An old lesson came back to bite me in a big way at an inopportune time. Position sizing continues to be my greatest strength and greatest weakness but at this stage of my career the downside of that is less tolerable.
You must determine the point where you are going to exit your trade before you enter. Sometimes the more complex your strategy the more you can rationalize not doing that in your head. You can also rationalize that when you are trading well and it doesn’t seem important at the moment...but it IS!
It’s important to focus on what actually makes you money. It’s very easy to bleed your day away pursuing intellectual macro discussions that won’t give you an edge. Take the time to do the most important stuff first.
I discuss how it’s important to understand your personal risk tolerance. You can’t have market declines outside of your trading ruin your mindset and make you emotional. Proper planning can prevent this.