Developing a strategic trading routine like a pro trader

What is the daily routine of a self employed day trader? Do you trade every  single day? Do you take holidays or are you in front of a laptop everyday?  - Quora

Professional traders are always good at managing the risk factors in their trading businesses. They never take aggressive steps because they know it won’t help them to make money. If you look at the experienced traders in the retail trading industry, you will realize the importance of having a well-balanced trading routine. But very few traders know the correct way to develop a trading routine. Most of the time, they copy another trader’s trading routine and expect to make big money. Soon they lose money and realize that this is the worst mistake in their trading career.

In this article, we are going to give you some amazing guideline which will help you to create a perfect trading routine within a short time. If you follow the tips mentioned in this article, you won’t have any problem with your trading routine.

Be a decision-maker

To create a smart trading routine you need to be a good decision-maker. You have to process the critical data systematically. Once you learn to make smart decisions, you will slowly learn the key rules you need to follow during the trade execution process. Stop thinking that trading can offer you a quick opportunity to make a big profit. If you think like that, you are going to lose money most of the time. Always believe in your actions even though you might have to lose a few trades in a row.

Write down your trading plan

Before you create a trading routine, you should write down your trading plan. By doing so, you will learn the overall process of trading in a much better way. Check here and see the post from the successful traders. As you evaluate their trading actions, you will learn the simple way by which you can create a perfect trading routine. So, why do we need a written plan? Well, without having a written plan, you will start ignoring the minor details. Thus your trading routine will not be complete. It might take a while to get used to the written plan but it by far the most efficient method of trading.

Revise your basic strategy

You have to revise your basic strategy to secure the best returns from the market. If you think you know everything about this industry, you are completely wrong. Learning should become a continuous process.Only then can a trader expect to make a big profit from this market. Unless you learn things by heart it will never be possible to make a regular profit. At times you might think that your strategy is not performing well. During this time, you should be revising your trading strategy to make it much better. Once you are done with the revision, you should back-test the performance of your trading system.

Some of you might have a complex trading system. We strongly recommend that use a simple strategy as it will make the overall trading process easier. If possible, learn to use the Bollinger bands indicator in a systematic way and take trades using this simple tool. You will definitely feel more confident in your actions and revising your strategy will become easier.

Learn to evaluate the risk

Professional traders are very good at managing risk factors. They always limit their trade execution process since they know overtrading can be a very big problem for their trading business. If you want to succeed as a retail trader, you must learn to evaluate the risk profile in a standard way. Try to think about the worst-case scenario as it will make you better in the trade execution process. Forget about the aggressive method and follow the higher timeframe data. Though the lower timeframe might provide you more trading opportunities, the risk factors are high. So, try to focus on the bigger timeframe data to get an accurate picture of the market.