YOUR LOGO Your Traders Checklist

Don’t trade with it

Identify High Quality Turning Points Enter With Small Risk

1 4
Ensure There Is Profit Potential Use A Trade Management Plan
2 5
Wait for Confirmation
3

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 YOUR LOGO Your Traders Checklist
Don’t trade with it

Identify High Quality Turning Points

1
This is one of the most important things you need to do when trading the markets. The best trading
opportunities come from major turning points in the markets. If you can identify these, then your trading
becomes much easier.

With major turning points you can often get in at the start of a move so you have a greater potential for
profits. Even if you don’t ride out till the end, you can often gauge the overall direction of the markets by
identifying these levels.

Price moves because of an imbalance in supply and demand, so this is what we look for in the markets. It
can clearly be seen on a chart.

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 YOUR LOGO Your Traders Checklist
Don’t trade with it

Ensure That There is Profit Potential

2
A mistake that people often make when trading supply and demand is to find what looks like a quality
supply or demand level and then place orders at the line and walk away. Indeed that is what they are told
to do but here’s the problem with that:

Profit potential is a key component to trading setups and without seeing how price arrives back at the
level, the potential for profit isn’t clear.

Wait until price arrives back the level to ensure that there is profit potential rather than simply placing
orders before price returns to the levels.

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Copyright © Maximum Lots. All Rights Reserved.
 YOUR LOGO Your Traders Checklist
Don’t trade with it

Wait For Confirmation

3
Finding supply and demand levels is easy. Finding high quality trade setups using supply and demands is
the tricky part. All levels are not created equal. Some levels look great and have the desired reaction
when price returns. Other levels look great but price goes straight through.

Why is that?

There can be any number of reasons why certain levels hold and others don’t, but here’s another thing
you can do to stay of some of the losers. Wait for confirmation. Let price show you that the level you are
interested in is likely to hold. An engulf is a good thing to look for to determine this.

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Copyright © Maximum Lots. All Rights Reserved.
 YOUR LOGO Your Traders Checklist
Don’t trade with it

Enter With Small Risk

4
Exercise sound money management principles. Never bet the farm on a single trade. Staying in the game
is all about protecting your capital. If you lose your capital then it’s game over.

This is why you should never risk so much that a single loss can devastate your account, or take you out
the picture all together.

No matter how good a setup might look. Don’t be tempted to risk more than usual. What thing that’s
certain is, the markets will do what they want to do, so make sure you don’t get caught with a huge loss
by doing something silly like entering with too big a lot size.

This was downloaded at https://www.maximumlots.com

Copyright © Maximum Lots. All Rights Reserved.
 YOUR LOGO Your Traders Checklist
Don’t trade with it

Use A Trade Management Plan

5
Planning your trades is essential and no one should be trading without an overall trade plan. This bit right
here though is the plan specific to when you actually in a trade. The “trade management plan”.

This details what you will do and when whilst you are in a trade. Are you trailing your stop?, will you
move your stop to BE?, what if price hits an opposing level?

All the answers to these questions should be in your trade management plan so you know what you will
do ahead when you objective. Once you’re in a trade subjectivity can get in the way if you’re not careful
so always plan ahead and stick to you plan.

This was downloaded at https://www.maximumlots.com

Copyright © Maximum Lots. All Rights Reserved.