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How to Do a Daily and Weekly Trade Review: A Step-by-Step Guide

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Most traders don’t review their trades properly. They think they do, but staring at a chart after a loss, shaking your head, and moving on doesn’t count. If you’re serious about improving, you need a structured, no-BS process.

Here’s how to review your trades properly so you stop making the same mistakes and actually improve.

Step 1: Record Every Trade (Yes, Every Single One)

If you don’t track your trades, you’re flying blind. Every trade should be logged. That means:

Entry & exit price – Where you got in and out.

Position size – Small size? Full size? Be specific.

Trade direction – Long or short.

Time of entry & exit – Timing matters.

Reason for entry – Be brutally honest. No “I just had a feeling.”

Outcome – Win, loss, break-even.

Screenshots – Before, during, and after. Your memory isn’t reliable—document it.

Pro tip: Use a Google Sheet or a journaling tool like Notion or Edgewonk. Pick something and stick with it.

Step 2: Review the Data (No Excuses, No Shortcuts)

Every day, go through your trades and ask:

Did I follow my plan? If not, why?

What worked? What did I do right, and how can I repeat it?

What failed? Be specific. “Got stopped out” isn’t enough—was my entry poor? Did I chase? Was the setup weak?

How was my execution? Fast and decisive, or hesitant and sloppy?

What could I have done better? Adjustments, not regrets.

Example: You shorted USDJPY because it rejected a key level, but you got stopped out. Looking back, price never actually shifted market structure. That’s a review-worthy mistake.

Step 3: Identify Patterns (Find Your Strengths & Weaknesses)

At the end of the week, look for trends in your performance. Ask yourself:

What setups worked best? Certain time of day? Market conditions?

What kept failing? FOMO trades? Bad risk management?

Are my winners bigger than my losers? If not, my risk-reward is broken.

Do I perform better on certain days/times? Some traders thrive in the morning and struggle in the afternoon.

Spotting these patterns helps you refine your edge.

Step 4: Adjust & Improve (Stop Repeating Mistakes)

Now take what you learned and apply it:

Cut out bad trades. If a setup keeps failing, stop trading it.

Double down on strengths. If a strategy works, trade it more.

Fix execution issues. Late entries? Hesitation? Work on it.

Adjust risk management. If losses are too big, tighten up.

A review is pointless if you don’t make changes.

Step 5: Set Goals for the Next Week

Forget vague goals like “I’ll do better.” Be specific:

“I will only take trades with a clear shift in market structure.”

“I will not chase after missed trades.”

“I will stick to my stop-loss and not move it.”

Make it black and white. No gray areas.

Final Thought: Treat This Like a Business

Pros review their performance. Amateurs hope for better results. If you want to make money, start acting like a pro.

Do your daily and weekly trade reviews. Identify what’s working, cut what isn’t, and refine your edge. Simple, not easy. But that’s trading.

Now, go do the work.

Afraid to Pull the Trigger? Here’s Why (and How to Fix It)

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Ever sat in front of your screen, finger hovering over the buy button, heart pounding like you’re about to defuse a bomb? Yeah, me too. It’s called “Afraid to Trade” syndrome, and it’s the silent killer of retail traders—especially those with small accounts.

Why? Because hesitation is expensive. The market doesn’t wait for you to get comfortable. If you freeze up, the move you’ve been waiting for will leave without you. Worse? You’ll probably jump in late, chasing price like a panicked tourist running after a departing train. Not a good look.

So, let’s talk about why this happens and, more importantly, how to fix it.

Why Are You Afraid to Trade?

1. You’re Overvaluing Every Trade

Let’s be real, when your account is small, every trade feels like it matters more. You don’t have the luxury of deep pockets, so every loss stings like a betrayal. But that mindset turns each decision into an emotional rollercoaster.

Fix it:

Think in probabilities. No single trade defines your success. A good strategy plays out over dozens, even hundreds of trades. Your goal? Execute well, manage risk, and let the math do its thing.

