Practising and following some strategies can earn you money through trading. It is quite easy to recognise an experienced or a professional trader by the way they trade. Wait patiently for a better trading opportunity even for weeks together is one of the virtues of a professional trader. Trading can be a form of gambling, so professional traders handle it with intelligence and some tricks. They make sure not to get addicted to the market by avoiding trading all the time. Gathering knowledge by carefully analysing the market instead of indulging in trader is what make them professionals.
WHO IS A WINNING OR A LOSING TRADER
The person who is addicted to trading is probably the one who losses the trade. Frequent trades are executed to overcome these recurring losses by the trader. A trader who is motivated by emotions rather than anticipation is heading towards addiction.
On the contrary, a professional trader knows how to handle his emotions and trade sensibly. Whatever the market conditions are, the one who doesn't get carried away by emotions can only be a successful trader. Anticipation is an essential talent to mature as a skilful and professional trader.
OUTLINES TO BUILD A TRADING PLAN BASED ON ANTICIPATION
Prepare yourself for the trade without any doubts and with a clear mindset that will pay you off. Evaluate yourself and get to know where you lack.
Be mentally prepared, set a perfect entry, form strategies, set your stop loss, set risk levels, set perfect exists.
MAPPING THE CURRENT MARKET
The one way of anticipating your trade would be advanced mapping. What precisely you are doing is getting a broader picture of the weekly trend well in advance. Performing daily and weekly charts analysis will help the trader understand the market situation in a better way. Most of the professional traders follow the same modus operandi thus it is recommended for all those you want to be successful traders.
DISCOVER THE ENTRY POINTS TO MARK FOR
Since an entry is more important than anything, review the charts that you have already recorded, each time you traded. Noticing the pattern will make it easy for you to pick a perfect trade entry. When you observe an entry triggers in an area that you have earlier mapped in the charts, you can rest assure to execute the trade without any doubts.
While trading a trader is risking his hard earned money, so it is necessary to dedicate significant time to analyse the risk involved and manage it efficiently. Assessing the risk involved, identifying it and managing or moulding the trading strategy a trader will be able to make appropriate decisions and execute the trade. Following other traders might not help all the time, self-belief and calculated risk management will mould you as a better and safe trader.
To become an anticipatory trader might not be easy can take several years to become one, but creating and following a routine will help. Practice the above stated “Methods to build a trading plan on anticipation” regularly and upgrade your trading skills in the market.