What are the essential elements of a trading plan?

Before developing the plan forex trading, the trader must understand the principles of money management and risk return ratio.

1. Define an entry strategy. Whatever the criteria used to take a stand, technical indicators, price action, economic news, chart patterns, trend line ... etc. the trader needs to identify and define what constitutes for him a good market entry. It can also list multiple configurations in order of quality (A = B = perfect entry average input etc. ...)

2. Determine the risk / return ratio of any configuration of trading potential.

3. Adjust the size of the trade position to define the distance necessary protective stop and not vice versa! You should never adjust the stop to get a size desired position.

4. Know the exit strategy before entering the trade. The trader should know precisely what to do with his position and the best time to make an objective decision is before taking a position on the market.

5. Remain objective at the end of trade. The trading plan must provide for a mandatory activity to do after closing a trade. Emotions can be harmful after a trade, whether winning or losing. Feelings of revenge and disappointment can prompt the trader to take unnecessary risks and to rush back on the market with a state of little enamored goal. After a winning trade, it is very easy to feel overconfident and the trader can then in a moment of euphoria to a new trade, but with a greater level of risk. With such behavior, the benefits are doomed to evaporate in a flash

ap nay tu achi thead post ki hay may tu yah kahta hoon kay agar kisi ko forex may agay jana hay tu phr wo es tarha ki thead ko paraha karya.

Forex Trading me ap ka koi boss nhi he ap khud apni marzi se jitne din bhi chutti karna chaiahe kar sakte hen aur forex trading me week me 2 din chutti karni parti he q k market close hoti he

My dear friend forex trading ma jo khuch kerna ha wo khud hee kerna ha ma na apki inforamtion parhi hai apna boht achi bat kee hai,,...................

Dear friend ap ki bat theek hai mein bhi is bat pe amal zeror Kern gi forex trading mein kamyabi hasil Kerny k liy esi threads kafi help full rehti hein.

You have very beautifully mentioned the basic but essential elements of planning about trade.we must keep lot size ,ratio of risk and exit point in our minds while planning.

baat ye hay kay maine jab new trading seekhi thi maine uss time mei gold mei trading shru ki thai maine kuch din kamaya phr gold ki samaj he nahe arahi thi socho kuch ho kuch jata bohat loss keya esliye chorr diya gold

is main planing kar kay kam karna ho ga jis say humain achi earning hasil ho sakti hay magr humain demo ko use karna ho ga jis say trade main kam karna best rhat hay humain hard work kar kay ana ho ga