It’s a new year and a natural time to review your trading results.
Some of the most productive ways to improve come from periodic analysis of your aggregate trading results.
Here’s a list of ways to improve your trading by doing a review.
- Figure out how to make more trades from an already profitable system
- Take fewer but more profitable trades from a system
- Automate your reporting so you don’t have to collect and parse a lot of data to get it in a format to make smart decisions
- Review your best trades to figure out how to take them with bigger size
- Review your worst trades to figure out how to weed them out or minimize their impact
- Take more size in the strategies that are working well
- Look at trades outside your strategy’s trading rules – are there ways to trade them profitably?
- Look at the time it took to create your most recent profitable strategy – how could you reduce that time by 75%?
- What are the bottlenecks in your trading business? How can you eliminate them?
- Did you make emotional decisions in your trading in the past year? Did they end up helping or hurting your results?
- Is there tail risk in your strategy that you might not be considering?
- How often did you run out of buying power in the last year? If the answer is not very often, then consider moving some money to allocate elsewhere
- What would your results look like if you added a strategy that traded more often and had better results? Create it.
- If you could go back and get a redo of the last year, what would you have done differently?
What else did I miss?
