The easiest and most logical tool to carry out this function is a trading journal. If used correctly a trading journal can have a dual purpose. It can act as both a simple trade log sheet, keeping track of the raw figures of each trade such as the entry, stop and outcomes of the trades etc, and it can also act as a journal for picking up on any mistakes that may be slowly creeping into the traders trading.

Below this quick members article I have uploaded my example of a trading journal for members to use if they choose to. It is a just a basic journal example. This is a member’s only journal.

It has extra room factored in for extra trades, because of how we split our positions in MT4. Members don’t have to use this, but they do have to use something! If nothing is used, traders have zero idea if what they are doing is working or not. Yes traders can look back each month and see if they have made a profit or a loss, but that is not everything.

Just because a trader has booked a profit for the past month does not mean that mistakes are not slowly creeping into their trading. With a trading journal these mistakes can be picked up on and dealt with. If the trader is unaware and happily goes on because they have banked a profit for the month, their mistakes that are creeping in could slowly come to roost over time and come back to bite them!

What Should The Journal Include?

The journal should obviously include the basics such as;

• Date of entry and exit
• Trade entry/stops/targets
• Trade risk
• Trade size
• Trade result

Before entry, you should also take time to also include your reason for entry.

This is very important and this is where you need to take time and be very detailed. In here is where you need to include as many details as you can about thing such as;

• What sort of trade is this?
• What confluences does this trade have? I,e; support/resistance levels? Etc
• How you feeling about this trade? Are you confident?
• Are you doing anything you don’t normally do? If so why?
• Are you in more trades than normal?
• Are you on a winning streak or losing streak at the moment?

Basically you need to add as much about the trade and then about your feeling towards the situation before entry as you can.

The reason for this is it will literally take two minutes, but at the end of the month when you are reviewing the journal it will give you a massive insight into what has either gone right or wrong and if something has got to change or stay the same.

A picture of the example journal is below:

After Exit Journal Input

Time to be really honest with yourself! If your are not brutally honest with yourself when writing the after trade review, then you are really not going to get anywhere.

Plenty of traders kid themselves everyday, but it is really only themselves they are kidding. Obviously you need to add in the facts of the trades to the journal first, such as how the trade worked out for example; did it move into profit, break even, stop or parts of all.

After that you need to write a trade review. This is where full honesty is needed. Questions you need to honestly ask yourself and write in the review are;

• Now that I am out of the trade was the trade a good one to take?
• How did I manage the trade?
• Did I follow the plan? And if not why not?
• Did something go wrong? Why?
• Could I do something better next trade?
• Did I do something really well?

Reviewing Your Journal

Members need to be sitting down and going through their Journals once a month.

It is VERY IMPORTANT that you do not review your journal when you are in a trade or the market is open.

The reason for this is when traders review their journal; they are more than likely going to want to change things and want to make tweaks to their plan based on what they have reviewed.

When a trader is in a trade changing things up mid trade can be dangerous and it is better to wait until the trade is finished and then review the journal.

The journal review should be a consistent ritual that is carried out on the same day of each month, for example; on the same Sunday of each month. It does not take long, and can be a very enjoyable process, which some traders find like therapeutic.

Download Your Journal

I have created for you both a PDF, and also an Excel version of the trade tracking journal. The Excel version can be edited so that you can tweak it and change bits and pieces into just how you like and need it. As the heading says; it is just an example for you to make into what you need.

So go ahead and download now and start taking full advantage of what tracking your trades can do in your trading!

➜ Forex School Online Journal ➜ ‘EXAMPLE’ – PDF Version

➜ Forex School Online Journal ➜ ‘EXAMPLE’ – Excel For Edit Version

I hope you guys find this super useful and can use it in your trading. If you have any questions just let me know in the forum or via email.

Safe trading,

Johnathon

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