TREAT TRADING LIKE A BUSINESS | ForexSail

• ForexSail
• 14 Sep, 2022

Traders should be as disciplined as they would be in a business. Making a trading plan on paper is a very important first step.

Set up your own accounting system so you can keep track of your trading results and compare them to the reports from your broker.

All you need is a simple Excel spreadsheet with results for each day, week, and month. 

You should include gross profit/loss, number of trades, commission costs, ECN costs, other costs, net profit/loss, equity (make sure it matches brokerage reports), and any other information that will help.
 

Use this information to help you make better trades. Look for patterns in your results and the relationship between your profits and costs.

Your trading plan should include a list of all the different kinds of trading you plan to do during the day or week.

Successful traders don't just open up their charts and make their first trade. First, they made plans for everything that could happen, and then they decided to attack. The most important thing is to get ready.

For me, the start of a new business week is usually on Sunday. On Sundays, I look at all of the charts and point out the most important trading opportunities for the coming week.
 

So, I can focus on trading setups and trade according to the trading plan. 

If you already have a trading plan, you should make sure it answers certain questions, like the ones below:

• How do you plan to trade currency pairs?
   
• Which strategy will you use most of your time and energy on? (Swing trading or Day trading)
   
• What kind of way do you do business?
   
• How do you keep track of your money and risks?
   
• One more benefit of having a trading plan is that it helps you set your trading goals more clearly. If you know when to change your risk, you can better control your overall risk, as well as your money and trading strategy, based on how the market is doing.
   

If you want to trade like a business, you will find that a trading plan is the most important piece of paper you will need.

Tight trading rules

If you are serious about trading forex and want to treat it like a business, you should set up a trading routine that will help you stay consistent throughout the week.

This will help you make as much money as possible and lose as little as possible.
 

The following should be a regular part of your trading process:

• When gathering information about the market.
   
• How to change your trade while it is still going on during the week.
   
• When will you start keeping track of the trades you make? It happens either every day or every week.
   
• When to stop making trades.
   
• You should also make trading a priority in your day-to-day life if you want it to become a habit.
   

Keeping a consistent trading performance throughout the week will be easier if you have a trading routine that works well with the rest of your life.