Written Example Oil Trading Plan Template
trading plan checklist - the following is a template example of a oil plan template example:
JUSTIFICATION
1. Crude Trading IS A BUSINESS, SUCCESSFUL BUSINESSES ALWAYS HAVE PLANS
- Businesses that are successful always start with a plan.
- Successful business planning will guide you to success, think of oil trade plan as a map: it is a constant reminder of how you will consistently pull profits from the crude oil market.
- Difference between a successful trader and a losing oil one is the oil trade plan.
2. TO KEEP ME IN THE RIGHT DIRECTION when Trading Oil
Consistency is important in your trading routine to measure how successful you are.
Keep you on target, read the oil trade plan every day & stick to its trading rules.
When it comes to your plan you should think of it as a map which shows you this is what you follow, it should have clear rules which specify when you open or close trade.
Your oil plan should cover all aspects of crude oil, you should read the oil plan every day until it is on your fingertips so that when you are transacting on the fast moving market of oil you will always know what to do in every situation.
Your oil plan can be as simple or as complicated as you like, but the most important thing is that you've one. By having a one you have an advantage over the oil market, you will have better odds of making a profit than those who do not have one.
This oil plan checklist tutorial topic provides with an example oil plan template which you can use for creating your own oil trade. By now you have already written down the justification part of your oil plan template, If not get a pen and paper and write the justification part. Next we shall look at how to write the system.
Oil Trading plan is one of the secrets that can help you to improve your trading profits. A good oil training guide like this one should show you how to come up with one using a oil plan template which you can use as an example to develop your own oil trade plan.
One of the most common asked question is, Is Oil Trading profitable? one of the methods to make it profitable is to have a good plan.
IF YOU HAVE A GOOD Crude Trading PLAN AND YOU ARE DISCIPLINED ENOUGH TO STICK TO IT When Crude Trading, YOU WILL BE SUCCESSFUL.
GOALS OF THE TRADING SYSTEM
- Ability to IDENTIFY A TREND AS EARLY AS POSSIBLE .
- Ability to AVOID WHIPSAWS .
The oil trade system should find a compromise between the two Goals,
Find a way to identify a oil trend as early as possible but also find ways to help you distinguish fake signals from the real ones.
FUNCTIONS OF EACH INDICATOR
MA - Identify a new oil trend as early as possible.
MACD - Identify a oil trend as early as possible.
Determine strength of a continuing trend.
RSI - Swing failure to confirm the begin of a new crude oil trend.
Extra confirmation tools to help determine the strength of our crude oil trend.
Parabolic SAR - Help to ensure that we are not caught up on wrong side of the trend.
Oil Trend Lines - Signals a reversal when the line is broken
Oil Trading Price Action Signals - confirm the weakening of a trend.
Bollinger Band - for crude trading price action study
To learn & know more about each indicator and how these indicators can be used to generate trading signal setups you can go to Technical Crude Oil Technical Indicators Section
CHART TIME FRAMES
- Main time-frame is the 1H.
- Signals are generated on the 15 minute time-frame.
15 Min Charts
- Oil Trend Lines (Support and Resistance)
- 5 & 7 LWMA
- RSI (14)
- Bollinger Bands (20, 2)
RULES
LONG ENTRY
Entry
15 Min Charts
- Both MAs are moving UP
- MACD moving UP
- RSI >-> 50
- Parabolic SAR is below the crude trading price ( Support )
When signal is generated on the 1 Hour Oil Trading Chart, use the 15 minute oil chart time frame to open and close positions.
LONG EXIT
- RSI gives opposite signal
- Oil Price breaks Support Oil Trend Line
- Parabolic SAR is hit (Trailing Stop)
RULES
SHORT ENTRY
Entry
15 Min Charts
- Both MAs are moving DOWN
- MACD moving DOWN
- RSI <-< 50
- Parabolic SAR is above the crude trading price ( Support )
When signal is generated on the 1 Hour Chart, use the 15 minute oil chart time frame to open and close trade positions.
SHORT EXIT
- RSI gives opposite signal
- Oil Price action breaks Support Oil Trend Line
- Parabolic SAR is hit (Trailing Stop)
ROUTINE
- Signals are generated using 1H oil chart time frame and executed using the 15 minute crude oil chart time frame.
