Greetings,
Rejoice In What Truly Matters
In all the victories and successes we experience in life, Jesus reminds us where our true joy should lie:
Our greatest reason for joy isn’t found in worldly triumphs, but in the eternal assurance we have in Christ.
Knowing our names are written in heaven gives us peace and purpose beyond the challenges we face. Keep your eyes fixed on Him!
Be Relentless In Pursuit Of The Will
Which God Has Set Upon Your Heart,
Anthony Speciale
My goal is to motivate, educate, inspire and make a positive impact on your trading. Whether you're brand new to trading, or you've invested years into the craft -
I invite you to experience the Speciale Analysis Family of Traders difference!
Kicking the morning off with a LOSING trade! 🤦🏻♂️
Welcome to today's live session recap! Though I had originally planned to be out of the office for a doctor's appointment, I managed to squeeze in a couple of trades this morning, and I’m eager to share how it went.
The session wasn’t perfect, as I took a loss early on, but that’s part of the game, and today’s experience serves as a valuable reminder for all retail traders. Let’s break down what happened, how I managed risk, and what we can learn from the trades I took.
Losses Are Part of the Equation
One of the first things to recognize as a trader is that losses are inevitable. As much as we aim for precision and accuracy in our entries and exits, market conditions can sometimes turn against us.
This morning was a classic example of that. My first trade of the day was a loss, but that didn’t derail my strategy or mindset. It’s important to remember that losing trades are not failures—they’re part of the larger equation of becoming a profitable trader.
The key is controlling those losses. That means taking quick, decisive action when the market doesn’t go your way, and being efficient about managing your downside. The ultimate goal is to have gains that far outweigh your losses.
A Breakdown of the Trades
So, what happened this morning? I placed a short trade after spotting what I believed was a solid setup. The market had taken an aggressive sell-off and reached a high timeframe level.
After a brief bounce to the VWAP (Volume Weighted Average Price), I tried to short at the rolling VWAP level, but unfortunately, the market pushed through my stop before eventually selling off.
This type of scenario can be frustrating, but it’s crucial to stay disciplined. I didn’t let the loss rattle me. I got short again when the market presented another opportunity and, this time, I was able to capitalize on the move. This second trade resulted in a profit that was three times the size of my initial loss.
What does this mean in practical terms? It means that not only did I recover my initial loss, but I also doubled that amount in profit. By managing my risk and letting the winning trade run, I was able to walk away with a net profit for the day, despite the earlier setback.
Why Risk Management Is Key
Today’s trading session highlights one of the most critical elements of trading: risk management. It’s not about how many trades you win versus how many you lose.
It’s about making sure that your winners outweigh your losers.
In my case, I had a 50% hit rate—one winning trade and one losing trade. But because my win was significantly larger than my loss, it resulted in a highly profitable day.
This is a mindset that many retail traders struggle with. Too often, we get caught up in trying to maintain a high win rate, thinking that it’s the key to success.
But the truth is, a high win rate is not as important as making sure your losses are small and your winners are big. That’s where true profitability lies.
Efficiency in Trading
Another lesson from today is the importance of efficiency. I finished my trading day by 9:00 AM, with two trades and a solid profit. Trading doesn’t have to be an all-day affair.
In fact, it shouldn’t be. The goal is to identify high-probability setups, execute them with discipline, and then step away from the market once your plan has played out.
Overtrading is one of the biggest pitfalls for retail traders. The temptation to keep stabbing at the market can be strong, especially after taking a loss. But the reality is, your trading should be focused and concise.
Stick to your trade plan, execute with precision, and know when to step away. Today, I followed this principle to the letter and was able to secure my profit efficiently.
Consistency Is the Secret to Long-Term Success
If there’s one overarching takeaway from today’s session, it’s this: consistency is the key to long-term trading success. On Monday, I took a handful of trades—one loss and four wins. The hit rate doesn’t matter as long as your losses are small and your gains are large. That’s the golden rule of trading.
You don’t need to overcomplicate things. In fact, if your trade plan is too complex to explain in 10 seconds, you’re likely making things harder than they need to be.
Simplifying your approach, sticking to the rules, and maintaining discipline is the formula that will set you apart from other traders.
Simplify, Execute, Repeat
To wrap things up, today’s session provided a perfect example of how important it is to keep trading simple, efficient, and consistent. Here are the core principles we reinforced:
Losses are part of trading. Accept them, but keep them small.
Let your winners run. A single big win can erase multiple small losses.
Don’t overtrade. Stick to your plan, execute efficiently, and know when to walk away.
Consistency is key. Over time, if you follow your plan and manage risk properly, profitability is inevitable.
Stick to these principles, and you will set yourself up for success in the markets. I hope this recap was helpful and provided some insight into how you can approach your trading with discipline and focus.
Stay informed, stay focused and stay disciplined ! ! !
Thank you for reading, and I look forward to seeing you in our next session . . .
God bless, and have a wonderful day!
If you have any questions or need further guidance, please don't hesitate . . . info@specialeanalysis.com May the markets be ever in your favor!
Happy Trading,
Speciale Analysis
About the Author:
Anthony Speciale is a seasoned market analyst with over 13 years of experience trading. Through his platform, Speciale Analysis, he offers in-depth market analysis, interpretation, and expectations designed to help all types of traders, at every skill levels reach their full potential.
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NOTE: Trading involves significant risk, and it's essential to approach it with a well-defined strategy and a disciplined mindset. This blog post is intended for educational purposes and should not be considered financial advice. Always conduct your own research and consult with a professional before making an financial decisions. For further risk related information, please refer to: www.specialeanalysis.com/disclaimer
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