Are you wondering how to find an edge in the market? Do you know the deciding factor of your success or failure? Why are you losing instead of putting all your efforts and investments?
Of course, you are pondering seriously!
What is missing in your trading journey?? Can you recall your trading pitfalls?
Maybe you are unable to remember profitably and losing trades.
Now you are searching for something to compile your trading data. You need a key tool for your trading progress. This important trading tool is known as TRADING JOURNAL
If you have realized the importance of a trading journal, this post will explain:
How to create a Trading Journal?
There are different ways to create a trading journal. For example, by using Excel, Google Docs, Spreadsheets, and using certain apps. It is where you write down your trade history, winning or losing trades, reasons for losing, and winning trades. In addition, you can write your emotional trading reviews and overall performance in depth.
Only successful traders know the significance of keeping the record. They find them incomplete without keeping overall trading activity. Before going forward, they can look back to their previous trading history. Which is compiled in a trading journal safely.
What is a Trading Journal
To get the remarkable output you should learn from your losing or winning trades. It could be done only when you keep the history of your trades as well as the recent record of your trade. For this purpose, you need a record-keeping tool. This effective tool is known as a TRADING JOURNAL.
It would be best for reviewing your everyday trades routine and report. When you study your previous losing trades, obviously you will never try to repeat them in the future. You can put your trade on the right track with the help of a trading journal.
Because this tool will prevent you from entering losing trades and let you exit the trades on exact timings.
How To Find Your Edge In Markets
Everyone in the trading field wants to get regular-based earnings. Which needs performance daily. But it is not enough for being a successful trader.
The reason is the LACK OF FINDING AN EDGE IN THE MARKET.
You fail to find superiority in the marketplace. That’s why your regular performance is going in the dustbin. Plus you are repeating your losses like a perfect loser.
But the secret lies here:
With the help of a trading journal, you can find out the profitable trades from your trade history. And avoid the ones that are hurting your finances. This way, you will be successful in discovering your superiority in the market.
How To Prepare A Trading Journal In A Simple Way
Preparing a trading journal is very simple. You can select one that matches your style and Particular trading dreams. Just go through the following steps to make your one:
1. Decide to select a spreadsheet or a book: Prefer spreadsheet
In my opinion, spreadsheets work better than a book. Because spreadsheets have easier formats to put the analytical figures. It is easy for you to write down the data.
2.Find Out The Specific Information To Note
The trading journal must have some basic information at all which is helpful for you to focus on your trades. Below is the standard criteria for this Format:
|Combination of currency||Volume/size||Length||Time period||Position||Planning used||Scores||Loser/winner|
The criteria can be raised for keeping more data.
2. Record Your Trades Quickly After Entering
Make a routine to record the details of your fresh trades. This process will explain the reasons behind taking a trade. Start your recording after setting the stop-loss.
3. Organize The Information To Reflect Upon Your Trades
After a few months, you have specific data to compile in your trading journal. Now based on journal criteria, you can verify the number of your winning trades. This success number depends on the rate of your conviction which may be less, medium, or high. This will help you to judge whether it trades worthy in case of high conviction.
How To Create A Trading Journal Before Trade
Some influencing factors are must to write down before your entrance into the market. They are written as under:
Market Analysis and setups you are planning
Ignoring to write down your own thoughts will never let you compete with the market. Soon you will feel that you are absent in sensible trading Formats.
Fast Summary of future trading setups
When you are trading 20plus trading zones, you have enough data to compile. Now work to do is make a quick summary of your financial analysis. You explain your trading schemes within some words.
How To Create A Trading Journal During And After Trade
Now you have to record the following things while trading and winding up your trades:
1. Related Metrics
Below is a list of related metrics for your trading journal:
- Time period
- Trading terminal
- Type of lot
- Trading position
- Entry cost
- EXIT cost
- SL and scores of profit
- Risks on trades
2. Personal Trading Charts
Here is the list of your trading charts: you have to take care of your trading charts.
- Charts of Strong timings.
- Charts of entering trade moments
- Charts of your winding up trade times
Remember trading journals with light trading records have no importance to improve your business. It should represent the overall analysis of your trading activity, your emotional decisions, your sense of observing the market trends, etc.
Why Create a Trading Journal
Most traders build their trading journals to keep the record of their entrance/quitting trades, losing/gaining trades. They don’t realize the necessity to write down all the affecting factors.
The trading industry is like a lab. Where traders are performing experiences. Everyone wants to get good marks on performance. Which is written in performance sheets.
They get it only when they learn from studying the mistakes of trading journals.
Now I’m talking about the positive consequences of creating a trading journal. By journaling your record you can get the following advantages:
- You will put your emotional decision on the right track.
- You will get the ability to find your trading edge.
- You will be able to work like a professional and consistent trader.
- You can get the ability to calculate the growth rate of your trading achievements.
5 Top Trading Journal With Features
Here I will introduce the 5 top listed trading journals. That is top trending in recent days for analytical functions of trade. I bet you will like one to take benefit from:
|Trading Journal||Trading Features|
|1.Tradervue||It is made for practical traders. It is free of cost. It is used for forex, stock, futures, and options, etc. It has a system of robotic scores on charts with traders’ participation. So it is considered best for overall professionals.|
|2.TraderSyn||It stands first for its remarkable usage and features. You can use ANDROID mobile apps and iOS. It stands fit for overall trades.|
|3.Power E*TRADE||It is the best Etrade simulator. It offers $600 plus bonus21. It includes complete columns to add the data, with live data and a consistent entry setup.|
|4.Trademetria||It is suitable for easy format and quote features. It is also available for cryptocurrency. It proves a unique tool for writing down the actual-time quote data. Which is applicable for costly subscriptions.|
|5.Edgewonk 2.0||Its cost is $169.It is helpful for stock, future, CFDs, Spread betting. This software is easy to download. And you can watch the analytical features of trading platforms.|
|6.Prepare your own||It is supportive of all features. you can make it free with a Microsoft Excel Spreadsheet template. You can easily share this trading journal with other users of this site.|
Most Asking Questions
How do you make a trading journal?
You can make your trading journal simply by following these steps:
- Start your journal opening the market and stop it after the trade is closing.
- Note down all things.
- Carefully observe your emotional decision.
- Your journal must keep your personal thoughts and your complete trading analysis.
What Should be in a Trading Journal?
There are some basic elements of a trading journal. Without these features, a trading journal is like a simple notebook and gives you nothing to learn. Below these elements are listed:
- Traded tools
- Track of the trade
- Cost of Entry and exit trade
- Size of positions
- Overview of trades after closing.
After exploring the above post, you are realizing the importance of keeping a trading journal of your own. If so, just go to select a free template of a trading journal. Insert the specific data. It is ready to work.
Trading journal leads you to calculate your winning or losing scores. If you want to improve your performance, a trading journal proves a key to success. If you have no habit of journaling your trades, you have no value in trading platforms.
Otherwise, you are likely to drain your profits, waste your energies and just pass your costly time. Finally, you are standing in the same place as you were 5 years ago.
Think seriously, if you are unable to take the benefit of winning trades and stop the losing ones, how will you be able to get your trading dreams in the future? What will teach you to be professional?
Only a magic trading tool, called TRADING JOURNAL. Its study will give you the right track for your trades.