- Trading trading signal to be executed immediately trading rules are met.
- Entry alert trading signals should be executed during daytime.
TIME OF DAY TO WATCH MARKET - MARKET HOURS
Watch market during daytime when most companies and online oil brokers are open for trade transactions. Use this to come up with a suitable program.
Example Trading Plan Template
Tips - You can use the MT4 Oil Trading Software Platform to save this as a oil template that way you do not have to lay it afresh every time you open a new oil chart. If you want to learn how to save a oil plan template on the MT4 platform, read: MetaTrader 4 Oil Platform Lessons.
Oil Trading Money Management
- Day trading - Low risk High return technique
- Trade when I have a high risk to reward ratio 3:1 or more
- Stop loss = Parabolic SAR
- Set TP target 40-60 Oil Trading Pips
- Never transact beyond Three % of account equity
- Never risk more than 2% on a single oil trade transaction
Oil MINDSET/PSYCHOLOGY
- Trade without Emotions (greed, fear, impulse, bias, anticipation, over-excitement)
- I trade what my eyes see not what I feel.
- I will be patient.
My job is not to be the oil system!
It isn't to decide which signal looks promising.
That is the job of my oil system - which has a set of oil rules which tells me this is what I follow. Do not get caught up in crude oil price action and make rules as you go along.
MY JOB DESCRIPTION IS
To sit patiently & wait for my oil strategy to indicate that it is time to enter or it's time to exit. And then with great focus I execute the oil plan as outlined.
Taking trades not indicated by the oil system, second guessing it and not taking trading signals given, hesitating and getting in late, anticipating & getting in early are all common place and boil down to lack of faith in plan and not having a burning focus on accurate execution.
GOAL: To have 100% undivided focus on mastering my ability to execute my Oil Trading rules accurately.
The more you develop the ability to step back from crude trading price movement and watch the oil market dispassionately, waiting for a oil signal, the easier it will be to witness the fluctuations of your emotions without getting sucked into them allowing them to throw you off your game.
WEAKNESS
- I am greedy.
- I over-trade
- Make a list of all your weaknesses that are interfering with your trading. This is first step to help you overcome these weaknesses. Use Oil Trading psychology to help you overcome them.
Note: by writing down your weaknesses you'll begin recognizing them as you make progress, once you do this you will begin to avoid this mistakes and your results will improve.
GOALS
- To focus on exit just as much as I do on entry trading signals.
- Always protect my account using stop loss, oil money management techniques, follow with the oil trend direction and always following the trading rules of my crude trading strategy.
- Never second guess or go against my strategy. To always keep up my discipline.
- Follow all the rules of my oil strategy & never break them.
- Transact fewer times and execute all my signals correctly. Trade what I see, what the system + oil charts are telling me.
- Sit patiently & wait for signals from my strategy.
- Achieve consistent oil results before opening a live crude oil account.
FOLLOW THIS Oil Trading SYSTEM
This is the most important part of creating the oil system.
Always follow the trading rules
Stick with the trading rules
Be disciplined & patient enough
Oil JOURNAL
Log all my trades in a oil journal so as to track my training progress and improve my oil execution trading methods.
This oil strategy uses momentum to determine the oil trend of any crude oil.
Even if you are new to oil market and you do not know how a oil system looks like, this oil system template example illustrates to you how a oil strategy should look like, the Oil Trading guides explained in other sections of this training web site will also explain further different aspects which you need to learn.
Hence, aim is to help you create your own complete oil strategy that is if you are looking for one, by showing you one that is already complete. In fact you can just use it as it is, or make a few adjustments so that it suits your oil style.
Objective is to help you improve your oil results by using a oil plan, and another advantage is that this oil trade plan will offer you a chance to improve your knowledge and it will help you improve your oil results and help you make pips when oil and keep them so that you do not keep giving them back to the crude oil market.
Read this oil plan training tutorial about developing a oil trade plan of your own, along with learn oil courses and oil trade strategies listed at the top of this learn oil guide website.
The Most Beneficial part of using this oil plan template is the "Crude Oil Money Management Part" you will learn how to trade crude trading & minimize risk, which is the most important thing when it comes to trading the crude oil market.
Oil Trading Plan Checklist - How to Develop a Trading Plan in Crude Trading - Oil Trading Plan Examples - Oil Trading Plan Doc
