Written CFD Example Template
The following is a trade plan example template of a best cfd plan:
JUSTIFICATION
1. CFDs Trading IS A BUSINESS, SUCCESSFUL BUSINESSES ALWAYS HAVE PLANS
- Businesses that are successful always start with a plan.
- Successful business planning will guide you to success, think of the cfd plan as a map: it is a constant reminder of how you will consistently pull profits from the cfds trading market.
- Difference between a successful cfd trader and a losing one is the cfd plan.
2. TO KEEP ME IN THE RIGHT DIRECTION when Trading CFD
Consistency is important in your routine to measure how successful you are.
Keep you on target, read your cfd plan every day and stick to it.
When it comes to your cfd trade plan you should think of it as a map that shows you this is what you follow, it should have clear cfd rules that specify when you open or close a cfd trade transaction.
Your cfd trading plan should cover all aspects of cfd, you should read your cfd plan every day until it is on your fingertips so that when you're trading on the fast moving market of cfd you will always know what to do in every situation.
Your cfd plan can be as simple or as complicated as you like, but the most important thing is that you've one. By having a cfd plan you have an advantage over the cfd market, you will have better odds of making a profit than those cfd traders who don't have a cfd trade plan.
This cfd plan tutorial topic provides cfd traders with an example cfd plan template that you can use for creating your own cfd trade plan. By now you have already written down the justification part of your cfd plan template, If not get a pen and paper and write the justification part. Next we shall look at how to write the cfds trading system.
CFD plan is one of the secrets which can help you to improve your trading profits. A good cfd training guide like this one should show you how to create a cfd plan using a cfd plan template which you can use as an example to develop your own.
One of the most common question is: Is CFD profitable? one of the methods to make it profitable is to have a good cfd trade plan.
IF YOU HAVE A GOOD CFD Trading PLAN AND YOU ARE DISCIPLINED ENOUGH TO STICK TO IT When CFDs Trading, YOU WILL BE SUCCESSFUL.
GOALS OF THE CFD TRADING SYSTEM
- Ability to IDENTIFY A CFD Trading TREND AS EARLY AS POSSIBLE .
- Ability to AVOID WHIPSAWS .
The cfd system should find a compromise between the two Goals,
Find a way to identify a cfd trend as early as possible but also find ways to help you distinguish the fake trading signals from the real ones.
FUNCTIONS OF EACH CFD TRADING TECHNICAL INDICATOR
MA - Identify a new cfd trend as early as possible.
MACD - Identify a cfd trend as early as possible.
Determine strength of a continuing cfds trend.
RSI - Swing failure to confirm the start of a new cfds trend.
Extra confirmation cfd indicators & tools to help determine the strength of our cfds trend.
Parabolic SAR - Help to ensure that we are not caught up on the wrong side of the cfds trend.
CFD Trend-Lines - Signals a reversal when the cfd trend line is broken
CFD Price Action Signals - confirm the weakening of a cfds trend.
Bollinger Bands - for cfds price action study
To learn and know more about each cfd indicator & how these indicators can be used to generate cfd signal setups you can go to the CFD Technical Indicators Section
CHART TIME FRAMES
- Main cfd chart time-frame is the 1H.
- CFD Signals are generated on the 15 minute chart time frame.
15 Min CFD Charts
- CFD Trend Lines (Support and Resistance)
- 5 & 7 LWMA
- RSI (14)
- Bollinger Bands (20, 2)
CFD System RULES
LONG ENTRY
Entry
15 Min Charts
- Both MAs are moving UP
- MACD moving UP
- RSI >-> 50
- Parabolic SAR is below the cfds price (Support)
When a cfd signal is generated on 1 H Chart, use the 15 min chart timeframe to open & close positions.
LONG EXIT
- RSI gives opposite trading signal
- CFD Price breaks Support CFD Trend Line
- Parabolic SAR is hit (Trailing Stop)
RULES
SHORT ENTRY
Entry
15 Min Charts
- Both MAs are moving DOWN
- MACD moving DOWN
- RSI <-< 50
- Parabolic SAR is above the cfds price (Support)
When signal is generated on 1 H Chart, use the 15 minute chart time-frame to open and close positions.
SHORT EXIT
- RSI gives opposite trading signal
- CFD Price action breaks Support CFD Trend Line
- Parabolic SAR is hit (Trailing Stop)
ROUTINE
- cfd signals are generated using 1H cfd chart timeframe and executed using the 15 minute cfd chart time frame.
