Profit Tracking

Hi all, its' already December ... how time flies!

I doubt I will make a lot of trades till year end so why not take the time to recap all my trades for the year.

This article is all about Profit Tracking. The next article will be on Loss Tracking.

Profit Tracking

Profit tracking simply means analysing the profitable trades you have made over the year.

By analysing the trades, it could help us traders learn how to become more successful in the market place.

I will pick my top 5 Profit trades and see how it stack up to the overall total profit I've made -

1. Frontkn 53.9%
2. Denko 12.4%
3. PPHB 11.7%
4. Xinhwa 6.6 %
5. Lcth 2.1%  Krono 4.3% 

Total = 88.9% !

Wow ... only 5 stocks and they oredi contributing a whopping 88.9% of my total profit.

So, what's next? ...

You will need to further analyse all these 5 stocks and trades ... to determine how did the trades became a success ...and hoping you can repeat this trick over and over again.

The Mechanics Involved in Profit Tracking

1. Open up a spreadsheet.

2. Put in the stock code.

3. Write down where did I found the trade/stock.

4. Describe the profit.

5. What did I learn?

6. How can I improve?

If you are not lazy like me, you can write a trade journal to record all the trades and after each month ended, you do the profit tracking analysis.

In my analysis, I choose the top 5 stocks because I oredi know only a few stocks contributed to most of my profits. I also do not trade much every month, maybe that why the results could be distorted.

If you have a more evenly profit contribution, and trade a lot, you have more stocks and can choose top 10 or 15 stocks.

Remember the whole purpose of this analysis is to become a better and more efficient trader or investor in the stock market.

All the best!

GA