2. You Haven’t Truly Accepted Risk

Saying “I accept risk” and actually accepting risk are two different things. If the thought of losing makes your stomach tighten, you’re probably risking too much.

Fix it:

Lower your position size. Seriously. If your stop loss getting hit makes you want to punch a hole in your desk, your risk is too high. Scale it down until a loss feels like a paper cut, not a gunshot wound.

3. You Don’t Trust Your Strategy

When you hesitate, deep down, you don’t believe in what you’re doing. Maybe you haven’t backtested enough, or maybe you’ve been burned too many times. Either way, doubt is the enemy of execution.

Fix it:

Go back to the charts. Backtest your setups. Track your trades. Build confidence through data, not hope. If your setup is solid, your job is simple: execute it without hesitation.

I use Market Replay function of TradingView to test my strategies.

TradingView is my go-to platform for Live trading and Market Replay. It is cloud-based which means you can access from anywhere. And the ability to code in pine script opens up opportunities for traders to grow and profit. I am happy to recommend TradingView to traders at all levels.

4. You’re Chasing Perfection

News flash: no trade setup is 100% perfect. If you’re waiting for a flawless entry where risk is microscopic and profit is guaranteed, you’ll be waiting forever.

Fix it:

Accept imperfection. Edge, not certainty, makes money. Take high-probability setups and trust the process. If you lose? Fine. Next trade.

5. You’re Too Attached to Money

Trading with money you can’t afford to lose? Yeah, that’s a problem. If losing $50 on a micro lot trade feels like losing rent money, you’re in the wrong headspace.

Fix it:

Only trade with risk capital. If you’re depending on trading to pay bills, you’ll make emotional, fear-driven decisions. And fear-driven traders get eaten alive.

Practical Steps to Overcome Fear

  • Set a Daily “Pull the Trigger” Rule → Commit to taking X number of valid setups per day. No excuses.
  • Use a Trade Checklist → Define your setup criteria. If it checks out, you must take the trade.
  • Reduce Size Until You Feel Nothing → If fear is paralyzing, you’re trading too big.
  • Detach from Outcomes → Focus on execution. If the setup is there, take the trade. Win or lose, it’s just one step in a larger game.
  • Rewire Your Mindset → Winning traders aren’t fearless. They act despite fear because they know the long-term game.

Final Thought: Just Take the Damn Trade

Look, hesitation will kill your trading career faster than a bad setup ever could. Fear is natural, but letting it control you is optional. The only way through it? Trade. Make mistakes. Learn. Repeat.

Because the reality is, if you wait for fear to disappear, you’ll never trade at all.

So go on. Pull the trigger.

22 years of Trading: A Twitter Thread Worth Reading [2022]

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22 years of trading: A twitter theread worth reading

If you trade and are on Twitter, you have probably followed Tom (@Trader_Dante). Tom does not need any intro here. Go check out his tweets.

I found a recent thread tweeted by Tom which summarized his 22 years of trading. It is worth reading, for both experienced and new traders alike. The facts/rules that he mentioned, are not new. In most cases, you know them, understand them, but more often than not, failed to act on them.

You might already read the thread on Twitter. I am posting here just to keep a record and to ignore the noisy replies on the platform.

22 years trading

Here are some of the most important things I’ve learnt (Part 1/2): 

1. There is often a huge difference between what you want to do and what you’re good at doing.

Some traders may want the excitement of scalping but don’t have the time or the mental agility. They may be better suited to another style.

Play to your strengths to find your niche. 

2. To make it this business you’re in for the fight of your life.

And the biggest enemy is you. 

3. If you desperately need to make money to pay the bills or support your family, get another job first.

Needing to make money with urgency puts huge pressure on a trader. This pressure is not conducive to making effective trading decisions. 

4. If you want to hit the summit, then you’re going to have to make the climb.

Climbing takes a lot of hard work.

Your aim should be to take money from traders that haven’t put in the work you have and make sure that very few are putting in the level of work you are. 

