Why is Journaling Important?
Would you trust a pilot who doesn’t track flight data? Then why trade without keeping a record of your trades?
A trading journal helps identify patterns, mistakes, and areas for improvement.
What to Record?
- Entry & Exit Price
- Trade Rationale (Why you took the trade)
- Emotions Before & After the Trade
- Lessons Learned
- Market Conditions (Trend, Volatility, News Events)
- Risk-Reward Ratio
Example of a Trade Journal Entry
- Stock: Reliance Industries
- Entry: ₹2400 (Breakout)
- Exit: ₹2500 (+4% gain)
- Mistake: Could have held longer based on trend strength
- Lesson: Avoid exiting early due to fear
- Market Condition: Strong uptrend, FII buying pressure
By maintaining a journal, traders can refine their strategies and grow consistently over time.
