Checklist to trade in Forex

Check Sheet in forex trading Hello, forex traders are friends!We all know that it is important to have a trading plan and profitable strategy, and, of course, to follow them.

And here in question own trading rules to discipline and repetition just begins most of the problems.However, there is one simple tool, literally - page paper, which will help you significantly improve your discipline in the trade and, as a consequence, key performance indicators and profit.

And this simple tool - it is a check list.In this article we will discuss why it is important, why he was a trader and how to properly prepare and apply.

Why traders plan their trade

Why traders plan their trading

great traders and investors of world renown plan, how, when and why they are investing.They understand that in order to achieve the ultimate goals they need a map that describes the route of their trading plan that will help guide them to make the right decisions at the right time.

trading plan will give you the structure and will contribute to the development of the discipline in

your trading activities.This will help you keep track of your shopping process, to assume responsibility and evaluate their success.This will give you a basis for a clear understanding of the current situation at any given time, and also will help to identify your goals, map out a strategy and identify the risks and profits.

No matter whether you are an experienced trader or just a novice, a well thought out trading plan - it is a kind of vehicle in which you have to get to your destination.Moreover, it is important to have your trading plan, but equally important to stick to it.Some of us are easy to adhere to it, while others are in a constant struggle with its concept and reality thorough compliance with the rules that they have identified in their strict trading plan.

I want to ask you a question: whether or not you have a trading plan that you observe, correctly performing their ins and outs of the market?I'm a big believer that we all need to have a clear system that supports the adoption of our solutions, which will help us to remain objective and dispassionate to when to buy and sell.However, whether any good system, which you should follow, be so unequivocal?Should you trust her or to doubt it?

discipline and your commitment to your trading plan you can measure, review and can include key performance indicators (KPI) in your trading strategy and determine how well you stick to your rules and trading plan.The number of mistakes that you make, based on aspects such as noise, emotions or mistake can be calculated and subject them to questioning - as a result, you can improve your trading plan.Identify your mistakes by comparison, when your system has given you a signal to buy or sell, when and why you are actually obliged.If most of your trade is not executed in accordance with your system or rules, it is possible that you manage your positions intuitively and do not follow the rules of your trading plan.This approach to trade has not consistency, and a negative impact on your income in the long term.

At the same time, there are cases in which trade based on emotion, it will be kept to a loss and take profit minimum, but only to a narrow circle of professional traders intuitively mastered this ability on a permanent basis.In the end, the remaining traders trade based on emotion, it does not work because it can not reproduce, and this only leads to failure and frustration.What may work today will not work tomorrow and always.In addition, such trade increases the stress and creates bad habits for repeated indecision.

If your trading plan in most cases is solid, then it should be respected.Thus, it is important to make efforts to ensure the reliability and stability of your trading plan before starting to trade or increase the risks.

Traders often abandoned their plans when they do not have enough personal experience to follow those plans, and thus, of course, do not have enough self-confidence.

That greatly simplifies follow your plan and strategy

The role of the checklist in forex trading

So how do you follow your carefully drawn up plan?How not to "score" on its own the same rules.One of the things that prevents us - is, oddly enough, our brains.We think too much and wonder.

This suggests that if we reduce the activity of our wandering mind, and leave only the logic, efficiency increase.

A good way to accomplish this - create and print a checklist for entry and exit transactions.

What is a check-list?Checklist - a checklist.It contains a number of essential items for any work.In our case for trading.
check-list is used to check whether all conditions are correct for your entry strategy into the market.

You affix a checkmark in each of the conditions, if at least one of them is not satisfied - the market is not included.

It's very simple.Let's say your strategy is based on two indicators, in conjunction with the support / resistance levels, you are trading intra-day, one of these indicators is a trend, and the second - the oscillator.Then your checklist might look like this:

1) Who is the American / London session?- Yes / No

2) Is there a signal to the input of the indicator X?- Yes / No

3) whether the Y LED indicators signal agreement with X?- Yes / No

4) Do you have a signal on the support level?- Yes / No

4) Should not the proposed transaction on the way the next level, which pomeshaet her reach the goal?- Yes / No

5) Are there any important news in the next half hour?- Yes / No

6) I now feel good (ie, I'm not sick, not depressed, not tired)?- Yes / No

run through this list and a pencil mark items.If the answer to all questions YES - enter a trade.If there is at least one NO - do not enter.

Everything is so simple and do not need to think.By thinking, I mean, mode wandering mind, which leads to unnecessary transactions, early I / O, etc.Checklist removes these mental "what if", "like", "think", etc.

There compliance with all checklist items - enter.Not the same as at least one point - do not enter.

Similarly checklist can make and to exit the deal if you come out on the market does not take-profit, and for some signals.

best to be a check list to print and fill out every time again (check mark) for each transaction.Believe me, the price is much cheaper than paper of possible errors, from which you will save Chek sheet.

How to make a check-list for your strategy

write a check list for forex trading

How to make a check-list?Very simple.Take the rules of your strategy, and brings them to the list of items so that you can put a check mark next to each item, if the conditions on the graph correspond to him, or to answer in monosyllables Yes / No.

also advise to include a paragraph on your current morale, becausetrade when you are tired, sick, depressed, etc.not worth it.


check sheet to trade the Forex conclusion

Check list - in essence, this is a checklist of the items of your trading strategy and trading plan.His task - to reduce the influence of "Mind wandering" on your trading.Also, a check list helps nothing to forget.Take a couple of rubles - print out your check list and put it next to the workplace.It is useful to you.

Each time before opening the deal runs for each item on your list if at least one item does not correspond to the current situation - do not enter the market.And yes you will arrive with a profit :)