not forget that all of that information that I just said is already
available in your trade history within your trading terminal. So basically it is quite
pointless admin and yet most of you will find that’s all that you have been tracking in
your trade journal so far. Instead I want you to start tracking detailed
scenarios and for me a scenario is not just the data of the trade it’s telling me the
whole story of the trade as well. Yes it may take a while but if you just set aside half
an hour at the end of your trading session to record this information and maybe as well
set aside a half an hour or an hour every day or every week to revise and go through
the different notes that you have collected so that you really get inside that information
and understand the scenarios. Now there are three types of scenarios that
I want you to start tracking from today as I said there is many more of them, but if
you could just do these three you’re going to see a massive difference in your performance.
So number one: Opportunities that you have executed as trades.
Number Two: Opportunities that you didn’t execute as trades.
Number Three: Interesting scenarios or situations that you have come across in the markets.
So let’s kick it off with that first point: Opportunities that you have executed as trades.
Now for this one my template would go something like this:
At the top of the page, I am going to have the date and time of the journal entry. Then
I’m going to have the name of the asset that is being traded and the main timeframe
and I’ll also put in brackets the other timeframes that I was monitoring. Then I’ll
put the entry price and time, the exit price and time, the size of the trade either in
contracts or whatever it is that you are trading. The starting balance, the ending balance after
the trade was closed and the profit or loss of the trade. Underneath this I will have
any relevant screenshots for the entry, so actual screenshots of my charts which I will
also annotate to explain why I entered and why I put my stop loss where I did and things
like that. Then you need screenshots for the exit as well as what happened after you exited
as well so you can easily see in the future whether this was the best exit plan or not.
Ill then have three sections that I am going to write in, so these are the text sections,
so I am going to put text in these parts. The Fundamental analysis, the Technical analysis,
my Money Management and my mind-set. In my Fundamental analysis, I’ll give a
few sentences if any. You know sometimes you might not have some, for why I’m trading
that market or about any other events that were going on that I was aware of that might
affect the trade. Next in the Technical analysis, I am going
to write about why I entered the trade based on the chart analysis and whether this fitted
my system or not. Next I will be writing about my Money Management,
I will show the calculation of my position size, how much was at risk? And how much I
was set to earn from the trade? So what the reward was for that trade and whether that
was in line with my system or not. And then finally I will write about my mind-set,
how was I feeling during the trade? Was I emotionally neutral with my decisions? Was
there anything that was impacting my decisions from a psychological point of view? When I
came to enter or exit the trade. Then right down at the bottom of the page
I might also include a section right at the end for any kind of conclusion or any other
notes that I think are relevant. Now as you can see it is quite detailed and
it will take some time. It is probably going to take about five to ten minutes per trade
but it’s really important that you do this as it is going to help you improve so much
quicker. It’s going to help you when it comes to optimising your trading system and
it’s going to keep you disciplined and honest when sticking to your system. This is really
the way to get the very best out of yourself as a trader.
So let’s move on to point number two this is the opportunities that you didn’t execute
as trades. For this one you basically want to follow the same points that you had for
number one except this time you are going to write it down as if it was a real trade
so this time you’ve got to be really honest with yourself about where you would’ve entered,
where you would have exited and all that kind of stuff and also make it very clear in this
note in the journal entry that it wasn’t a real trade because when you come back to
it in the future you may get confused and think that it was a real trade. So you want
to make sure that these ones are defined as opportunities that you didn’t execute as
a trade in the end. For this one you also want to add an extra section at the end which
explains why you didn’t take the trade? Whether it was a correct opportunity and whether
you should’ve taken it? And what you would do differently in the future so it’s really
important that you really describe the reasons why you didn’t execute that trade if it
was an opportunity. And finally let’s come onto point number
three which are the interesting scenarios which you come across in the markets. This
one’s really straightforward guys I want you to be taking screenshots and annotating
the screenshots of different things that happened like when the markets reacted to different
news releases or when market activity changed, different types of markets that you experience,
different candle setups you know different things, different significant levels and how
the market behaved around those. I want you to build a database of different
scenarios that you found interesting that you feel that you can learn from. Just make
sure that you annotate the actual screenshots so that you know what’s going on and then
have a text section below where I would include things like the Fundamental analysis if there
is any. The Technical analysis points, the reasons why you find that scenario interesting
and what you would do in the future. Whether you would take it as a trade? What you could
do to monitor those situations? And so on, just provide some qualitative data so that
you have some information in the future for when you want to optimise your system, whether
you want to try to incorporate something that is going on there. Either as a filter to stop
having that affect your trades or having it as a filter for taking trades.
OK guys so those are the three points and I do know that it sounds like a complete pain
in the arse but any company has admin like this, in any company you need to track things
and we need to start behaving like our trading is a business rather than just a random flutter
down at the Casino because that is not going to be consistent for us, whereas running it
like a business that is where you are going to start making some money.
And of course there are apps and there are websites that do some of those jobs for you
that we just discussed. But I’d rather that you do them manually at least to start with
because it is going to help you to get disciplined, it is going to help you feel more connected
with your trades and connect with the markets in the different activities that you’re
tracking there rather than a website doing it for you and you glancing over it. I want
you to really get into the information so don’t feel like you can cut corners, I want
you doing it all manually. And guys and if you do become a Trading Journal
enthusiast like me then in the future, I promise you I‘m going to release more videos giving
you more hints and tips, guidance about how your Trading Journal into a Super Journal
but first of all I want you to be tracking those three points that we have said today
and then after that I will give you some hints into turning it into something phenomenal
but guys that is all for today. So if you like the video please leave a thumbs
up we really appreciate those and if you’ve got any comments, questions, suggestions,
requests, abusive trolling leave it all below I read every comment including the abusive
trolls and if you want more videos about learning to trade make sure that you hit that subscribe
button and switch on our notifications so that you can be well aware of when new videos
come out and they will be coming out very often. So guys as always I really appreciate
you watching, take care and I will see you in the next video very soon. Bye-bye.

