The trading habits are different for every person: there are night owls and early risers, some prefer to trade in ultra-short trade, others need more time and quiet for their analyzes and therefore prefer to trade for days and weeks. Then there are people who can spend hours, even whole days in front of the screen and look at the flashing courses. Other traders don't want that at all, but would rather take an hour or two to trade.
So, as different as the binary options brokers' underlyings and trading types are, they look different are also the people who trade these financial instruments.
If you are not exactly the kind of person who can not upset anything and nobody and also do their analyzes in daily charts or higher timeframes, then there is a risk that you will get to know the state of the overtrading at some point.
The start of trading begins with the market analysis
If you have been following our website for some time, you should now know that there is much more to trading, than to put the order for a binary option in a mask and hope that the position in the money will end. Order entry is by far the smallest part of a trader's work. There the morning begins with studying the news and events of the last night, checking the most important dates of the upcoming trading day, checking the open positions and, and, and, and. This is followed by chart analysis - you see, before a position can be opened, there is a lot of preparatory work that requires your full attention.
No one of us can call up 100 percent of our performance every day. In addition to health restrictions, especially now in autumn, psychological stresses such as trouble at work, important appointments in the private environment or interest in other things can flow in along with hundreds of other influences and disrupt our concentration.
But not only these asymmetrical confounding factors are a problem for us; Even fixed disturbances, which we may no longer perceive as such, can ensure that we are not 100 percent involved. For example, you might go to squash on Monday evening and no longer notice that you are still exhausted the next day. They blame possible bad trades on your trading system, bad news or, at worst, on the broker who set the wrong prices. But they would never get the idea that they were unfocused and therefore entered into a risky trade. Or you always trade on Fridays from 2:00 p.m. to 3:00 p.m. - and once a month, namely when the labor market figures are published, almost all binary options end in loss.
What belongs in Trading journal?
What I would like to add: It can make sense to include certain additional data in the trading journal. We have already explained the importance of such a journal elsewhere. Today, the aim is to use the information from the trading journal to find out about the mis trade. There is a difference between bad trades and bad signals. No system produces a hit rate of 100 percent, so false signals are part of it. These are due to the system or the nature of the indicators used, or to the inadequacies of the trading software.
However, false trades often mix with these false signals. Unfortunately, these are not always noticeable at first glance, because you think that they are system-related false signals. For example, it can help if you observe which days of the week or what trading hours these false trades multiply.
Why I paused trading Binary Options on Cantor Exchange
This is not my day today!
We also have our journal under closer scrutiny and found that Thursday afternoon most bad trades come about. Without going into too much detail, we have identified the errors with us and are simply hiding this afternoon for our trade. The binary options therefore have a break on Thursday afternoon. This can be a completely different day for you and depends on your own personal trading style.
One way you could proceed to create your own personal trading calendar is as follows:
- First you should delete the least productive days of the year from the calendar. For example, these are holidays on which limited volume is expected due to the restricted trade.
- Find and delete the days that were the most unreliable. To do this, look at which days of the week you achieved the best and worst returns.
- Finally, delete the days on which you take your well-deserved breaks to enjoy life to be able to. After all, you act to be able to afford a slightly better or carefree life. Then please enjoy it too.
If you want to delete holidays or important events such as monetary policy decisions from your personal trading calendar, Anyoption offers a great help with its integrated economic calendar.