How do you avoid overtrading on quiet days?
Quiet sessions with narrow ranges can be the hardest ones to sit through. Traders often take small, low-quality setups just to be doing something, and spreads can make those trades cost more than they look.
We'd like to hear what works for you:
- a maximum number of trades a day, or a rule about which setups qualify
- checking the average daily range before the session starts
- closing the platform once your plan for the day is done
If you keep a journal, have you compared your results on busy days with quiet ones? The trading journal guide suggests fields that make that comparison possible.
Comments
Log in to join the discussion. Comments follow the community guidelines.
Log in to commentLoading comments…
One way to decide in advance whether a day is worth trading, rather than deciding on the day when boredom is talking.
- Check the range. Compare the pair's range so far with its typical daily range. If a setup needs a 60-pip move and the pair usually covers 50 in a whole day, the trade needs an unusual day to work.
- Check the calendar. Days without major releases for either currency, or holidays in one of the main centres, are often quieter.
- Check the cost. On a quiet day, the spread is a bigger share of a small target. A 1-pip spread on a 10-pip target costs 10% of the win before anything else.
Some traders set a rule such as "no more than two trades on days with no high-impact release", then compare results in their journal after a month. The overtrading guide covers the warning signs.
Members, what's your rule for quiet days, and have you tested it?
0