63 thoughts on “WHAT TO TRACK IN YOUR TRADING JOURNAL

  1. WOW, awesome video!! Absolutely what i need to understand fully what to do with my trading journal!! And i had ask for this video in course comment section!! Massive thank you Nicholas for the great and funny work!

  2. Really interesting video. I presume that scalp traders don't keep journals if they are doing multiple trades per day over small time frames.

  3. Must be fate, just spent the my focus for the week on learning about journals and now you released this video. What timing. Thanks for giving us a dealer look into journal, I look forward to more info on this subject.

  4. Thanks Nicolas . I already jornal but on excel it's a good idea using evernote Il start from next year. Thanks for the advice and amazing video.

  5. I've been banging on at this with my friends and they think i'm mad, thanks for this brilliant video to enforce what I already know about trading journal.

  6. For some reason this video can back in my mind and I think it will help me out a lot with me confidents and sticking to my plan!

  7. Hey Niki, With regard to money management i currently use online calculators for pip value and work from there. What formulas do you use for the money management shown in this video? As you can probably tell i'm not a maths genius 🙂

  8. noob question… this kind of journal make sense applied to trades placed in night (Lisbon hour, same as London) and checked the performance the next day, in night time again? I mean the sentiment or the emotion feeling is almost null for me trading this way, on a demo account.

  9. Great Video.. best I've seen so far re keeping a trade journal. Most seem extremely detailed, but this all has the important elements! Thanks!

  10. The structured manner of your trading strategy is honestly amazing. Thanks for the tips on the journal. I had actually started using this methodology and stopped because I wasn't sure if it worked. This is great confirmation that it is.

  11. i personally think the last part is most important .. directly followed by the "lessons learned" ..
    i do things up a little bit more by publishing this on a Blog. here is a example: https://swingfish.trade/blog/?p=1411

    i learned that making the log's afterward .. have you fade the emotional aspects gone away quickly.
    so i make this log in more less realtime. i find this exceptionally helpful if market conditions do change, and/or the bias does.
    also, i try to include "calls" about where price may do go .. that can be analyzed then really easy afterward as all the stuff is captured in screenshots.

    without a log its just impossible to find out what went wrong .. especially in structural matters. as afterward or on larger timeframes .. things may look completely different.

  12. Thank you . Could you show a hard copy or hand written copy . For example is each trade a sheet of its own?
    I really appreciate your videos.
    Kirk out.

  13. I know this video is a bit older but it has a wealth of information that is appreciated by myself. As someone who is trying to learn more about trading I think your channel is fantastic. Thank you for the content.

  14. Amazing video dude. All right words from the encouragement of discipline to downright providing a format and examples of how to accomplish this.

  15. Hey just wanted to abuse you like a troll because you're going to read this comment.

    Great video. Very entertaining. Thanks for the content though! This will definitely increase anyone's trading success exponentially.

  16. Good Evening Mr Puri. Haha I Am completely guilty for having a Tiny useless Trading journal with columns for Stop loss and Date of Entry . I am happy to say that I found the motivation to start a professional Journaling Method like yours. It really is quite a stretch but I willing to get comfortable being uncomfortable. I can completely see how I'm going to be able to optimize efficiently and grow my skills in the long term. It's quite crazy to be honest how a video uploaded such a long time ago yet still has so much quality in it. You set the bar high the moment you decided to create this channel and I am definitely not the only trader benefiting immensely from your Content.Thanks Again Brother Nick.Regards

  17. Just subscribed lots of great straightforward information, seems like he is actually trying to help us unlike others

  18. Man, you should talk less and be more practical. Go straight to the topic don´t sell to much because it´s boring.

  19. thank you for such real information…. and lack of bullshit. I simply love it. This is what we all need. experienced or not, thanks for being a solid educator.

  20. I write trading journals that are like 1000 words or something….Every trade journal takes me 2 hours to complete lol

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