Today I want to help you guys develop a mini trading plan. You should always have a trading plan or foundation so your actions, results, and goals are in constant alignment. Ok, let’s hop into it.
Before you start trading, It is important to establish your goals. So what are you trading for? When you have an end goal in mind, it will give you the drive to achieve what you have set before you. Once you’ve done this, you can institute a timeframe in which you plan on meeting your goals and jump in to trading.
Now it’s time to choose what you want to trade. When choosing a stock or commodity you want to trade, list out what type of trades are you looking for. Are you looking for something with small movements but is pretty steady and predictable? If so you may want to trade Gold. Are you looking for something less predictable but has opportunities for big gains? If so you may want to trade either bitcoin. So it just depends on what you are looking to do.
Because it can be so easy to get emotionally attached to your trades and your money, you want to start out by investing only what you are prepared to lose and by setting parameters before you start trading. Prepare for the worst but expect the best. With this mindset and preparation, trading will be easier. What I mean by this is set a price you want to enter/buy a stock, what price you plan on selling it for if you make a profit, and what price you will sell it for if it starts going down. Stick to this plan.
When you are ready to start you should use an app or platform that fits what you want to do. Are you trading long term or short term? To find out which app or platform you should be using, check out my other blog “What app should I invest with.” This is a mini trading plan that you can implement when you are just getting started. If you have any questions, send me a DM on instagram @TheeDailyTrader. Remember to Get In, Get Out, and Get You a Bag! I’ll see y’all soon.