Having a Forex trading plan is one of the key elements to becoming a successful Forex trader. Many traders never even make a trading plan, let alone use one regularly. Read 10 Step For Perfect Trading Plan in Forex.
1. Skill Assessment
2. Mental Preparation
3. Set Risk Level
4. Set Goals
5. Do Homework
6. Trade Preparation
7. Set Exit Rules
8. Set Entry Rules
9. Keep Records
10. Perform a Post-Mortem
Each trader should write their plan, taking into account personal trading styles and goals.
Many of the traders have a market mantra they repeat before the day begins to get them ready.
Example: If your stop loss is a dollar loss per share, your goal should be $3 profit.
Post a list on the wall in the front of you and decide whether you want to trade ahead of an important economic report.
Write down the details such as targets, the entry and exit of each trade, the time, support and resistance levels, a daily opening range, market open and close for the day.