Last Updated on March 27, 2021 by Chin Yi Xuan

If you are checking out my Weekly Trade Review for the first time, scroll to the bottom so you can get a context of this review.

WEEKLY REVIEW – WEEK 4, MARCH 2021 (22/3/2021 – 26/3/2021)

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Stats:

a. Profit Calendar: 

22032021 to 26032021 (March 2021 Week 4) - Profit Calendar
22032021 to 26032021 (March 2021 Week 4) – Profit Calendar

b. Weekly Stats (W4, March 2021): 

Weekly Stats (Week 3, March 2021)
Weekly Stats (Week 3, March 2021)

 

Weekly Stats (Week 3, March 2021)
Weekly Stats (Week 3, March 2021)*

[*Important – Something went wrong with my order routing this week and it messed up the stats on Sierra Chart, my charting platform. As such, please divide all the absolute numbers here by 2. In other words, I lost $287.5 (or 5.75 points), not $575]

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Weekly Trade Review (Week 4, March 2021)

A. Overview:

This week’s execution exposes the weaknesses in my mental game and it was definitely a good lesson for me. There are several key aspects for me to improve, especially when it comes to reducing my pre-mature entry execution and having a clearer action plan to execute as per my context.

Experience more intense emotions this week due to poor pre-mature entries execution, which led to me feeling angry that the market did not offer any acceptance for some moves for 2 consecutive days.

However, it is important to note that emotions are not the cause of poor trading, it is the effect/impact from poor execution or understanding towards market conditions.

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B. What I did well?

  1. Focused prep. Slowly adapting to market opening at 930pm.
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  2. Context: Dynamic shifts in areas of attention for trade ideas as context/rhythm develops.
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  3. Execution: More precise action steps as context shifts:
    a.
    No trade
    b. Reduce size + Increase Trade Idea Quality
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  4. Mindful of emotions: Especially mindful of accumulated emotions after some poor trade executions on Tues and Wed.
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    Having this awareness truly saved me from self-destruction as I managed to reduce my size and risks on trades when I experienced emotions, and avoid being overwhelmed with emotions.
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  5. Good mental comeback: Good comeback on Thursday after experiencing accumulated emotions of angry and self-blame. Took some time off-screen and focus on quality trade ideas and areas of attention instead of dwelling on the overwhelming emotions.

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C. Challenges:

1. Pre-mature executions: Did several pre-mature trade executions this week. ie. Entries before price breaks/breaches areas of attention. All of these trades could certainly be avoided and I will be mindful to focus on solid execution moving forward.

2. Context to Explicit Action Plan: Thursday was a tricky day as price opened in between 2 CVAs. I was looking for a BPB short but I did not specify the trade idea conditions for execution. As a result, this triggered my accumulated emotions and affected my trade morale for the day, until I eventually recovered.

3. Stop-if: Stop-if could have been refined for Trade #4i on 23/3 (Tuesday). Instead of having a generic ‘stop if strong sell OF step in’, for that context, I should be more specific ‘stop if strong sell OF step in and breach below OF swing low’

4. Not so mindful of shifts in OF (absorption/lack of participation) during trade management.

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Weekly Playbook Trades (Week 4, March 2021):

In this section, I will share several trade ideas that made the most sense to me for the trading week. These are my A trades (a.k.a. my Playbook trades), and I look to keep improving on them.

Playbook Trade #1: RPB Long Trade (Trade 4)

Date & Time: 23/3/2021, 11:24am EST

Context: Price breaks above POC and thesis was to execute a RPB long if price pullback.

Execution & Trade Management:

1st entry: Mid-air long when price pullback to test POC after breaking above POC.

  • SL: tight below POC
  • TP: mid

Stop-if: Since this is a mid-air entry, there is a chance that price might pullback deeper. Hence, cut trade fast if strong opposite OF step in.

Was supposed to cut my trade earlier but was clouded by ‘hope’ that buy OF would step in.

2nd entry: Re-enter as price test VAL after a strong selling and buy OF attempt to step in.

  • SL: Tight below entry
  • TP: prior swing high

Stop-if: strong sell OF step in.

Manual close as opposite OF started to step in.

23032021 ES trade screenshot
23032021 ES trade screenshot

Feedback:

Mindful of ‘hopeful’ emotions while managing trades. When this happens, follow trade plan by all means!

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Playbook Trade #2: BPB Short Trade (Trade 2)

Date & Time: 24/3/2021, 10:24am EST

Context: Price breaks below swing low (green zone), marking potential shift from choppy to downside rhythm – looking for a pullback for BPB short.

Execution:

Mid-air BPB short with 1 chip as sell OF kick in upon pullback.

  • SL: Tight above entry
  • TP: VAH2

Stop-if: strong buyers step in.

Trade management:

Was looking for OF to break below prior swing low but when buyers started to step in, then I manually closed myself out.

24032021 ES trade screenshot
24032021 ES trade screenshot

Feedback: Good execution according to plan.

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Playbook Trade #3: RPB Short Trade (Trade 3)

Date & Time: 25/3/2021, 11:02am EST

Context: Focus on quality trade ideas around areas of attention after first 2 trade mistakes. Looking for RPB short if price breaks below VAH with acceptance.

Execution: Price broke into CVA and I noticed an overextended VWAP – so was expecting a potential deeper pullback. Price indeed pullback deeper (but a little deeper than I prefer), then I took a short when sell OF step in.

