During the month of December, I challenged myself to avoid my PnL chart and only look at it at the end of the month. December turned out to be profitable, but not as much as I would like it to be.

This is a tip for beginner traders who are still in search of their strategies and favorite setups. As a short seller, you constantly get hit with various fees. Over time, they cut into your wins quite a lot. However, if you’re buying long, you don’t have any fees, so you’re trading for free. That’s why I’ve been recently dabbling into long buying myself. I’m still getting a feel for it, so I’m only risking $10 at most. Getting more experience with it will be my January focus. Another thing I’ll focus on will be taking my full 3R and cutting my loss at 1R. Additionally, I will still ignore PnL chart for another month and see what it does for my trading habits.

In this video, I wanted to talk about Price Action and its importance. Recently I’ve been noticing a trading pattern where a stock goes up (I find it through biggest % gainers), I do my research looking for news, check SEC for any warrants, offerings, and ATMs. Finding a warrant would immediately make me a short-bias trader (on top of me leaning to sell short more times than not). In this scenario, I would completely ignore price action and often take a loss.

The last time it happened to me, I wasn’t stubborn in that trade and I cut my losses quickly. However, that trade made me think that I should focus more on the Price Action than the research and expectations.

Watch the full video to learn more about waiting for confirmation and Price Action signs. Do you ever struggle with following the news and pulling the trigger too quickly? Comment below, I’d love to know!