For many years we have been teaching the power of weekly profit goals in our Day Trading Coaching Program.

We help our students to determine a weekly goal that is attractive for them and realistic. Once this goal is achieved, we tell them to stop trading for the rest of the week and start fresh the next week.

At first glance this sounds weird and traders ask me: "Why should I stop trading when I am ahead? If I keep trading, I will make more money". 

Let me show you proof:

This morning I received a trading log from a trader who has been taking 138 trades in the past 4 weeks. Unfortunately the past couple of weeks have been challenging for him: he realized a loss of $1,365.

Analyzing his trading logs I quickly identified his true problem: Overtrading.

Here's what happened:

• Week 1:
  After only 5 trades he was up $1,166, but he continued trading. At the end of the week he completed 15 trades for a total profit of only $494. By continuing to trade he gave back $672 to the markets. .
• Week 2:
  This week he started off with a few losing trades, but then managed to come back: After 16 trades he was up $1,492, but he continued trading and gave it all back by the end of the week. He finished this week with a loss of $248.
  ..
• Week 3:
  This was his best and worst week at the same time: After a couple of trades he was up $2,170, but then he gave it all back and ended the week with a loss of $73.50.
  .
• Week 4:
  His most challenging week. Though he followed his plan, the markets did not cooperate and from the first to the last trade of this week he was never positive. He had a couple of winning and a couple of losing trades and ended the week with a loss of $1,537.50. The closest he ever got to the zero

Do you see what happened?

Every single week this trader has seen profits exceeding $1,000, but since he kept trading, he gave back the money to the markets. 

And now you can see the power of weekly goals: If this trader would have stopped trading for the week after realizing $1,000 in profits, he would have realized a profit of $1,462.50, instead of losing $1,365. That's a difference of $2,827.50!

Believe me, THIS trader now uses weekly profit goals, and I am confident that his trading results will improve.

What about you? Isn't it time for you to learn about this important concept and - even more important - start implementing it?

Enjoy your day!