New Article--What is Your Trading Plan?

Here's my newest article on trading plans:

WHAT IS IN YOUR TRADING PLAN?

To be consistently profitable as a day trader, one of the critical tools to have in your toolbox is a trading plan. The trading plan is the map, it’s the recipe, the formula, and the guidelines of what you’re going to do every day in your interactions in the market.

Having a trading plan ensures that your series of actions and choices is already well thought out before you start trading.

Imagine that you’re driving down the road and there’s a fork in the road. You’re not sure which way to go. You pull out the map and you’re frantically trying to choose the direction, left or right, before you get to the fork. Can you feel the stress that invokes?

To read more:https://enlightenedtraders.wordpress.com/2020/08/25/whats-in-your-trading-plan/

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I like Yogi Berra's take on this.... "When you come to a fork in the road, take it".

 

Anybody can write an article about trading plans. There are bazzillions of them. No is writing an article about strategies that really work in all markets. I quit listening to the "gurus" who write in generalities.

 

What’s in My Trading Plan?

1. Everything important to learn and understand in futures trading must be presented with complete transparency and any/all trading must be measureable (quantifiable). You cannot learn what you cannot see, is hidden from you and cannot be measured.

2. With these 2 statements in mind, be aware that the futures industry is unregulated (deceit, duplicity and dishonesty run rampant) and nearly 99.6% of the over 2000 trade rooms are not transparent nor measurable, meaning they are sales rooms, not trade rooms (i.e. all vendor/no trader).

3. Of the only 30-40 rooms that actually trade futures transparently and post a detailed track record of trades, only half generate profitability (i.e. average 2 tks per contract per trade + RT costs). Profitability is $15 per $5 instrument (NQ, YM), $25 for GC, CL and $30 for ES.

4. Only 8 rooms are transparent, measurable and profitable, 6 are carbon (i.e. human) and 2 are silicon (i.e. robot). A decent plan would be to find some of those 8.

 

lol

 

I go through 10 per week, I dream up, nearly settle on 1 then either lose faith and start trading it badly or it stops working, can't say for sure.

Created another 1 today, back testing well, but will require patience to wait for entries to come to me, which will likely be my downfall.

Profitable, but not printing money, profitable isn't good enough in this game, got to be printing it, so always looking for better, easier, faster, less stressful ideas.

Got to laugh though

 

you could go through 50 a week and it would take you a year to see them all; ask for a track record first to help triage the sales rooms from the trade rooms.

 

lol

 

No plan survives intact after first contact with the enemy.

 

the enemy in this case are the thousands upon thousands of sales rooms that derive no income from trading and all from human retail ATMs.