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Forex Trading Strategy Guide

The document outlines a structured trading plan emphasizing the importance of having a strategy to avoid emotional decision-making. It details the exact steps for trade management, including criteria for entry, position building, and stop management to minimize risk. The author stresses capital preservation and the need to adhere to specific trade criteria to ensure successful trading outcomes.

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Terence Shehab
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182 views11 pages

Forex Trading Strategy Guide

The document outlines a structured trading plan emphasizing the importance of having a strategy to avoid emotional decision-making. It details the exact steps for trade management, including criteria for entry, position building, and stop management to minimize risk. The author stresses capital preservation and the need to adhere to specific trade criteria to ensure successful trading outcomes.

Uploaded by

Terence Shehab
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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Trade Management

PIPS2PROFIT
Cameron Benson
Have a Trading Plan
Without a trade plan, you will be acting based off of emotions:
● Fear
● Greed
● Anticipation
● Fear of Missing Out (FOMO)

With a plan you have given yourself the exact steps you will take, and where, to perform the best you can in real
time.
What Are The EXACT Steps I need To Take?

1. Have a plan.
2. All Trade Criteria Met.
3. Initiate Entry Criteria
4. Following the engulfment of chart pattern 1st entry…begin Trade Management Criteria.
What Is The Trade Management Criteria?
1. Identify your “ Adding Zone/Add Cutoff Zone”
2. According to Trade Plan and current trade setup, Add to position as It is confirming. (I use sell/buy
stops at the breaks of 1 min candle Opening prices.)(Will only add in 1-2 more times UNTIL I get a
time confirmation)
3. Will add on the 1st time engulfment.
4. Depending on current position size, trade setup, and “Add Stop Zone” I will buy/sell the retest of
the first time engulfment (Using buy/sell stops).
5. After the 2nd time engulfment, will start moving stops off of the high/low (reducing risk)
6. When price capitulates/goes parabolic, I will move all stops to my AVERAGE price break even.
a. Optional for me: I will usually put a breakeven all positions priceline 25 pips from
average entry.
Entry Criteria Subcategory: Position Building
At times, when appropriate, and only when spreads are tight, I will build a position.

1. In a down move, after 1st entry, and only after I am in profit, I will add 2nd position.
2. I will then sell a bull candle before candle close at keys areas using price action, and sell patials a
few pips in profit. I repeat this process until I have built a cushion for my position so that I do not
need to move stops down as aggressively, while simultaneously adding to a position.
3. I will not ever exceed proper position size limits or % risk limits for that trade.
4. I will still respect the “Add Zone/Add Stop”
5. If the trade starts to go against me I WILL NOT ADD TO A LOSER!!!!!!!
How Do You Enter The Market?
1. Valid Trade Setup Must Present Itself.
2. All Trade Criteria Must Present Itself.
3. I Never Enter the Market With More Than 0.5% Size On 1st Entry. (Avoid Unnecessary Loss)
4. Identify an adding zone based on the opening times, and a dead stop point where I will not add
anymore
How Do You Get To Break Even?
1. Price action (Market Structure)
2. The Time (15M and 1H Open times.
3. As they engulf opening times I will start bring stops down
Why Move Stops Like This?
1. Have found that If I am in early, I will more than likely already be risk free/break even. (Capital
Preservation)
2. If they go back up/down, I am more than likely either wrong about the trade, or the timing is off, and I
want to protect my capital (Capital Preservation)

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