I have encountered a lot of confusion over just exactly what counts as sytem chasing.
The most important symptom to look for when deciding whether you are system chasing or merely trading a perfectly legitimate alternative method is a lack of profitability. If you are profitable in your current trading and can approach the market with consistency, then trading with a different method is a perfectly legitimate way of diversifying your trading arsenal, and improving your trading skills.
If on the other hand you are trading a new system because you have experienced a few losing trades with your last system and have lost money overall as a result, this is a key signal that you are becoming a system chasing trader. In the advanced course i suggest a few techniques to make sure that you can avoid this habit, and also to test that your system is going to be profitable in the long run etc…
Id really like to hear from you if you have been struggling with system chasing, and id also love to hear if / how you have managed to overcome this dangerous trap!
I certainly am guilty of system chasing – when you get a losing streak it can be very hard to not do that.
I think when you work through a few losing streaks – and you know your system is profitable you get through this wall.
Yes the key to this mindset is definitly watching your trading set up work over and over again, before you start taking the trades….. this will give you the confidence you need.