Suggestion Forex Trading Plan: This Example will show you guys, how to document your trading plan.

[Luyas]

	Forex currency trading is a zero sum game and those with a trading plan and the necessary discipline to stick to it will succeed over those that trade without one. If you want to be on the positive side of this game start with your trading plan - it is your most important weapon against your opponents. Here is an example of what a Forex Trading Plan should look like: Goal My goal is to make 20 pips or $20 per day over the 20 day trading period. Market My target market is the EUR/USD spot market. Trading style is day trading with all trades taking place between 8:30 am and 11:00 am on class days. On certain occasions I will attempt to start trading at 7:20 am due to the fact that a majority of economic data is released at 7:30 am CST. All positions will be closed at the end of class. Research and Fundamentals Each day before trading I will fill out a trading plan for the day. I will also research fundamental data related to the markets before I start trading. This is to get a market feel such as overall macro trends, world events, and upcoming economic data. I will also look into technical data over the past several days to figure out what technical movement has been present. Charts Candlestick charts are important for day-trading. I will use two charts; 5-min and 4 hr. I use the 4 hr charts to identify the major trends and the 5 minute chart to get minor trend timing. Strategy Before anything else I need to establish the minor trend. Although I will look at the 4 hr chart to get a broader view of the market, given the amount of time I have to trade, I feel it is more important to focus on the short term trend. If there is consolidation or any other non-committal movement on the minor trend, then I will stay out of trading until a trend presents itself. I will use western technical analysis (DailyFX resistance/support, Moving Averages) to get a general feel of which direction the market is going and eastern technical analysis to time my entry and exit points. Although technical analysis is the basis for my trading, if there is fundamental information that comes out that clearly swings the market against the trend I will go with the strength of the reaction towards the fundamental data. 1. The first step I will take is to determine whether the short term trend is bullish or bearish 2. I will check to see if there are any key psychological numbers and support/resistance points in the near future 3. If there are none, I will go long or short depending on the short term trend 4. If there are, I will wait until the market reaches those numbers to look for a reversal 5. I will trade against the trend if I find a candlestick reversal pattern with confirmation (Bullish Engulfing, Hammer, Morning Star, Shooting Star) 6. When trading against the short term trend, I will set my limit at the 50% fib retracement level Rules of the Plan 1. Never trade during consolidation 2. ALWAYS close out a trade if the MAs cross against a position 3. Try to achieve 10 pips on every trade, 0.2 lot = 10 pips, 0.2 lots = 5X2 etc. 4. Stop set at 5 to 20 pips 5. Momentum should correspond with short term trend when looking for entry point into a trade 6. Get out of a trade before major economic data is released 7. Don't make a trade within 10 minutes of class ending 8. Always get out a trade the second you think it is going against you

 

[Evyd]

Nice trading plan i will tailor make mine like dis

 

[gwhite2203]

great little trading plan. Always pays off to have one so you dont lose focus