5. Capital is king.

Respect this and preserve it at all times.

If you do not have capital, you cannot trade.

If you cannot trade, you cannot win. 

6. You need to know:

– What you want to see
– Where you want to see it
– When you want to see it 

7. If you don’t know something, you need to make sure you do.

For example, if you see a large gap in your market and you wonder to yourself how many times gaps fill, stop wondering and gather the data.

This is how you can grow to make confident decisions. 

8. You should try to enter the market as close as possible to where you are wrong on your trade idea. 

9. You need to learn to forget about the great prices you could have traded at.

The only question that matters is: Should you enter, add or exit, right now? 

10. R is not a static concept. It moves with the trade.

If you enter a trade with a 10 tick stop and a 100 tick target and are +90 with a stop at breakeven, you’re evolving R (Risk Reward Ratio) is 0.11. If you get stopped out, you have just lost 90 ticks.

There is no such thing as a free trade. 

11. If you can’t look at a market and see who the weak hands are, the weak hand is probably you. 

12. Finding and taking excellent trades is not the hard part.

The hard part is trying not to do anything stupid in between them. 

13. Intuition comes from studying the market and watching it over a long period of time.

If you get a strong feeling about a market, even if you are not completely sure why, act on it. But know that feelings can be wrong and be quick to act if the market does not confirm it. 

14. You need to grow a pair when you’re managing a trade.

The space is littered with traders calling tops and bottoms and taking a few ticks before micromanaging and getting out.

Don’t be one of them. 

15. The market almost always tips its hand to which way it is going.

If you can’t see this, you haven’t watched it long enough. 

16. The greatest opportunities, the ones that elevate your career massively, usually look very “risky”.

Have the guts to step up when you feel, deep down, that it is time.

Grow a pair and act decisively and don’t be a victim of the “if only I had…” mentality. 

17. Keep your transactions to yourself. Do not boast about wins or lament losses to other people – especially those that do not trade themselves.

Most will call you lucky when you win and a fool when you lose. If you get consistent, they will only pester you to trade for them. 

18. If you cannot adhere to the last rule and desperately feel the need to show someone where you got in a trade, make sure you’re out of it first.

Market turns occur when you screenshot open positions. 

19. Work on finding the base level of risk that is right for you. To do this, you should know your metrics (win/loss percentage etc)

You can’t afford to bet the farm on a trade. But if you trade like a pussy, you will never have a farm to be in the first place. 

20. Risk can and should be varied from the base level.

There are benefits to risking a fixed percentage per trade but there are times (and trades) when you should push the envelope.

If you do not understand when these times are, you do not have enough experience. 

21. Many traders make a mistake and then compound it in frustration by jumping into an ill-considered position or betting too big etc. This is illogical: If you have a flat tyre, you don’t get out of the car and slash the other three. Don’t be a cunt. 

22. It is a bad habit to make the same mistake twice.

It is unforgivable to make the same mistake a third time. 

23. Emotions should be dealt with like with calories. Absorb them and then burn them off before you enter the next trade. 

24. If you have a problem, the process to solve it is by asking yourself:

– What is the problem?
– Why do I have it?
– How will I solve it?

Many make the mistake of leaving out the second part. Without considering why you have a problem you cannot effectively solve it. 

25. Journal everything you do.

Question everything you read.

Test every idea you have.

Compare multiple outcomes on trades. (Start with whether it’s a good idea to move to breakeven. Go onto whether it’s beneficial to take partials) 

26. Take time off to recharge when you feel you need it.

Time is a great healer. 

27. Money comes and money goes as you win and lose.

The only number that matters is the amount you leave the casino with when you retire. 

28. The true cost of trading isn’t always limited to the money you think you’re risking, the education you pay for or the time you spend learning.

The true cost isn’t known at the start.

But one day, someone will bring you the bill and you’ll remember these words. 

5 facts about day trading

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5 facts about day trading

This post was written back in November 2007. I thought it offers some food for thoughts to new traders. I have edited and rewritten part of the original post with what I have learned over the years.

