In part 1 of The Trader's Mind, market coach Doug Hirschhorn discusses how professional trader Mark Moskowitz, who has 18 years of experience, plans his trading day.
Video: Part 1 of market coach Doug Hirschhorn's discussion with trader and former hedge fund manager Mark Moskowitz.
According to Moskowitz, there are four distinct parts to every trading day:
- Pre-Game—Look at charts and decide what stocks to buy.
- Early Open—Begin early-order entry and look for signs of support & resistance.
- Mid-Day—Market gets quiet, take time to review morning & strategize afternoon.
- Late Day—Take info from morning & early afternoon, see if daily plan is working.
Of all the sessions, the pre-game is the most important, says Moskowitz, because good planning gives you the "psychological edge" all traders need.
As a trader, you have to be ready for anything, says Moskowitz. The best thing to do is relax and take 10 to 15 minutes to regroup.
At the end of the day, Moskowitz says, it's time to look back at the day's results. Once you see what worked and what didn't, you can prepare for tomorrow.
Doug Hirschhorn is the chief executive officer of Edge Consulting, a firm specializing in “Peak Performance Coaching.” He holds a Ph.D. in Psychology with a specialization in sport psychology, and has offices in New York and South Florida. His client list includes elite athletes as well as many of the largest banks, hedge funds and financial institutions in the world. Doug is presently at work on his new book, Street Smarts (Putnam, 2010).
Have a question for Doug? You can reach him through his Web site, DrDoug.com
Disclaimer: Doug Hirschhorn's expertise is in the psychology of achieving peak performance. He is not a financial advisor and does not make trading or investment recommendations or provide trading or investment advice. He is an expert on the mental game. Although Doug Hirschhorn has a Ph.D. in Psychology with a specialization in sport psychology, he is not a licensed psychologist and does not provide therapeutic, clinical or counseling services.