Trading plan

Trader's Glossary · Process and risk

Definition. A written set of rules by which a trader operates in the market: what they do, when and why, and how they manage risk and their own state.

How it works

A good plan describes, among other things, the instruments and working hours, the situations in which the trader acts, decision criteria, risk management rules, process rules (e.g. breaks after losses) and how the journal and reviews are kept.

Example

The plan contains a rule: “When my pre-session readiness score is low, I reduce activity and use the full checklist.”

What to watch out for

A plan only works if it's followed on difficult days too. Changes to the plan are made after analysis, not during the session under the influence of emotion.

More in Hetman Capital Club

You'll find the full explanation with graphics, examples and exercises in the 🧘 Trader's body and mind space, and its use in the live market in the 🔴 Live Room. Both are available to Club members (in Polish).

Educational content, not investment advice.