While working with **Microsoft Excel****,** sometimes we need to make a trading journal. One of the most crucial responsibilities for professional traders is keeping a trading journal. It makes it simple to decide on the next step and makes it easier to follow the growth. However, for big volume daily traders, in particular, this activity quickly becomes time-consuming. A Trading journal helps you to keep your trade track easily. Today, in this article, we’ll learn **four **quick and suitable steps to make a trading journal in **Excel **effectively with appropriate illustrations.

**Table of Contents**hide

## Download Practice Workbook

Download this practice workbook to exercise while you are reading this article.

## Introduction to Trading Journal

The trader book which keeps about their personal trading experience is called a trading journal. A trading journal captures market choices so you may go back and identify any flaws in procedure, risk management, or discipline. You can alter anything if you can measure it. If you are conscious of how you act, you may stop repeating the same mistakes and learn from your own mistakes. Traders need to keep note of their entry, exits, emotions, stress levels, and position size.

Simply described, a trading journal is where you would record the events of each day, such as:

- Profits
- Losses
- The trade you’ve struck.
- The trade you had in mind but didn’t complete.
- Further pertinent data.

**Read More: How to Make Journal Entries in Excel (with Easy Steps)**

## 4 Quick Steps to Make a Trading Journal in Excel

Let’s say, we have a dataset that contains information about several **Trades. **We will make a trading journal in Excel using Mathematical formulas, the SUM function, and creating a waterfall **chart**. Here’s an overview of the dataset for today’s task.

### Step 1: Create Dataset with Proper Parameters

In this portion, we will create a dataset to make a trading journal in **Excel**. We will make a dataset that contains information about several **Trades.** Our dataset contains the trading company name, trade types, the quantity of trades, entry and exit price of trades for a day, profit and loss, commission, and so on. So, our dataset becomes.

**Read More: How to Create a Forex Trading Journal in Excel (2 Free Templates)**

### Step 2: Apply Mathematical Formula

In this step, we will apply the mathematical formula to calculate the commission and the net profit/loss. We can easily do that. We will calculate the **0.5%** commission using the mathematical multiplication formula. Let’s follow the instructions below to learn!

- First of all, select cell
**I10**for the convenience of our work. - After selecting the cell
**I10**, write down the below mathematical formula.

`=E10*0.5%`

- Where
**E10**is the trade**Quantity**, and**5%**is the**commission**.

- Hence, press
**Enter**on your keyboard. - As a result, you will be able to get the return of the mathematical formula and the return is
**$2.50**.

- After that,
**AutoFill**the mathematical formula to the rest of the cells in column**I**which has been given in the screenshot.

- Again, select cell
**J10**for the convenience of our work. - After selecting the cell
**J10**, write down the below mathematical subtraction formula.

`=H10-I10`

- Where
**H10**is the**Profit or Loss**, and**I10**is the**commission**.

- Hence, press
**Enter**on your keyboard. - As a result, you will be able to get the return of the mathematical formula and the return is
**$557.50**.

- After that,
**AutoFill**the mathematical formula to the rest of the cells in column**J**which has been given in the screenshot.

### Step 3: Perform SUM Function

In this portion, we will apply **the SUM function** to calculate the **Net Profit or Loss**. From our dataset, we can easily apply **the SUM function** to calculate the **Net Profit or Loss**. Let’s follow the instructions below to learn!

- First of all, select cell
**J10**for the convenience of our work. - After selecting the cell
**J10**, write down**the SUM function**below.

`=SUM(J10:J16)`

- Hence, press
**Enter**on your keyboard. - As a result, you will be able to get the return of
**the SUM function**and the return is**$393.96**.

- Hence, we will calculate the total account balance using a mathematical summation formula.
- The formula is,

`=G4+G5`

- Where
**G4**is the**starting account balance**, and**G5**is the**total profit or loss**.

### Step 4: Create Waterfall Chart

In this portion, we will create a **waterfall chart** to understand the **net profit or loss** of a trading journal. Let’s follow the instructions below to learn!

- First of all, select the range of data to draw a waterfall chart.
- From our dataset, we select
**C10**to**C16**and**J10**to**J16**for the convenience of our work. - After selecting the data range, from your
**Insert**ribbon, go to,

**Insert → Charts → Recommended Charts**

- As a result, an
**Insert Chart**dialog box will appear in front of you. - From the
**Insert Chart**dialog box, go to,

**All Charts → Waterfall → OK**

- Hence, you will be able to create a
**Waterfall**chart which has been given in the below screenshot.

**Read More: How to Create a Bullet Journal in Excel (with Detailed Steps)**

## Things to Remember

👉 **#N/A!** error arises when the formula or a function in the formula fails to find the referenced data.

👉 **#DIV/0!** error happens when a value is divided by **zero(0)** or the cell reference is blank.

## Conclusion

I hope all of the suitable steps mentioned above to **make a trading journal **will now provoke you to apply them in your **Excel **spreadsheets with more productivity. You are most welcome to feel free to comment if you have any questions or queries.

Thank you for your journal!