Here is the blog post.

5 facts about day trading

I have been day trading for quite a while. I am not a pro yet. But I guess, I can share a little bit about day trading. Since my friend, Faith Lu, a young gentleman from China, is keen to learn all about trading, I guess this might be a little helpful to him. Remember, these are not the rules, just some observation from experience.

#1

You are a day trader, not an analyst.

All you need to know is basic Technical Analysis, be cool, and trust your instinct. Bull shit? I don’t think so.

Our goal is to generate profit from trading. Very often, traders tend to spend too much time studying. While it is good to keep learning, all you need is to be well-versed in the tools that you use to trade.

For example, I rely heavily on volume profile in my trading, that’s what I focus on. I learn everything about volume profile, learn the best way to use the tool.

You don’t have to be a master technical analyst to day trade. Be good with the tools that matter to your trading, it might be drawing trend lines, Moving average, or reading market volume, etc.

Detailed market analysis is for gentlemen who get paid by writing reports, but not trading. Your job is to start the day with cash and end the day with more cash. Thinking too much is not helpful.

#2

You need to know a little bit about mathematics

Mathematics

Hold on, don’t panic. I know you probably hate Math in the school.

One of the most important math concepts you need to understand as a trader is the concept of Probability.

You will never know what is going to happen on the right side of your chart. We are playing with probability. We stack the odds before taking a trade.

Most of the time, it is 50:50. In this case, bear in mind that we want to earn $1, but with the only potential loss of $0.5.

When the market is moving in our favor, let it run, otherwise, leave, please. You don’t need a degree in Mathematics to know, risk $1 to earn $0.5, with a 50% winning chance, it doesn’t work in the long run.

#3

Tea break

A day trader does not need to trade every day

This is for retail traders. There are days that you would be better off sitting on your hands. If you’ve just pocket $1000 today, do not expect to earn another $1000 tomorrow. Every day is a new day. There are days that you just can’t trade.

For example, If you are not into trading news, then do not try to trade during big announcements like Non-Farm payroll, or Interest rate statements.

A professional trader who plays the order book can and normally, trade day in and day out. For retail traders, some days are better to stay away from the market. Go for a walk or jog in the park.

Day trading as a retail trader is just like doing your own business. We do not need to sit in the office every day.

#4

Focus on playing chess

Day trading is a mind game, and a decision-making task

Make sure you are in good condition mentally before start trading. For example, it is a damn bad idea to trade right after fighting with your spouse. You’ve to make decisions when trading, you need a clear mind for this task.

So if you are not ready for the task today, then come back tomorrow.

#5

Focus is required to trade well

You need energy and focus to day trade

This is particularly important to Asia Pacific traders who trade U.S or European markets. Trading in the late evening or even midnight puts you at a serious disadvantage.

Yes, it is possible to adjust your routine to trade in the evening. But the potential health issues are something you need to think about.

Secondly, day trading is a tedious task. You need to bring your 100% to the game. Can you focus and be energetic enough in the late evening? Don’t kid yourself, have a serious thought about this.

5 Facts About Day Trading: Wrap Up

Day trading is a business that allows you to earn a living. But choosing the right instruments, markets, and style is crucial.

There are skills that you need to acquire and there are facts such as your physical location or living environment you need to consider before starting to day trade.

Do you still have something to add on? Shoot me a comment.

Talking about $Risk/Reward and winning%, in Twitter-style

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Risk/reward vs Winning %

Back in 2009, I was very active on Twitter, so did a lot of old-time trader-friends. There weren’t so many “gurus”/”Furus” back then. Twitter discussions were solid and helpful.

Some of them (Twitter friends) had since stopped trading or left social media. It was the good old time. I learned a lot. This blog recorded one of the many conversations I had on the Twitter platform.

The original blog post was written back in 2009. Over the years of blogging, it has been buried. I decided to refresh this blog post since it provides some food for thoughts to new readers of this blog.

