28 March, AtoZForex, London – First, let us begin by introducing you to the two entities that are hidden inside you. Let us call them one of them Mr Plus and the other Mr Minus.
In the first part of this guide, on how to become a self-disciplined trader, I trust you have got rid of the distractions and looked at your daily, weekly and monthly routines … you have not, then Mr Minus ruled You. Mr Minus knows about all your fears, weaknesses, strengths, insecurities, he will manipulate to keep Mr Plus from following a routine/program. You see, Mr Minus does not want to lose control. He knows once you become a self-disciplined trader, he loses control to Mr Plus!
You decide who is going to rule you, Mr Plus or Mr Minus?
It is the end of a month and the beginning of a new month. Here is something you can do to help Mr Plus gain control, you see Mr Plus is such a nice guy and needs help to overcome Mr Minus.
See also: Why most traders fail
Also, one very important point, you cannot get rid of Mr Minus or Mr Plus because they are part of you, only we have to make sure Mr Plus is in real control and reward Mr Minus after achieving a goal to thinking that he is in control so as to allow Mr Plus to function without distractions.
We are going to start fresh. As we are concentrating on the trading side (I am not going to cover the personal side and the trader’s mindset, as that is your responsibility).
1) Create a routine
a) At the end of each month, review last month’s trades, learn and see where improvements could be made.
SET A DATE AND TIME TO DO THIS MONTHLY IN ADVANCE.
b) Set your trading goals for next month and plan how you are going to do this.
c) At the end of each week, review last month’s trades, learn and see where improvements could be made.
SET A DATE AND TIME TO DO THIS WEEKLY IN ADVANCE.
Most pro-traders do it over the weekend, hence calling it a Weekend Checklist.
d) Create a DAILY timetable, for each hour(s) of the day, for the whole of the coming week, fill in what you are going to do, for example,
- 6am-7am: Get up , exercise, pray, shower, breakfast etc
- 7am – 8am: Switch on my pc, review my daily trading plan and goals and start trading
- 8am- 9am: Attend AtoZForex Daily Live Analysis, adjust my trading plan, if necessary
- 7am – 9pm: Trade using the strategies that you have learnt and mastered
- Set you lunch and dinner times accordingly
- 9pm to 11pm: review daily trades and plan for the next day
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- Write down the trades taken and why you took it and how you felt when you placed the trade.
3) Trading Plan
Tabulate it and have it in front of you at all times. For example:
|When will I trade?||What strategies will I trade?||What are the rules I have to follow?||Trading Goal(s)- %/pips||Next Review date/time|
|Daily7am to 9pm||News||xxxxxxx||Monthly a% /??pips||Monthly xx/yy/zzzz hh:mm|
|Intraday||yyyyyyy||Weekly b% /??pips||Weekly xx/yy/zzzz hh:mm|
|Swing||zzzzzzzz||Daily c% /??pips||Daily hh:mm (after NYC)|
Now, Mr Plus is slowly taking control, and on your way to becoming a SELF-DISCIPLINED trader. DANGER: Mr Minus is trying to distract you.
Create a daily trading checklist and for the first month (follow it), like an airplane pilots checklist, until it becomes part of you.
You are getting Self-Disciplined and MR Plus loves it, as he is gaining control.
About the contributor
This article was written by TradingDoc.