Simplicity. Wed Apr 7

A couple of weeks ago I decided to be more consistent with my entry into positions. I would no longer chase breakouts or put on positions where the stop was uncomfortably far away but I would continue to try to pre-empt moves if I felt there was a clear trend or potential trend to support my view with the proviso that the stop must be tight. I wasn't changing the sort of patterns I'm looking for or the type of stops or exits that I take or my approach to position size, for example, so I wasn't sure how significant a change this would be.
So far, it seems to be both significant and positive and also to have had unexpected consequences.
For example, I thought I might put on fewer trades because I will now buy or sell only when there's a close stop and/or there's been a pullback after a move. The opposite has happened though because I will generally pre-empt a resumption of trend or a breakout as long as the risk is clearly defined. I'm putting on positions which I might have missed out on in the past because once there was confirmation, it might have looked too extended to take the trade.
Additionally, there's more clarity. If I realise I've missed a nice move but the trend looks strong then I just set some pullback levels where I'll try to buy. In the past, if I thought there was some more short term action I would often try to jump on the moving train and sometimes fall off, of course. The corollary to that increased clarity is decreased stress. With fewer decisions to make the trading day becomes much more pleasant. Some traders talk about stalking a trade and I'm starting to do this more often. It might not suit everyone but an increase in patience is just what I need.
Increased focus on tight stops has also meant that I'm more willing to put on short positions if I'm bullish the broad market, for example. There's no logical reason to expect every stock to move in tandem with the market but quite often I find it psychologically difficult to ignore the broad market when looking at a stock chart. Knowing the stop is tight gives me the crutch that I need.