We had a short conversation over at Twitter to discuss the importance of a higher probability setup (I assume this implies the setup provides a higher winning rate) and risk/reward ratio. I quoted the Twitter messages here. I thought this is an interesting discussion, and it shows the different risk perceptions, tolerance, and expectation of each trader.

There is no absolute right or wrong. That was just a casual discussion, and we were not trying to convince each other about anything.

Phileo99: speaking of risk/reward, isn’t it a bit overrated? I think the probability of the setup is more important than the risk/reward ratio

you can have a 5:1 reward/risk ratio, but if the trade setup is poor quality and low probability, it is a bad trade to take.

instead of thinking risk/reward ratio, i prefer to think, “where can this instrument go?” “when are the odds in my favour?”

Trader Gav: @Phileo99 No.RR and probability should work together. Nobody is more important. low prob setups need higher RR to survive.

Phileo99 :@tradergav if consistency is the goal, then i’d have to disagree – probability of the setup is way more important than risk/reward

Phileo99 :i’d prefer to hit 10 singles vs. striking out 9times before i hit the homer …. easier on the psyche. losing streaks are hard to take.

Trader Gav: @Phileo99 it depends on your mentality. Profitable strategies can be 40% winning% with 1:3 RR consistently.

Phileo99: @tradergav true – there are different paths to +ve expectancy. we all choose our paths 🙂

Trader Gav:@Phileo99 Right. Common goal is +ve expectancy. Each has his/her own way.

Prospectus: @tradergav I’d rather have a higher probability setup so that the roll of the dice is less likely to bite me. But it’s my preference

Trader Gav:@Prospectus that’s normal. nothing wrong with that. Just personal preference. I weight more on RR and expectancy.

Phileo99: @tradergav I would agree that for system trading, neither is more important than the other. I was speaking from discretionary trading PoV

Prospectus :@tradergav I think that the right personality can clean up on big R:R–we see it all the time among the greats. That’s just not me.

I had some thoughts on this topic.

Firstly, regular readers might have known I favor the R/R concept. In other words, before establishing any trade, the risk/reward ratio is the first figure that being calculated on my screen. And, Yes, it determines if I am going to take the trade.

However, I do not expect every trader or any trader to have the same temperament or risk tolerance. One of my strategies is, in fact, running at around less than 50% winning rate but with high expectancy, in other words, each trade provides a high risk/reward ratio. Man, are you able to accept to be wrong 6 out of 10 times? Who doesn’t love to be always right? But I love $$ more.

Back then, out of curiosity, I took a trial of a signal service of two prominent analysts/traders (guess who? I’m not telling you). The selling point of their strategy was a high winning rate. If I still remember correctly, they claimed to have a 70% winning rate. However, after reviewing their trade history, I noticed, on average, they were making 30 pips by risking 70 or more on each trade.

Here is the calculation.

  • Reward: 30 pips
  • Risk: 70 pips
  • winning rate:70%
  • number of trade =100

Profit = [70 trades x 30 pips profit + 30 trades x (-70 pips loss)] = 0

Assuming trade size is constant, and all losses are taking at full risk amount (i.e 70 pips). This calculation is not the exact math, it is meant to demonstrate the possible effect of risking more than potential reward.

Well, so, with the impressive 70% winning rate, over a period of time, net profit is impressive 0. I did not consider break-even trade, since It did not happen too much in the trade history. 

Winning % and Risk/Reward ratio is a pair of tools. They have to work together. Nobody loves losing streaks. However, you can win 70% of the time, with just a couple of losing trades to wipe out your previous earnings. So…you got the point.

There are two points that come out from here:

  1. You do not need to be right frequently in order to profit from this business. Winning % is not the only factor in profitability.
  2. Consistency, We are talking about trading profitable over the long haul. Trading is not an activity for one to feel good about being right all the time. It is for profit. If you are looking for the ‘Feeling good’ activity, then, look elsewhere. At the end of the day, you need the dollar to pay the bill.

