In your trading plan, there are 21 questions you should answer

Many businesses fail due to a lack of preparation, which is one of the primary causes of failure.

If you want to be successful in life and business, you must have a strategy for achieving your goals.

Trading is similar to any other type of business.

Just like any other business, it's critical to have a written business strategy for your trade.

As already stated in the last lecture.

“If you fail to plan, you've already planned to fail,”

To put it another way, people who do not organize their trade as if it were a business are condemned to fail.

As part of your trading strategy, you should have answers to the following twenty-one questions:

• What are your unique motivations for pursuing a career as a trader？

• What do you want to get out of trading？

• What are your greatest assets？

• What are your greatest flaws？

• How do you intend to correct your flaws while maximizing your strengths？

• What are the characteristics that will set you apart from the vast majority of traders that fail？ (Replying with “hard labor” is insufficient.) Despite their efforts, many traders fail.)

• Will the things you described above give you a competitive advantage in the markets, resulting in a positive expectation for your trading outcomes？

• What market(s) do you intend to trade, and why？

• How much time do you have to commit to actively monitoring the foreign exchange market？ What about the financial market as a whole？

• What kind of trader are you？ Do you intend to scalp, day trade, swing trade, or take a position？

• Do the trading style(s) you've chosen correspond to the amount of time you have available to trade？

• When are you going to spend your time actually trading, studying trades, and learning about the market during the day (or week)？

• What trading system(s) will you employ (and what criteria will you use to enter and exit trades)？

• What is your risk-mitigation plan？

• When your trading system or technique stops working, how will you know？

• What will you do if you've determined that your trading method or technique is no longer working？

• What kind of trading software and equipment will you employ, and how much will it cost？

• Who are you going to use to get into the markets？ Which broker(s) are you going to use？

• With how much money do you intend to begin trading？ Is this money something you can afford to lose without jeopardizing your existing lifestyle？

• Do you intend to deposit funds into your account, and if so, where will the funds originate from？

• Do you intend to reinvest gains or withdraw some or all of them if you are profitable？

Take some time to consider the questions above if you're serious about trading.



Direction and a sense of purpose are required for growth and success. Which must be identified and explained clearly first.

They aren't going to show up on their own.

A clear roadmap forces accountability and responsibility, which may result in a plan revision (like when your trading system or strategy stops working). This is fine, but you won't know if modification is required unless you've defined what constitutes “functioning” and “not working” in plain terms.

Risks can be transformed into opportunities, but first you must determine what the risks are. If you don't, when they occur as a crisis, you'll be caught off guard, panicked, and likely make terrible (and unproductive) judgments.

As you can see, there are a lot of factors to think about before pressing the buy or sell button on your trading platform.

While answering all of the questions will not ensure trading success, failing to do so will almost likely result in failure.

It's entirely up to you.

The quality of the planning is usually proportionate to the outcome.

Don't put yourself in a position to fail. Put yourself in a position to succeed.