When it comes to trading in the financial markets, keeping track of your performance is vital to achieving trading success. A trading journal helps you record and review your progress and mistakes, all while giving you insight into the markets.
Through a trading journal, you can monitor your overall performance in an organized manner, by tracking entry and exit criteria; as well as ensure consistent application of strategies over time.
By reflecting on your past trades, you learn from them and avoid repeating the same mistakes. A trading journal is like a step-by-step guide for how you should be proceeding with your trades and enhancing profitable positions while cutting losses quickly in volatile markets.
In short, by using a journal for keeping records of all trades, you can take quick learning curve steps towards profitability which increases your chances of survival in the ever-shifting market conditions.
Want to find out more? Check out our article on how to use a trading journal to get started.