Creating your own Trading StrategySELF DEVELOPMENT/METHODOLOGY/PSYCHOLOGY
Creating your own Trading Strategy
"In finance, a trading strategy is a fixed plan that is designed to achieve a profitable return by going long or short in markets".Whats your Trading Plan/Strategy?
Some of the questions you need to ask yourself when creating your own strategy are as follows;
How much time during the day/night do you have to devote to trading?
How much money do you need to live on each year and how much of that must come out of trading profits?
How many distractions can you expect during the day/night?
Specify the markets and times of the day you will trade
Do i want to trade multiple systems?
Will you short sell? or go long?
Where will you place your entry/stop loss and target line?
How will i monitor my trading results/outcomes? Will i use software or just a simple excel document?
Will i need a mentor or will I be self taught?
How do I handle losing money?
Can i handle being in a trade for more then an Minute/Hour, Day, Week etc?
Will i use a phone, tablet or desktop computer to place, check or cancel my trade?
How will i improve my trading performance?
How did you go about creating your strategy? What steps did you take or follow?
