Techniques To Make Your Trading Methods effective.
Focus on Higher Time Frames
There are different time frames for the market for Trading. Most of the traders are using different time frames to trade the market.
I experienced too much of noise in the smaller time frames in the market while trading. Smaller the time frame more confusion and more noise is their in the market.
Most of the traders focus on smaller time frames in the market which might be the reason for getting poor results while trading,
My observation regarding time frames says that market removes the noise and confusion in the longer time frame of the market.
Longer the time frames you can easily analyze the market without confusion. I trade on longer time frames of Four hour , Daily and Weekly time frames.
I trade intraday trading on the smaller time frames of five minutes , 15 minutes. To get more accuracy in intraday trading you should analyze longer time frames to identify the actual trend of the market.
So trading price action on higher time frames will make your trading methods effective and simple.
Concentrate on High Quality Trade setups Not on Quantity.
I experienced in trading many traders are trading too much. They are just addicted towards trading. If any of the day they don’t trade then they feel so nervous.
This means that this kind of addicted traders are not actually trading. Unknowingly they become gamblers day by day. Over trading is not a way of trading to get success.
Most of the traders focus on number of quantity of the trades , they don’t focus on the quality of the trade setup. If you get only few trades in the month still its ok.
If you are trading less then automatically you will stay away from noise and over trading and the poor quality trade setups. This will increase your more accuracy and good results in trading.
Just find out the high quality trade setups and enter into the market to get good results.
I focus only on the high quality trade setups in trading. I analyze the markets using my natural price action strategy and if I find the high quality trade setup then I enter into the market.
Focusing on high quality trade setup will make your trading methods effective.
Calculate the Risk Per Trade and Never exceed it anyhow.
Whenever you enter the market according to your trading strategy , first of all just calculate your risk in that trade. Calculate your stop loss and target , decide your lot size and then enter into the trade.
Never get emotional on any of the trade. If you find strong high quality trade setup , still don’t get emotional on that trade and trade only after calculating your risk.
Many traders get emotionally attach with that trade and they risk too much on that trade and uncertainly if that trade moves negative they loose more. This is because they got emotional and break the rule of risk management.
Always calculate your risk first and if you are fully comfortable in that risk then only enter in the market.
Create a Trading Environment to Set your Trading Thoughts.
If you are a full time trader and trading from home , It is too boring to sit on one chair for long hours and trade the market.
If our Trading environment is not motivating then our thoughts are also not motivated. I use to change my environment of trading and I make it motivating.
Sometimes I used to go to the coffee shop or Mall or some time on beach to make my thoughts more positive and to have a clear mindset.
Many times sitting on the same place may demotivate our thoughts and our trading approach. Some time going to mall or coffee shop or beach may change your trading approach and you may be able to find high quality trade setups more easily and effectively.
Make a habbit to stay away from the markets for some times. No need to watch the markets continuously for the whole day.
Don’t love Any One Product in Trading.
Many traders are so emotional about the trading products. If suppose somebody got good results in any one kind of trading product , then some traders get emotionally attach with that product and they don’t trade any other product.
Even if they don’t find the high quality trade setup in that particular product they still trade that product under any conditions and give back their hard earned profits to the market.
Don’t get emotionally attach with any trading product. Always enter into the market only if you find proper trade setup according to your trading method.
The above discussed things will make your trading methods more effective to get good results.
Happy Trading.
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