As every high potential field & job, trading is no different, it takes time and a lot of effort to succeed and achieve elite performance.
I want to introduce a 1 year ROADMAP that could help new traders in their quest to master the market.
FIRST MONTH - READ HTMMIS
Read HTMMIS William O'Neil book. It is the bible of investing imo, you need to begin here to build your foundation - It covers technical & fundamental analysis along many very important subjects to be a well rounded trader.
During the read, take A LOT of notes
MONTH #2 - PAPER TRADING
Start applying the concepts by opening a paper trading account.
Learn how to place a trade (type of orders)
How the market moves
Just the overall experience of trading
I don’t recommend using a paper account too long, because it lacks the real money pressure and psychological aspect of real trading that you need. But to learn the basics and for a limited time, it’s a good way to learn.
Tradingview & Webull offers free paper trading account on their platform.
MONTH #3 - Read Think & Trade Like a Champion
Mark Minervini offers a simple yet VERY powerful swing trading system that he explains in details in his books.
Mark is an elite multiple champion trader
He has a solid track record & proven system
You’ll deep dive into very specific & powerful technical analysis techniques
During the read, take A LOT of notes and
MONTH #4 - Develop your own System/Plan
Take your notes from HTMMIS & Minervini and build your trading plan that will contain every rules that you need to find the best setups along handling your positions while you’re in it.
Your system should include rules in the following categories:
TA & FA characteristics
Entries
Exits (profit, loss & violations)
Money management
Market analysis
MONTH #5 - Start trading real money… very small
It’s time to start applying those concepts and your new trading plan with a small amount that you're ready to lose.
Important:
Take very small positions of less than 5% of equity each
Don't go pass 20% of total equity exposure
Focus on EXECUTION - don't expect to make $$
MONTH 6 - Listen to successful traders interviews
@RichardMoglen YTB channel is THE reference. Take advices from top traders on Routine, Psychology, discipline, etc.
Here is the 5 best ones to watch on his channel imo:
MONTH 7 to 9- Journal each trade & analyze & adjust
Journaling is very important to find your mistakes early on and improve along your trading journey.
Things to assess on each trade in your journal:
Is the system respected?
Reason to enter, sell, etc.
Analyze your L's & adjust plan
Note the mistakes you make
Adjust plan if needed
Still focus on EXECUTION, don't expect to make $.
MONTH 10- Re-read HTMMIS & Minervini
With few months experience, new things will click during the read. Adjust Plan/System accordingly.
MONTH 11- Begin to increase your position sizes if conditions are right
Trading with positions of 10% max
Up to 50% of equity
Journal trades & note mistakes
Keep track of statistics
Scale back size if not profitable
MONTH 12- Read Mental Game of Trading (Jared Tendler)
Mental game of trading from @jaredtendler is THE trading psychology reference book
With experience now in hands, you can now work on the psychology aspect of trading
Putting it all together (YEAR 2+)
IF PROFITABLE:
You can increase to 100% of equity
Still EXECUTION focus
Journal trade, analyze & adjust trading or mental execution
Track statistics & find area to improve
At least 1 FULL YEAR of trading before focusing on $$
If you liked this 1 YEAR #NewTraderChallenge Roadmap & this article to help new trader
Cheers!
Alex
...month 13th: subscribe and read your newsletter :), thanks for posting all this knowledge.