Of course, I am not suggesting one to take sub-par set up with a big risk/reward ratio. That depends on your overall strategies, and that’s a different topic.

The point is risk/reward ratio should part of your consideration when determining if your setup is a quality setup. A high-quality setup should not come with an inferior risk/reward ratio. Be it discretionary trading or system trading. The math remains the same. You got to know why you are taking the trade.

To play around with risk/reward calculation, have a look at my old post Accuracy vs Risk/Reward ratio.

OK, I talked too much.

Are you trading with Indicators? – A few Suggestions

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Trading with Indicators
Trading with Indicators – 4 Suggestions

I have been working on coding my indicator and strategy on tradingview lately. I thought I would write a short post related to trading with indicators.

There is no shame or a sin using an indicator to trade. Our brains are wired differently.

Some of us can do quick math and analysis on the fly. Some of us rely on graphical presentations to make a decision.

If you have to use a technical indicator or indicators in your chart analysis, I have a few suggestions for you.

Trading with Indicators – 4 Suggestions

#1 Understand the math behind the indicator.

I can’t stress enough the importance of understanding the math behind any technical indicator that you are about to use.

You do not need to be a math genius. You do need to be able to understand basic math operations.

A technical indicator is basically a mathematical blend of data.

We receive open, high, low, close, and volume as the raw data on our chart. We can calculate the average of closing prices, finding the highest volume, or calculating the differences of mean, etc.

What is a moving average? It is the average closing price over a defined period. And What about MACD? It is the difference between long term and short term moving average.

You got what I mean? Indicators are the calculations of the raw data. Each calculation serves a purpose.

Why would you want to use a tool that you don’t understand to help you make financial decisions?

#2 Trade location first, indicator triggers second

Oh boy, the crossover of any lines on the chart always gets traders excited, isn’t it?

Hang on, don’t click that “Buy/Sell” button just yet.

One of the most common mistakes an indicator-trader makes is to follow the trigger signal blindly.

What is the secret of using an indicator trigger effectively?

Trade location.

Over the years of trading and learning, it was the recognition of trade location that turns my trading around.

What is a trade location?

A trade location is an area that is derived from the market structure. Traders are expected to take action at these locations.

A trade location could be a major support and resistance area, high/low volume node of volume profile, borders or trading range, or major swing high/low, etc.

Knowing a potential trade location gives you an edge. But knowing the location alone is not enough. You have to work on your entry technique.

There are many entry techniques. For example, in Futures trading, I am using order flow, while in Forex I have candlesticks patterns and other indicators to help me.

Same thing goes for indicators. After you have identified a valid trade location, a trigger of indicator might give you a good entry.

The point is, don’t use indicators alone. Use it to your advantage.

#3 Indicator, the less is more

One of the common mistakes newbie traders tend to make is having way too many indicators on a chart.

By stuffing the chart with indicators, you are complicating the decision making process. And to worsen the situation, indicators give you conflicting signals.

Try to limit the number of indicators on the chart. The lesser the better. Trying to simplify your decision making process is the key.

#4 Create your own indicator

I encourage you to create your own indicator. Why? Because it is a great learning experience.

By working on the code and the logic, you will learn to look at market data quantitatively. You will learn to understand the market you are trading better.

I always enjoy working on my own technical indicator. It gives me the focus I need, and helps to prove the concepts I have in mind.

You don’t need to create an indicator to start trading. Just take this exercise for the sake of learning.

Trading with indicator – Closing words

There is absolutely nothing wrong with trading with indicators. If it helps your trading, by all means, using it.

Having an indicator on your chart does not make you less professional.

Trading involves a series of decision making. From trade entry, to management, and to exit a trade. It involves different skill sets.

Indicator is one of the tools that can potentially help us in the decision making process. I hope the suggestions above help you to use your indicator more effectively.

If you are interested in learning more about trading, make sure to check out my Back to Basics series.

Do you use an indicator in trading? How do you use them?

Do you have any questions or comments? Feel free to drop me a line in the comment section.