A plan defines the conditions under which you will act before market pressure affects your judgment. It helps you compare results across trades, avoid impulsive entries, and separate process quality from the outcome of one position.

• Write down why you are trading and what a realistic outcome means.
• Set the capital available without affecting essential expenses.
• Choose markets and hours that fit your schedule.
• Select a style that matches your patience and decision speed.

• Describe the setup and confirmation needed for entry.
• Set entry, stop-loss, and exit conditions.
• Define maximum risk per trade and total open exposure.
• Record events that require you to stay out of the market.

Keep a journal with the setup, screenshots, reasoning, result, costs, and whether you followed the plan. Review a meaningful sample of trades before changing a rule. A profitable trade can still reflect a poor decision, while a controlled loss can reflect a sound process.