At a recent Forex Mastery workshop I was involved in, the topic of Trading Plans was raised and I delved into one of my folders and retrieved my rather scruffy Trading Plan. It is hand written on one side of a plain postcard. It was written a couple of years ago and suffices to this day. It covers:
- WHY I trade (My Vision of where I want to be in Life).
- WHAT I trade (e.g. Forex/Commodities/Indices - Spot/Futures).
- WHEN I trade the Forex markets. (e.g. The London Session)
- HOW I trade the Forex markets - the strategies I employ and my style of analysis.
- RISK & Money Management details that I employ.
- REWARD to me for doing well – Salary as a % of monthly profits.
- PSYCHOLOGY – my psychological trading profile and what I must do to improve on that.
That’s it in a nutshell!
I look at it every trading day and it helps keeps me focussed.
Note: A personal Trading Plan is different from individual Trade Plans, the latter being the plan of a specific trade.
If you need help with your development as a trader then you might consider a personal mentorship plan.
Top Trading Tip: Spend some quality time researching and deciding what you require in your own Trading Plan, it’s a personal thing and should be meaningful to you and help you become a more focussed and better trader.
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