Coming up with a solid trading plan is just half the battle, as developing the discipline to stick to it is another challenge altogether. Quite too often, even with a solid trading plan, the failure to follow the rules can still result in multiple trading losses. One of the biggest reasons why traders fail to … Continue reading Reasons why traders abandon their plans
Aside from putting your trade plan to the test in real market conditions, deliberate practice is also essential in being able to stay on top of your game. Just as professional athletes take time to review their game performance through tapes or commentary, you should also devote a part of your trading schedule to breaking … Continue reading Deliberate practice and trusting your gut
As discussed in the previous article, trust in your strategy and confidence in yourself are necessary components to developing the discipline to stick to the plan. Apart from deliberate practice and constantly tracking the results of your plan under live market conditions, there are several more ways to develop and maintain confidence in your trade … Continue reading Developing confidence in your trade plan
Once you’ve developed enough confidence in your trading skills and strategy, you can work on improving and enhancing your profit potential. Of course these changes must be carefully thought out and implemented gradually so as to not cause any sudden changes in your psychology or account. One way to enhance your current trade plan is … Continue reading Ways to enhance your trade plan
Truth be told, there is probably not a single system that can always stay profitable under all market conditions. There are instances when the market is ranging, typically during the summer months, and there are times when volatility is higher. Trend-following systems tend to do better when trends are stronger and prolonged while mean-reversion systems … Continue reading Adjusting to changing market conditions
