If the first few years of my trading journey has taught me anything, it is the need to be prepared and to have a written plan.
No more random trades under a variety of conditions. I need a tangible set of guidelines to make this a repeatable process. I need to write it down.
I need to review it regularly and adjust it when things are not working. Even the simplest of plans is probably infinitely better than no plan at all.
- For now, the elements of my plan will cover:
- Which markets will I follow and watch?
- What are the criteria to enter a trade
- What are the criteria to exit a trade
- How much risk will I take on each transaction?
I think this is a key starting point on the path to better results. When I review my results I can look back and see if I followed my plan. Was I disciplined? Which types of trades are successful forme? Are my undisciplined trades causing me to lose?