Creating a good trading plan

I’ve made a trading plan. It’s a work in progress. I’ve read several posts on this forum to get pointers on what should be in a plan. My issue is that I’m so new that I don’t know what kind of trader I am yet, what my strategy is, which goals I should set, my trade management etc etc etc. Is a trading plan something to write after you’ve been parcticing for some time, have discovered what kind of trader and strategy that fits and before starting to trade on a live account?

You are not alone, most traders start out this way. So many strategies and so many different time frames and hundreds of indicators.

My advice to myself 7 years ago would be to start with the higher time frames, 4H and daily, focus on trend trading and stay away from mean reversion strategies (picking tops & bottoms). Unless you really know what you’re doing then you will get burned.

Learn simple price action: An uptrend forms higher highs and higher lows. A downtrend forms lower lows and lower highs.

Trend trading can be as simple as buying after price crosses over a MA after a dip:

Or you can draw lines through the wicks using them as support/resistance to trigger an entry:

It is not nearly as easy as I make this look in hindsight. But, with practice and experience you’ll learn to spot these things easier.

Be patient, keep practicing and learning, and focus on just a few techniques and you can do well. Most importantly, manage your losses to keep them small. Not blowing your account is key to survival in this business.

Good luck

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Thanks for taking the time to help. :pray:

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