This is a clip from one of our April 9th Live Session where we structured a trading plan from beginning to end using a daily WEAT chart which is an ETF of the Wheat futures market. Having a plan of the things you can control goes a long way when it comes to your trading consistency and conserving phycological energy. Use this as a guide to your own trade planning.
Basically, know your method and design rules for:
- Entry: Know what gets you in
- Initial stop: know where your stop goes
- Money management: Know your position size and trade management after in trade
- Exit: know what gets you out
In Simple Swing Trading part One, I went over the components of a swing and described what simple swing trading is. In this video, were going to take our swing and learn how to see it in two different contexts that will produce the swing. The first will be the first pullback after a breakout of a range. The second will be a balanced reaction leg. In both, we wait for a pullback and a swap of price as a confirmation. I talk about confirmation parts of the swing in “Learning To Read Price Action Part 3″ and” Left and Right Side of a Pivot Entry”.