Trade Planning
What you are going to do? Where you are going to buy or sell? And most importantly where you are going to exit the market? The answers to these questions are vital, you must know them to succeed.
The above questions seem so obvious and yet countless traders open up their charts, take a peek at the market direction and decide what they are going to do. Madness? Most certainly, but why do they repeat this over and over again?
Traders carry out these actions because this is what the “books” and the “courses” tell them to do. They tell them to buy when moving averages cross up, sell when they cross down. It’s all so plausible when someone shows you how to trade on a static chart.
Ah ha! Now I see….thank you for telling me this “secret” method. Off the trader goes and tries to apply what they have learned…………Whoops! Not quite the same in a live market when you cant see the next bar to the right of your chart.
It does not have to be this way if you apply a little planning and do not get drawn into the live price action that is happening as you are about to trade.
This video shows how to get set up for your trading.