Is it necessary to have a traders trading plan? I was convinced that it was after reading a 60 page article from TW (the author) that it was; I was impressed with the article and questions; then only later to find out that he isn't even a full time trader. I thought it wise to obtain some insight from some successful traders; isn't the "plan" just some rules and goals to help keep you an the right track?
Any millionaire traders out there without a trading plan?
- Thread starter Dominic
- Start date
yes it is, don't even bother if you don't have one.
omniscient
Guest
i am certain there are millionaire traders without trading plans just as there are bankrupt traders with trading plans. having, or even following, a trading plan won't produce millions. i think one of the biggest benefits of a trading plan isn't so much the promise of riches but the minimizing of ruin. your edge / strategy will bring you closer to the capital accumulation, while the trading plan helps constrain capital erosion.
BTW: though i don't share their status, i have millionaire trader friends. a couple are very up front about having to have a trading plan. another basically has his plan in his mind; he admits to not having a written version, but i've seen his trades - this guy follows his plan relentlessly. another has a very basic set of rules and that's enough for him. keep in mind, most of these guys have traded 20+ years each.
also, fwiw, i wouldn't immediately discount what someone suggests merely based on the fact that they may or may not be a full-time trader or even a profitable trader. in trading, and many other areas, i have learned a lot from those who can't or don't successfully practice what they preach.
hth
take care
omni
BTW: though i don't share their status, i have millionaire trader friends. a couple are very up front about having to have a trading plan. another basically has his plan in his mind; he admits to not having a written version, but i've seen his trades - this guy follows his plan relentlessly. another has a very basic set of rules and that's enough for him. keep in mind, most of these guys have traded 20+ years each.
also, fwiw, i wouldn't immediately discount what someone suggests merely based on the fact that they may or may not be a full-time trader or even a profitable trader. in trading, and many other areas, i have learned a lot from those who can't or don't successfully practice what they preach.
hth
take care
omni
ops: Awesome thread. -- I feel like Moses...reviving this old forum topic.All this emphasis on plans is misguided.
Correct action at the time is the key to trading success, not a "plan". Just like an outdated business plan will fail, so will a fixed trading plan in the ever changing markets.
My suggestion is to remain flexible, have self-control, and use what is currently working in the markets by taking correct action.
surf
Correct action at the time is the key to trading success, not a "plan". Just like an outdated business plan will fail, so will a fixed trading plan in the ever changing markets.
My suggestion is to remain flexible, have self-control, and use what is currently working in the markets by taking correct action.
surf