SETTING TRADING GOALS: 14 BASIC RULES
When we set our goals, they become more productive. It is a fact. However, just to set financial and trading goals is not enough. You need to understand how to achieve this. Here are a few ideas that may be useful.
1. Set only real purpose in the financial plan.
2. Adjust the target in reasonable limits, both in monetary terms and in time. You can't double your money in one transaction but you can do it for X trades over Y months.
3. Look for flaws in an existing trading strategy. You are constantly going in and out of trades too early or too late, or it happens in time?
4. You set to exit from profitable trades specific price target or forward an abstract of a trend change (or other signal)? It is possible that short-term trades, exit at a specific price (for example, "if price reaches 19,95$, will sell") works better.
5. Plan your trade and follow your trading plan.
6. What instruments do you trade? Pick something you understand and know well. Does not matter what it is — shares, precious metals or futures on commodities. The important thing is to understand the selected asset and it is good to understand it.
7. Use a more active approach to your trading. Try and experiment with different trading algorithms, strategies and position size to maximize profit while controlling risk. Break down established barriers and change habits. In other words, get out of their "comfort zones" to help yourself to achieve the best results.
8. Remember and keep your goal in mind. Do not allow emotions or habits to interfere with or otherwise limit the achievement of these goals.
9. Mistakes are always. In such moments, when trade begins to bring losses and increases the stress you, as ever, need to focus on your goals. Look at each losing position as an opportunity to test yourself and your skills. Use these losses to hone your skills and invest his emotional energy on improving trading strategies.
10. Learn to take risks and to discard any fears or fears that can hinder your trading.
11. After looking at their previous deals, ask yourself: what limits your ability to earn more money?
12. Find an experienced partner with whom you can discuss your trading and remember that this should be a constructive discussion on the case, and not a farce. If you do not have enough trade signals and entry points in the market, there are doubts about how and when to exit a trade, it is possible that an active exchange of skills and experience will be useful to both. However, it should more carefully relate to the various forums for beginners, where "working blind guide the blind".
13. Work on habits that will help you to overcome the difficulties. You need to learn not to trade when you are upset or the market itself asks you to stop trading (for example, after three consecutive losing trades).
14. Learn to trade not to feel the drive and adrenaline in the blood, which, in particular, gives trade, and methodically and systematically make the trade in the business.
Just a suggestion: set a goal to triple the money within three years. Here's the goal. In the end, who said that it is impossible to do?
