There is no free lunch…
As with so many other things, either you’re going to pay upfront or you’re going to pay on the back end for being disorganized, and unfortunately, when you pay on the way out it’s always more expensive…”
Good record-keeping is the best tool for developing and maintaining discipline. It ties together psychology, market analysis, and risk management.
Writing down your trade plans will ensure that you don’t miss any essential market factors.
Good record-keeping will save you from stumbling into impulsive trades. Trading discipline is similar to weight control, which is very hard for most people.
We all make mistakes, but if you keep reviewing your records and reflecting on past mistakes, you’ll be unlikely to repeat them.
Good record-keeping will turn you into your own teacher and do wonders for your account equity.
Only Knowing this will not make you a disciplined trader. You’ll have to invest hours in doing homework and accept the pain of having your stops hit.
The work comes first, the rewards follow good and disciplined work.
The three key components of record-keeping:
1) Discipline begins with doing your homework
2) Discipline is reinforced by writing down your trade plans
3) Discipline culminates in executing those plans and completing trade records
We have given Excel Format at the end of this Post for your daily record keeping. You can customize it as per your requirement.
Also, Take a 30-second psychological self-test for an objective rating of your readiness to trade.
Use the attached excel sheet to check your psychological readiness for intraday trading. Modify it to fit your personality