Best Practices Inwards Trading: Elaborating Your Trading Processes

Who are nosotros every bit traders?  The reality is that nosotros fill upwardly many roles as well as engage inward a diverseness of activities.  It’s rare to divulge traders who piece of job diligently on becoming amend traders.  It’s fifty-fifty to a greater extent than rare to run across traders intermission downwardly what they produce into components as well as piece of job on bettering themselves inward every i of those.

Today’s best practise comes from Pier Luigi Pellegrino from Paris, France.  He breaks downwardly trading into 4 basic areas as well as thence breaks downwardly each of those into 2 sub domains as well as each of those into 3 specific surgery elements.  This creates a catalog of 24 surgery functions of trading.  Pier explains, “The daily trading routine is focused on a structured as well as regular implementation of the…24 surgery elements.”

Here is Pier’s breakdown:

1.  Vision (The Fund Manager)

INNER DRIVE
1). Focused Vision – create regularly the images of the fiscal finish to achieve
2)  Intensity of Purpose – experience with intensity the volition to succeed as well as the expectation to win
3)  Intrinsic Motivation – existence driven from inside to plough over high standards of performance

ELITE MASTERY
4)  Self Efficacy – human activity with self confidence as well as self efficacy as well as belief inward winning
5)  Rage to Mastery – sustain the conviction of existence an elite performer driven to plough over mastery
6)  Implicit Action – execute the trading strategy yesteryear accessing implicit as well as intuitive knowledge

2.  Strategy (The Portfolio Manager)

PATTERN RECOGNITION
7)  Portfolio Ranking – scan, select, as well as rank the best tendency stocks with the proprietary screening tool
8)  Pattern Monitoring – monitor toll activity as well as blueprint evolution with the filtered stocks
9)  Setup Recognition – honor playbook setups through implicit blueprint recognition

MONEY MANAGEMENT
10)  Risk Analysis – perform due diligence as well as conduct chances analysis of potential trades
11)  Capital Allocation – create upwardly one’s hear the upper-case missive of the alphabet allocated to the merchandise (shares as well as halt level)
12)  Trading Frequency – merchandise exclusively the best setups with the greatest opportunity

3.  Execution (The Head Trader)

CONSISTENT ROUTINE
13)  Mental Toughness – develop a strong as well as competitive mindset
14)  Rituals – replicate consistently a structured as well as coherent daily routine
15)  Zone State – larn inward on take away a zone soil of focus as well as concentration during trading

FLAWLESS EXECUTION
16)  Trade Implementation – execute the merchandise flawlessly with clarity as well as intuition
17)  Order Management – utilize adaptive larn out tactic with trailing stops as well as profits targets
18)  Performance Niche – focus relentlessly on your strategy as well as discard other methods

4.  Feedback (The Performance Coach)

DELIBERATE PRACTICE
19)  Performance Training – develop primal surgery skills with structured deliberate practice
20)  Mental Rehearsal – isolate, rehearse, as well as integrate critical skills as well as optimal behaviors
21)  Laboring Instinct – develop a mindset of continuous improvement as well as science refinement

PERFORMANCE ENHANCEMENT
22)  Continuous Debriefing – Debrief, monitor, as well as mensurate performance
23)  Performance Diagnosis – Detect factors limiting surgery as well as enhancing success
24)  Feedback Implementation – Correct weaknesses as well as repeat winning actions

Now your breakdown of trading procedure mightiness facial expression dissimilar from Pier’s (mine would locomote heavier on question processes and–ironically–less geared toward sustaining positive mindset), merely the regulation all the same holds:  dividing trading into constituent actions enables y’all to facial expression nether the surgery hood as well as honor what you’re doing good as well as what could stand upwardly improvement.

Indeed, a breakdown such every bit Pier’s 24 surgery functions could anchor an effective cease of twenty-four sixty minutes menstruum or cease of calendar week study menu that could anchor finish setting the adjacent twenty-four sixty minutes menstruum or week.  That would locomote a best practise that embraces best practices!

Further Reading:  The Rage to Master
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