POSITIVE DISTRACTION - I think it's very important to have other distractions when you are in the business of trading markets. That may sound a little counterintuitive, but it is effective nonetheless. Now when I say distraction, I really mean other productive and exciting things to do with your time. If trading is all you are thinking about all the time, you are likely to burn out fast and start forcing trades when you really have no business being anywhere near the market. I always say that most good trading is about not trading at all. Most of the time, it is about sitting back patiently on the sidelines and waiting for the market to come to you. This means you don't really need to be watching the screen all the time and you can go ahead and find something else to do.
A SIMPLE EXERCISE - People are always asking me for tips on trading and ways to understand taking risk without quantifying and overcomplicating. One of the big questions I have been getting a lot of late is how to ensure that you stay disciplined with the trading and don't force anything you shouldn't be taking. It's one thing to know not to force a trade and another thing to actually follow through with this advice. And so, for today, I will recommend the following exercise which may help improve your trading dramatically. When you wake up in the morning, give a scan through each one of the markets that you tend to trade. Use an hourly chart as your timeframe. As you scan through, pick out one level above the market and one level below, where you feel it might be worth taking a trade.
ALERTS ARE YOUR FRIEND - I think you will find that when you do this, you will see there is usually some form of a consolidation going on, and it would only be worth getting involved if the market takes out a certain level above or below. Once you find the levels, write them down and then input them into an alert to notify you only when these levels are hit. I highly recommend you use an alert service that will notify you when certain prices are hit. There are many out there and so long as you can be alerted to your mobile when a price is hit, you should be good to go (I am hopeful we will develop our own JKonFX alert feature soon enough!). Now that you have taken the time to run through all the markets you trade, and have picked out two levels for each, you can sit back and know that you shouldn't even think about taking any trades unless one of these levels is hit. Hopefully this helps a bit. Let me know.