Sunday, March 20, 2016

Daily Trading Plan

Today i have gone through ST and URD hand books to brush up my understanding as i see i was unable to pull trigger some times in last week and missed few good setup as hesitated at entry points.

Came with small document which i can use as reference point daily, Sharing as blog spot to take right cues if useful for your style of trading DP's.


Daily Trading Plan
  1. Plot DP’s such as BRN,PDH,PDC,PDL,RN & Proven Resistance/Support levels from daily chart
  2. Develop market bias by answering below Q’s 
·          What is day’s trend; Up/Down?
·          Price opens in/out side of yesterday range?
·          Price gapped trend or counter trend?
·          Price trading above/below of DO/PDC?
·          IR formed above/below yesterday closing range











Read this before initiating trade:

  1. FTA should be at least 15 points away, to allow scratching
  2. Check if trapped traders create good order flow; Don't miss BOF of prominent levels
  3. Don't risk more than 10 points per trade
  4. Define exit levels before processing entry itself, you may get into TRAP right!
  5. Never miss Fluids.
  6. Check if critical mass (day traders booking profits/market counter gap down below PDL and reverse etc.) provides order flow to your trade.
  7. Attempt counter trend FTC trade only if you think price exhausted (near to higher t/f level)
  8. Don’t trade BOF while SAC pattern running/developing.
  9. Don’t miss PP trade, if BOF exits at other extreme


Managing Trade:

1.     Hide SL behind DP, Swing High/Low, Flip’s and Pivots
2.     Move SL to cost and look to scratch if price reverse from FTA
3.     Do SAR trades only in case of TRAP entries (Or) You had one profitable trade already
4.     STOP trading for the day, once 2 SL triggered in a row

5.     Maximum trades per day, Four.

12 comments:

  1. Good synopsis.Thanks.

    Regards,

    Veer

    ReplyDelete
  2. Hi Rose,
    Although I too hesitate to pull trigger many a times. But this help sometimes.
    http://screencast.com/t/nu17W8N
    In Managing trades , it is very essential to follow your 4th point , as after two failed trades, we are likely to enter into revenge trading zone at least in my case.

    Thanks

    ReplyDelete
    Replies
    1. True, Our psyche effects after 2 failure trades in a row..
      BTW that link is not working.

      Delete
    2. Nothing new, we have seen and heard many times.
      http://screencast.com/t/O60YlxWYyUa

      Delete
  3. Great ready recknor

    ReplyDelete
  4. Good info, very helpful. The way you write your each post helped me a lot to align my thoughts during trading. This post is also great, I too have made something like this for myself and this adds a lot to it. Thanks

    ReplyDelete
    Replies
    1. Banafsha Chandran,
      Glad to know that I am being helpful

      Delete
  5. Hi Rose,
    Understood everything except this one:
    "Don’t trade BOF while SAC pattern running/developing."
    What do you mean by SAC pattern

    ReplyDelete
  6. Spike and Channel
    http://niftynirvana.blogspot.de/2012/06/spike-and-channel.html

    ReplyDelete
  7. Very nice Rose.. I like your systematic approach. I think u r applying Quality System and TQM (normally followed in Automotive field) in the trading process. Where u got training?
    What is SAR trades?

    ReplyDelete
    Replies
    1. RPKN,

      Not sure what TQM is :)
      I just framed some rules out of learnings from ST, URD teachings and my own learnings of risk management, trade management etc. Fortunately it turns out to be proven good so far.

      Delete