The journey from a novice trader to a professional trader is quite challenging. Trading like a pro not only requires just a profitable strategy but also the required skill sets. A professional trader uses concrete trading setups drawn on his significant trading experience. A pro trader comprehends the mistakes made in their array of trades. All the trading experiences of a pro trader are archived in a PLAYBOOK. A pro trader embarks on the journey from a CPT (consistently profitable trader) to YTB (Your Best Trader) aided by the playbook.Playbook: An Ingenious SolutionA playbook is a journal of the trading setups that aids a trader in getting most out of their investment. It basically acts as a technique which enables a trader to estimate his trades after the trading session. A trading playbook later becomes a source of confidence, an archive of the greatest trading setups, and a chronicle to improve the trading game, perhaps with larger position sizes.Playbook: A Game ChangerDeveloping a playbook will be a one-on-one trader rehearsal experience. The daily rehearsal, thinking, trade talking, and review are crucial for a trader to internalize what setup suits him the best. A trader can utilize this methodology for introspection to focus more on the highest probability trading setups and eliminate disastrous hidden pitfalls. Designing a playbook will eventually shape you to be a profitable, efficient and a diligent trader.How does a Playbook foster the efficacy of trading and makes you a pro trader?
- Finding the best setups: To be a pro trader, one must utilize his intellect to build the best trading setups which would in turn help him to become a self-directed, consistently profitable trader proficient in surviving in all market scenarios. Following the path laid by other traders will only make you vigilant before placing a trade. A trading playbook would help in crystallizing few trading setups that work the best.
- Increase the position size in best setups: As most failing traders are too much obsessed about their trading weakness, a playbook engages a trader in analyzing the setups that are most profitable. This would build confidence in sizing up the positions in the similar pattern, thereby enhancing your P&L.
- Lowering the trading stress:A pro trader analyses his forte and trades accordingly. He knows what’s the best setup with minimal risk. Creating a Playbook will reduce the stress and make execution easier.
