The first thing to look at is when your trade opens and closes.
When are your entries and exits?
When are your stops?
How often do you look before and after your trades?
I like to make a few charts to help with this. They can make it easier to monitor the risk tolerance and performance of your trades.
There is a chart called the “Divergence Line”
This is the line we can use to measure your performance. It measures the divergence between the open price (the price you start with) and the close price.
Here’s how the line looks
The more your stock breaks the divergence line it’s more likely the market should be selling you.
The more it crosses the line, the more likely the market should be buying you.
When the line starts in the red, it means the market is currently oversold.
The red line usually peaks in the middle of the week or in the day.
Here’s exactly how the line looks
Another indicator you need is your daily volume. Most traders will have a page where they track their trading activity daily and show you the price action as it’s happening.
A chart like this looks great
Don’t forget to also monitor your volume, also called “close momentum”.
The more you trade, the more your close movements become more and more impressive.
If your daily volume increases and it’s less than your total daily volume you have “close momentum”. You should sell the stock immediately.
The more your stop losses are placed, the lower your chances of making money.
Keep this in mind whenever you trade. You may have more or less chance of making money from the stock in question the more stop losses you place in place.
You can check your closing position here:
When you’re done with your analysis, here are a few questions you have to ask yourself
Are you sure you want to sell the stock right now?
Do you want to be paid in cash if I do sell the stock?
Do I know what the stock is worth?
Do I have enough information to make a decision?
And finally if you don’t want to make money from this trade, here are some resources
How to use a simple analysis tool like Swing Trader Pro?
You can use this free analysis tool when you make a trade.
swing trading books india, swing trading for dummies review, simple swing trading strategy forex, swing trading vs day trading which is more profitable goats on the roof, best stocks for swing trading august 2020