With this new year I would to share with you on my re-affirm vision as a trader. My vision for this new year is "I will become the world's best trader with this ONE style of trading". I will not change the trading system or look for another new trading system or style of trading which have make good income since 2007. On top of that I will further pursue my trading education and qualification to become a certified global trader.
My trading business plan for the new year is in place and intact, and has been tested many time in all trading & market environments. My trading plan calls for no human judgement interference before, during and after entering the market. It has to be "trade on what I see, don't trade on what I think".
For those of you who haven't has any trading plan, I suggest you better make one for this new year. It has to be simple and fool proof. It has to be as clear as possible on what you will do with you trading.
The trading business plan you make should have three main components namely:
- Tested Entry Rules: A precise set of rules that must be pass before you enter a trade. Entry rules shoud be simple, direct, and leave no room for human judgement.
- Money Management Rules: The ability to manage risk in choppy and volatile market movements. You must be able to define you maximum loss in any single trade without blowing your account for a call margin in the long-term.
- Tested Exit Rules: Entering FOREX without knowing your exit position is a useless entry and will call for a DISASTER. Having a set of rules that define your exit is equally important as setting you entry into the market.
So if you don't have the above in your trading business plan, you'd better set it now.
Until then...I will be back again for the 2009 trading season on the 5th January 2009.