Trading Price 9: Putting it all together

Question 1

trading plan

Question 2

Trading Purpose and why it’s important

Answer 2

Purpose: to give a trader a clear direction in trading and meaning of why they are trading. Why it’s Important: without a goal, a trader will not be focused nor will they know how to trade

Question 3

Financial/Non Financial Goals

Answer 3

Purpose: to give a trader a clear focus of their personal goals. It’s important your goals are definite and not vague in your goals Why it’s important: without a goal, a trader will not be focused nor, will they know how to trade with a clear direction Financial Goal example I will make $400 a day on average and use trading as my primary income Non Financial Goal Example I will live wherever I want when I want

Question 4

strategic goals

Answer 4

Purpose: to give a trader specific criteria to accomplish their goals Why it’s important: without a strategic goal, a trader will not be focused, nor will they know how to trade with confidence strategic goals examples; 1. High probability trades 2. Low Risk 3. High profit potential

Question 5

1. High probability tradesexamples

Answer 5

1. High probability trades - buy low on the curve - buy only when oversold on _____ oscillator - buy only when price has an ASE

Question 6

2. Low Riskexamples

Answer 6

2. Low Risk - position size every trade correctly - use daily stop loss - limit of what you can lose per day - use a stop on every trade

Question 7

3. High profit potential examples

Answer 7

3. High profit potential - buy low on curve - short high on curve - price must have a min of 3:1 R - trade with a HTF trend

Question 8

ASE

Answer 8

All star entry when price has pierced a bollinger band and goes into supply/demand zone at same time high probability trade/high profit potential

Question 9

The trade set up

Answer 9

Purpose: to give a trader a clear picture of what they need to see in order to take a trade Why It’s important: the set up is what a trader must see before they are allowed to take a trade. The set up is the specific requirements (checklist) before a trade is taken set up example: - I will ID a higher timeframe uptrend using the weekly chart - I will ID a intermediate TF D zone using a daily chart THe D zone must be low on curve The odds enhancers must score at min of 7/10 in order to qualify to take the trade - the zones must be clear and compelling

Question 10

Risk Management

Answer 10

Purpose: to give a trader specific rules and routines to minimize riskwhy it’s important: if you have to ask, then you are already in troubleHow I reduce riskALWAYS use stops ALWAYS!ALWAYS position size for riskALWAYS pre plan the trade, no impulse tradingALWAYS follow the rules and plan

Question 11

Entries

Answer 11

Purpose: To give a trader specific trading tactics that get them into a trade WHy it’s important: a trader needs specific entry tactics so a trader knows exactly what to do without hesitation. Precision entry gives a trader more profit and less chance of getting stopped out Example I will buy using a #1 entry I will short using a #2 entry

Question 12

Exits

Answer 12

Purpose: To give a trader a specific trading tactic that get them out of a trade Why it’s important: A trader needs Specific exit tactics so a trader knows exactly what to do without hesitation. This gives traders more confidence in trading as well. Without good exit tactics, a trader can achieve higher profit potential as well. example I will scale out of my position at a 2:1R and another at a 4:1 R

Question 13

Trade management

Answer 13

Purpose: to give a trader specific trading tactics that help them manage a trade why it’s important: without tactics, without rules, without focus, a trader will not have the ability to manage a trade to increase their profits example i will use an ATR (average true range) trailing stop to let profits run i will use a technical stop to let profits run i will exit half of position at a 2:1 R and let other half run using a technical stop

Question 14

risk management example

Answer 14

account risk per trade	position sizing	stop placement

Question 15

Set upexample

Answer 15

• check HTF for trend - check ITF for zones - have zone entry rules zone entry rules example zone must be low/high on curve zone must have a level on top of level

Question 16

Entryexample

Question 17

exit tacticexample

Question 18

checklistexample

Question 19

study and analysis skill developmentexample

Question 20

5 reasons why traders blow up accounts

Answer 20

1. lack of specialized education and continuous mentoring 2. not using stops 3. trading without plan 4. incorrect position sizing 5. trading leveraged asset class without education

Question 21

list 6 steps in BUY SETUP

Answer 21

1. ID UPTREND 2. ID DZ for entry (using odds enhancers) 3. ID SZ for target (using odds enhancers) 4. BUY when price declines into DZ 5. Place STOP below DZ 6. Enter profit Targets *recommended: enter entire position at once *initial profit zone must offer at least 2:1 R

Question 22

list 6 steps in SELL SETUP

Answer 22

1. ID DOWNTREND 2. ID SZ for entry (using odds enhancers) 3. ID DZ for target (using odds enhancers) 4. SHORT when price rallies into SZ 5. Place STOP above sZ 6. Enter profit Targets *recommended: enter entire position at once *initial profit zone must offer at least 2:1 R

Question 23

4 CHECKLIST 3 strategy

Answer 23

checklist long term trend short term trend supply demand strategy buy sell stop target