Creating a Trading Plan in ThinkOrSwim

[tradespro512]

I'm trying to develop a trading plan, and everything I find on Google is a like a 2 page template. I'm curious if anyone out there is willing to share a trading plan they have (doesn't have to be current). I'm simply trying to get a really nice example of a trading plan so that I can develop one for myself.

 

[Trader Raider]

This may not be what you want to hear, but your trading plan shouldn't look like anyone else's, in my not-so-humble opinion. For example, my plan for my day trading account (which is risk capital I can afford to lose) in no way resembles my plan for my long term retirement accounts.

If you're just starting out developing a plan, a good place to start is to be clear about your goals for the account. Do you want to grow it slowly while minimizing risks? Or do you want faster growth, which generally comes with higher risk? Clarifying that issue will help you settle on risk-reward criteria and a strategy appropriate for the account and your risk tolerance.

Once those things are clear in your mind, it should be easier to write out explicit rules for extry and exit criteria, as well as specifying the exact amount you can risk per trade (no more than 1-2% for me personally). I also include rules for NOT trading (such as when tired, stressed, or high-impact news releases are pending, etc). My day-trading plan has more to do with protecting me from myself than it does with entry/exit.

Best wishes and happy trading

 

[scott69]

I posted this September 12, 2021. I share this with the traders that I mentor as a beginning of a more lengthy discussion.

Trading System Development By Scott69