Trading Systems

Question 1

Knowledge of Systems

Answer 1

Win Rate for setup
Risk reward ratio needed for setup

Question 2

Entry Rules

Answer 2

What is your ideal setup
What do you need to see to get in a trade

There’s no such thing as perfect entry

Question 3

Exit Rules

Answer 3

Used to:

Cut potential losses quickly
Set profit taking targets
Set min and max losses (Stop losses)
Max price goal

Without these:

Let a trade run too long and never take profit
Take profit too soon
Stay in loosing trade too long

Question 4

Method for introducing new systems

Answer 4

Idea
Planning
Strategy
Success

Question 5

Certification requirements before new system is viable.

Answer 5

Back testing requirements
number of test size
Profitable level
Winning percentage
Risk reward ratio

Question 6

Trade systems and triggers

Answer 6

Trade filters: indenting the conditions that must be met in order for a trade entry opportunity to occur

Trade Trigger: Exactly what you do you need to see to get in a trade.

Question 7

Record Keeping

Answer 7

Frequency
Where
Performance materics
Type
Time
P&l