How do you explain your losses to yourself?
The story we tell about a loss determines the next trade. "The market manipulated me" leads to revenge; "my stop was too tight for the range" leads to a fix. Same loss, different futures.
What's your honest self-talk after a loss?
- the explanation you used to reach for
- the one you use now
- how you catch yourself telling the comfortable version
The journal guide keeps the explanations honest.
Background: How to keep a trading journal that actually improves your trading
A journal turns a pile of trades into evidence. What to record, the numbers worth calculating and a weekly review routine that takes less than an hour.
What should a trading journal include?
For each trade: the pair, direction, size, entry, stop, target, risk, the reason for the trade, how you felt, the result in money and in R, whether you followed your plan, and chart screenshots.
How do I calculate expectancy?
Multiply your win rate by your average win, then subtract your loss rate multiplied by your average loss. Measured in R, a positive result means the approach has made money per trade on average.
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