Do you have “My Trading Plan”?

Strategies

Strategy 1 : LINE Strategy

– H1 Line chart on EURUSD.

– Join a low (Point 1) and a higher low (Point 2) as a support line for Long. Join a high (Point 1) and a lower high (Point 2) as a resistance line for Short.

– Put a horizontal line at the highest point in between Point 1 and Point 2 for Long. Put a horizontal line at the lowest point in between Point 1 and Point 2 for Short. We call this the Entry Line, indicating the Entry Price.

– The distance between the Entry Line and Point 2 must be at least 30 pips.  Point 2 indicates the Stop-Loss.

– TP1 is 1:1 and TP2 is 1:2 risk-to-reward ratio.

– Apply in a trending market.

Strategy 2 : * Name of Strategy *

* Strategy Rules *

* When to Apply *

Money Management

Risk per trade: 2%

Risk management methodology: Constant * If using increment or decrement risk management, indicate the details here. *

Maximum drawdown per month: 12%

* Indicate trading actions upon hitting draw-down of the month. *

Monthly target: 8%

* Indicate trading actions upon hitting a target before the end of the month, whether to stop trading or continue trading. If continue trading, list down any additional risk management rules to follow. *

State of Mind

  • Do not enter a trade on impulse.
  • Always put a stop-loss and never loosen it.
  • Follow trading plan consistently and diligently.
  • Trade with a calm and clear mind.

Trading Flow

  • Are there any major news releases (forexfactory.com) coming up? What currencies will they affect?
  • What is your trading time-frame?
  • What is the current Market Structure?
  • What strategy should I apply?
  • Is there an entry for the strategy?
  • What are the exit prices (Stop-Loss and Profit Target)?
  • What is the trading lot size for the trade?
  • Execute trade.
  • Monitor the trade periodically and take necessary actions (e.g. shifting Stop-Loss).

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