A Trader’s Diary

Filed under: Learn Forex Trading |

The following is a general outline of my trading day—

 

8:30 am*: Wake up. Check any open trades. Scan news for any big events. If there are and the markets are especially volatile, I make it a no-trading day. But I only do this on the really massive news events (such as the Japan earthquake, or 9-11).

 

11:00 am: Check 4-hour charts on the eleven forex pairs that I monitor. If there are any price action setups near the areas of support/resistance that I have previously marked in, then I think about taking the trade. However, I only take the trade if I am 100% happy with the setup.

 

3:00 pm: Check 4-hour charts on the eleven forex pairs that I monitor. As before. Check any open trades and think about closing them if there is any unusual price action. Also think about profit taking if any trades are in profit by an amount equal to my risk or more.

 

7:00 pm: Check 4-hour charts on the eleven forex pairs that I monitor. As before.

 

11 pm: The most important session of the day – the close of the daily charts. This is when I go through all eleven pairs and check for any setups on both the daily and 4-hour charts. I also update any support/resistance levels on the daily charts at this time, and update my records for any trades that have been closed.

 

*These times are for the UK only.

 

If you wanted to be really ambitious, you could also wake up at 6:30 am and be ready for the close of the 4-hour candles at 7:00 am. However, I find that I have more than enough trading opportunities by waking up at 8:30 am. This is the basic structure of my trading day. If I have other things to do, I don’t get stressed about missing one of the 4-hour closes, as I know there will be many other trading opportunities. This gives me the freedom that I want, which is really my whole reason to start trading. I hope this helps!

 

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