Trading checklist

Beginner Questions
1

Could you share a checklist for activities before trading, such as checking currency correlation and trading sessions?

2

Hi,
I am not being awkward here, but checklists without background, rationale, strategy and plan will not help you. You could approach Forex like any other specialisation and learn from the experts. Have you tried the Learn Forex section on this forum yet? Learn How to Trade the Markets

2 Likes
3

I agree with Mondeoman. Checklists won’t help you if you don’t know how to trade. What is your strategy? Have you backtested it enough to have confidence in it? These are some of the more important questions in trading.

4

Okay Thank you sir

5

Okay Thank you sir

6

I agree.
The strategy a trader chooses drives everything.

7

Hi all. I am very new to forex and just found out about this forum a few minutes ago. I have an idea of what a trading strategy is, but I can’t seem to come up with something that wins consistently. Am still struggling on Demo account. Someone please help. I have been using a combination of GMMA, as the main trend indicator, and then use , MACD, Parabolic SAR, RSI and Stochastic Indicators to confirm. Sometimes I win, but oftentimes I don’t.I would greatly appreciate any help I can get.

8

Don’t use more than two indicators and learn price action

1 Like
9

That’s a lot of technical indicators. So I would have to ask - when you drive your car, how many instruments do you need to make a decision? Speedometer probably. Of course you’ll look at the fuel gauge now and then. But how many others are there anyway?

Driving is a complex task. But surely you spend more time watching the road and the traffic than watching the instruments inside your car? The instruments are the technical indicators: the road and the traffic are the price action. Consider which is more useful.

4 Likes
10

Noted. Thanks

11

Noted, thanks all along I thought the more indicators the better. I also noticed that most of the time those indicators are in conflict with each other. Thanks for the advice

12

Just to make sure am getting you clearly, by price action confirm you mean chart patterns like Bearish engulfing, shooting star etc? Are those more important than the information from indicators? Sorry for the silly questions …am just fresh from the school of pipsology

13

Yes. But more important than these mini-patterns is trend.

14

This is a gem. I love real world comparisons. Well done.

3 Likes
15

A trading checklist is a tool used by traders to help them make informed trading decisions and avoid impulsive mistakes. Here is a sample trading checklist for instances

  1. Define Trade Setup:
    • Clearly identify the trade opportunity
    • Confirm the trade aligns with your strategy
  2. Market Context:
    • Assess market conditions (trend, volatility, news)
    • Consider the broader market environment
  3. Risk Management:
    • Set clear risk parameters (stop-loss, position size)
    • Ensure adequate capital for the trade
  4. Chart Analysis:
    • Confirm the trade setup with technical analysis
    • Identify key levels (support, resistance, targets)
  5. Fundamental Analysis:
    • Review relevant news and events
    • Consider the company’s financial health (if trading stocks)
  6. Trade Entry:
    • Confirm the entry price and timing
    • Ensure the trade aligns with your strategy
  7. Trade Management:
    • Set clear goals (profit targets, exit criteria)
    • Monitor and adjust the trade as needed
  8. Trade Exit:
    • Confirm the exit price and timing
    • Evaluate the trade’s performance.
      You can concise as under.
  9. Define trade setup
  10. Assess market context
  11. Set risk parameters
  12. Confirm with chart analysis
  13. Consider fundamental analysis
  14. Execute trade entry
  15. Manage the trade
  16. Exit the trade
16

Thank you so much