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Developing a Trading Plan
Why is it so important?


Even the best systems, methods, or courses are only as good as how we use them. Itís basically like a diet. Even the best ones are only as good as our discipline to stick to it. Well then, hereís the low-down on trading: The best trading education in the world is only as good as your understanding of it and your ability to apply it. The trading plan is the final and most important tool to trading effectively.

No matter what type of trader you are, you and I know that we must trade with discipline to win and to keep winning. And Iím going to tell you something now about money and discipline: if youíre account size is smallÖyour decision muscle better be big. Itís a fact too many people want to hype around. To develop discipline, we must understand how to follow a PLAN. Thatís right! A plan. That four-letter word. How you will trade is purely individual to you.

Nobody cares about your money as much as you do.

If YOU donít have a plan, you are exposed to the overwhelming amount of news, of opinions, and emotions that run like wildfire through the TV, the Internet, and our own minds. Doing your homework before you put on a trade will help you cope with second guessing a trade and keep you from buying or selling on impulse.

You must be confident and flexible in your trading. Your confidence will come from doing your homework thoroughly and consistently. (Personally, I do my homework when the market is closed.)




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CAUTION:

TRADING COMMODITIES, STOCKS AND/OR COMMODITY OR STOCK OPTIONS INVOLVES RISK. MONEY CAN BE LOST AND/OR MADE TRADING ANY SECURITY AND/OR OPTION. PAST PERFORMANCE OF A TRADING SYSTEM OR MARKET IS NOT NECESSARILY INDICATIVE OF THE FUTURE PERFORMANCE OF THAT SAME SYSTEM OR MARKET. MOCK TRADING AND ITS HYPOTHETICAL PERFORMANCE RESULTS ARE INHERENTLY LIMITED AND SHOULD ONLY BE USED AS A LEARNING TOOL AND NOT A MEASURE OF FUTURE PERFORMANCE. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL, OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE DISCUSSED WITHIN THIS SITE, SUPPORT AND TEXTS. OUR COURSES SHOULD BE USED AS LEARNING AIDS ONLY AND SHOULD NOT BE USED TO INVEST REAL MONEY. IF YOU DECIDE TO INVEST REAL MONEY, ALL TRADING DECISIONS SHOULD BE YOUR OWN.


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