Introduction:
Being a beginner, you can't really judge how far you go in trading. So just select the best strategy for 1 trade per day and stick to it. To review your performance, you don't need much experience. You can easily do that by calculating your winning and losing trades ratio which will give better understanding of whether you are on the right track or not.
Building off of my previous post (1 trade per week is dead) here's the best trading strategy for 1 trade per day: Make a detailed plan for the entire week, including weekends. Of course, things change depending on the market conditions. For example, I might have a plan of two or three targets (Weekly and Daily) for ES. I would like to choose ES because it's where you can make a high than 50-100 pips profit everyday. I choose it because of high volatility and liquidity with numerous price actions in daily basis. On Monday, all the signals based on 4h chart will be used. If there are some signs that could lead to an entry at daily chart, I don't think carefully as they might be wrong if weekly chart was wrong (the analysis was not right).
Best Strategy For 1 Trade Per Day
A popular strategy for day traders is to trade the market in the direction of the trend, but only if the market is quiet. This prevents getting caught in whipsaw action and paying too much slippage.
The best time of day to trade tends to be after a break in volatility or a period of regular, consistent price action. For example, you might notice that a stock tends to get choppy after earnings announcements and that it's often best to avoid trading it until a clearer trend emerges.
I've been trading since 1990, so I've seen a few things in my time and I want to share with you 7 secrets to crude oil futures trading success simply because it's a market that fascinates me and that I think provides some really good opportunities for the trader who knows what they're doing.
The biggest problem with the futures markets today is there are a lot of people out there trying to trade them who really don't know what they're doing, who really aren't well capitalized, and they get their accounts obliterated because they don't realize how volatile these markets can be and how quickly things can go against you if you're not careful.
Let me just review some of the key points here about crude oil futures trading success and we'll start with this one right here. This is something that has been very important in my life and my trading career and it comes from Ben Franklin: “If you can't prepare, you prepare to fail."
A popular strategy for day traders is to trade the market in the direction of the trend, but only if the market is quiet. This prevents getting caught in whipsaw action and paying too much slippage.
The best time of day to trade tends to be after a break in volatility or a period of regular, consistent price action. For example, you might notice that a stock tends to get choppy after earnings announcements and that it's often best to avoid trading it until a clearer trend emerges.
The best strategy for 1 trade per day is to wait until the stock has been moving in one direction, and then join in on the trend.
The first step is to wait for the market open.
The second step is to look at the 15 minute chart and determine which direction the market is going.
The third step is to place a buy or sell order at or near the end of the 15 minute chart and wait for it to be filled, this usually happens within a few minutes.
The fourth step is to set up a trailing stop loss (TSL) at 15 pips below your entry price (for a long trade), or 15 pips above your entry price (for a short trade).
The fifth and final step is to exit the trade when your TSL gets hit.
Conclusion:
In order to follow the strategy, all you have to do is open one trade per day on 5 different currency pairs with a stop loss and take profit at 1:1. The size should be small and doesn't matter what the leverage is. You can simply open a mini account on the broker's site and put a small amount of money in it - $50-$500.
In my opinion, the best strategy for a new trader is to place only one trade per day. This allows you to prove your trading ideas without risking a lot of capital on every trade. The first few months of your trading career should be dedicated to testing and refining your strategies instead of stressfully trying to find the perfect trading system. Once you have a solid system that profits consistently, it's time to scale up (gradually!) and put more capital at risk.
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