  • SL: Tight above entry
  • TP: Near POC

Stop-if: Strong buy OF step in(!): -15k OF

Trade Management: OF failed to break below -15k OF. Manual close when Buy OF step in after that.

Good comeback execution without being affected by the outcome of previous trades! Execute as per the context, NOT the outcome.

25032021 ES trade screenshot
25032021 ES trade screenshot

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Playbook Trade #4: BPB Long Trade (Trade 4)

Date & Time: 25/3/2021, 11:27am EST

Context: Price failed to break into CVA and instead broke back above CVA.

Execution: Look for BPB long IF price breaks above prior swing high area of attention, and offer an acceptance.

Good entry and courage to execute as planned, could have missed the entry if I am hesitant by a spilt second.

  • SL: Tight below entry
  • TP: VWAP

Stop-if: Strong sell OF step in

Trade management:

Trail stop accordingly. TP-ed near VWAP.

25032021 ES trade screenshot
25032021 ES trade screenshot

Feedback: Solid execution and comeback!

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Major Problem for the Week: Pre-Mature Execution

Overview: For the week, the problem of me entering trades pre-maturely has been plaguing my trading execution and mental confidence.

Reasons:

a. FOMO on entries.

b. Unconscious sign of me not respecting my trade ideas

Root Cause:

Doing a deep self-observation, I may have experienced a lack of confidence in myself, which led to me giving up my own areas of attention and execute pre-maturely,

Suggested Action Plan:

1. Visualization of trade execution w/ areas of attention.

2. Be mindful of the urge to trade without respecting areas of attention – switch off the keyboard when there is no trading needed.

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Week 5, March 2021 Focus:

With my stated experience and challenges above, here’s what I am planning to focus on for the coming trading week:

1. Focused pre-trade prep:

  • – Risk pillar + Reminders
  • – Trade if/then + rating
  • – Areas of attention
  • – No trade zone

2. Mindful of shifts in context and translate to an explicit action plan:

Shifts in context:

  • – Value/Mergers
  • – Rhy est/broken
  • – Overextended directional VWAP
  • – Choppy @ VAH/VAL
  • – Shift in OF (absorption/lack of participation)

Action Plan: Build precise action plans around the elements below:

  • 1. Price
  • 2. Acceptance
  • 3. Levels

In event of unfavorable shifts in context, either (a) Stop trading, or (b) Reduce size AND Increase Trade Quality!

3. Execution:

a. Mindset: Be confident and trust in your thesis and trade ideas!

b. Emotions: Be mindful of the urge to trade w/o respecting areas of attention (switch off keyboard if needed)

c. Stop-if:

  • – Ideal PB
  • – Mid-air PB
  • – Large max PB

#Deep breath: FOCUS IN THE PRESENT!


READ THIS BEFORE YOU GO THROUGH MY REVIEW

Dear readers, this Weekly Trade Review is a new weekly content that I started with the goal to record my takeaways from the market. Unlike my other articles, this review is not meant for everyone, and it is more like my personal journal. Hence, it is NORMAL if you do not get anything that I say in this review because (1) you are not trading, and/or (2) you are not exposed to the way I trade, especially on the everyday social media and Youtube. 

Background:

I began my trading journey in 2018, and has started to learn how to trade the S&P 500 Futures (a.k.a. /ES) exclusively since May 2020. I have been spending nearly a year on a mix of simulation and paper trading, and I am currently in my last phase of paper trading the live market. The reason is simple: to build consistency. If you CANNOT be consistent in paper trading, you CANNOT be consistent putting real money in the market.

My goal in 2021 is to pursue funding for my trading career and (finally) start building a solid income stream from trading. 

READ MORE: Trading vs Investing – what’s the difference?

E-Mini S&P 500 Futures (/ES):

Some stats display in this review are in points instead of currency. Every 1 point movement in the ES is worth $50. 

As an example, say my entry is $3,000.00, my Target Profit is $3,010.00 (10 points) and my Stop Loss is $2,995.00 (5 points).

This means that I am risking 5 points ($250) to make 10 points ($500). 

How I trade:

The details of how I trade are hard to be explained in a few sentences. However, the core idea of how I deal with the market revolves around the Auction Market Theory – which works whether you are trading or investing. You can read about my article on Auction Market Theory HERE

My advice if you want to start trading:

This is worth a dedicated article. But in short, trading is a tough career regardless of what most marketers tell you out there on social media. The stats that you see with my execution is the effort of 30+ hours of work EVERY WEEK – and guess what, I have yet to earn any money from trading.

If you cannot put in the work ethic like a professional sports elite (even before you succeed), then please, skip trading and do something else. Please note that this is not meant to be sarcastic nor demotivating, but most people aren’t meant for trading – there are much better things to do in life than trading that can make you money (easier). 

Abbreviations:

  • BPB: Breakout Pullback
  • RPB: Return to Value Pullback
  • Long: Buy
  • Short: Sell
  • CVA: Cumulative Value Area
  • DVA: Developing Value Area
  • PVA: Prior Value Area
  • POC: Point of Control
  • VAH: Value Area High
  • VAL: Value Area Low
  • VWAP: Volume Weighted Average Price
  • OF: Order Flow
  • Buyers hitting offers/ask: Buyers are buying
  • Sellers hitting bids: Sellers are selling
  • SD: Standard Deviation
  • TP: Target Profit
  • SL: Stop Loss
  • ST: Slow Trend 
  • NT: Normal Trend
  • FT: Fast Trend
  • Rhy/Rhythm: The pace of the price movement
  • Chips: Risks.