The Chasing Returns Gameplan takes your trading psychological strengths and weaknesses and turns them into actionable insights. We all have our own personalized biases in trading and some have a bigger impact on our profitability than others.
Chasing Returns measures 9 different psychological insights. We show you which ones have the biggest and smallest impact on your trading, and also we can tell you which ones are the most consistent in your trading behaviour.
With these insights, you can target your worst habits, and also take advantage of your biggest strengths to immediately start to improve your returns.
The gameplan shows which of your trading habits shows the highest bias (Reliability)
For each habit, you can see where you have a trading edge, prioritized by how reliably they appear in your trading history.
The following metrics are available:
Day of Week / Time of Day analyses your returns based on the day / time you entered the trade.
Long / Short understand the difference in your style trading long versus short.
Time Between Trades helps you understand the impact of getting back into the market quickly after closing a trade. This helps to understand how long emotional attachment to a previous trade lasts. It shows the difference in your trading metrics based on the length of time from a trade close to the next trade open.
Duration compares your shorter term to your longer term trading. Look to see if your day trading is outperforming your swing trading for example. Underperformance in the short duration trades may also indicate that stops are being set too tight.
Winning Streaks and Losing Streaks
This will show you if your behaviour – and hence your metrics change, depending on the previous trades. Some traders can exhibit different behaviour after a string of winners / a string of losers. Measuring this can help get it under control.
If you are running multiple trades in parallel, there may be a critical point where your returns start to degrade. This will indicate the best level of parallel trading that suits your current comfort level.
First Trade of the Day
Many traders show different outcomes for the first trade of the day. It may be that once you have placed a trade, you might be more tempted to make other trades that are not as profitable. Use thing metric to see if this applies to you.