- cfd trading signal to be executed immediately rules are met.
- Entry alert signals should be executed during daytime.
TIME OF DAY TO WATCH MARKET - MARKET HOURS
Watch market during daytime when most companies and online cfd brokers are open for trade transactions. Use this to come up with a suitable cfd schedule.
Example Trading Plan Template
CFD Tips - You can use the MT4 CFD Software Platform to save this cfd plan example as a cfd template on the MT4 platform - that way you do not have to lay it afresh every time you open a new cfd chart. If you want to learn how to save a cfd template on the MT4 platform, read: MT4 CFD Platform Tutorials.
MONEY MANAGEMENT RULES
- Day trading - Low risk High return technique
- Trade when I have a high risk:reward ratio 3:1 or more
- Stop loss = Parabolic SAR
- Set TP target 40-60 CFD Pips
- Never transact beyond 3 % of cfd account equity
- Never risk more than 2% on a single trade
MINDSET/PSYCHOLOGY
- Trade without Emotions (greed, fear, impulse, bias, anticipation, overexcitement)
- I trade what my eyes see not what I feel.
- I will be patient.
My job is not to be the cfd system!
It isn't to decide which signal looks promising.
That is the job of my cfd system - which has a set of rules that tells me this is what I follow. Do not get caught up in cfds price action and make rules as you go along.
MY JOB DESCRIPTION IS
To sit patiently & wait for my cfd strategy to indicate that it is time to enter or it's time to exit. And then with great focus I execute the cfd trade plan as outlined.
Taking trades not indicated by the cfd system, second guessing the cfd system and not taking signals given, hesitating and getting in late, anticipating and getting in early are all common place & boil down to lack of faith in the plan & not having a burning focus on accurate execution.
GOAL: To have 100% undivided focus on mastering my ability to execute my cfd trading rules accurately.
More you develop the ability to step back from cfds price movement & watch the cfd market dispassionately, waiting for a trading signal, the easier it will be to witness fluctuations of your emotions without getting sucked into them & allowing them to throw you off your game.
WEAKNESS
- I am greedy.
- I over-trade
- Make a list of all your weaknesses which are interfering with your trading. This is the first step to help you overcome these weaknesses. Use CFD psychology to help you overcome them.
NB: by writing down your weaknesses you'll start recognizing them as you make progress in cfds trading, once you do this you'll start to avoid this mistakes and your trading results will improve.
GOALS
- To focus on exit just as much as I do on entry signals.
- Always protect my cfd account using stop loss, cfd money management techniques, follow with the cfd trend direction and always following the rules of my cfd strategy.
- Never second guess or go against my cfd strategy. To always keep up my discipline.
- Follow all the rules of my cfd strategy and never break them.
- Trade fewer times & execute all my cfd signals correctly. Trade what I see, what the cfd system + cfd charts are telling me.
- Sit patiently and wait for cfd signals from my cfd strategy.
- Achieve consistent profitable results before opening a live cfds trading account.
FOLLOW THIS SYSTEM
This is the most important part of creating the cfd system.
Always follow the cfd rules
Stick with the cfd rules
Be disciplined & patient enough
CFD Trading JOURNAL
Log all my cfd trade transactions in a cfd journal so as to track my training progress and improve my cfd execution methods.
The cfd strategy uses momentum to determine the cfd trend of any cfd.
Even if you are new to cfd market and you do not know how a cfd system looks like, this cfd system example illustrates to you how a cfd system cfd strategy should look like, the CFD tutorials explained in other sections of this learn cfd training website will also explain further different aspects that you need to learn.
Hence, objective is to help you come up with your own complete cfd strategy that is if you are looking for one, by showing you one that is already complete. In fact you can just use this cfd plan example as it is, or make a few adjustments so that it suits your cfd style.
The aim is to help you improve your cfd results by using a cfd plan that is written, and another advantage is that this cfd trade plan will offer you a chance to improve your knowledge and it will help you trade better, make pips and keep them so that you do not keep giving them back to the cfds trading market.
Read this cfd plan training tutorial about developing a cfd trade plan of your own, along with learn cfd courses and cfd strategies listed at the tops of this learn cfd tutorial.
The Most Beneficial part of using this cfd plan template is the "CFDs Money Management Part" you will learn how to trade cfds trading and minimize risk, which is the most important thing when it comes to the cfd market trading.
