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Tagged: Fundamental Analysis, Technical Analysis, Trade Plan
A trade plan is the strategy developed by a trader,based on which stock to buy/sell,when to buy/sell,what quantity etc based on the relevant analysis.A good trade plan is needed to maximize the profit and minimize the risk involved in the trading.
trade plan is a entry,exit,and stop loss orders.it is necessary before doing trade.entry exit stop loss is nothing but risk and rewards.it is essential because we dont plan it our buisness will ruin.
Successful business need planning similar to that we have to plan the trade in what amount you going to buy/sell the shares and quantity.
Planning mitigate the risk that you are taking so you can identify whether my opinion is based on business or gambling. If you fail to plan you plan to fail
trading with plan reduces the risk for the investors
It is a systematic approach for evaluating stocks ,amount of risks and rewards.
As money making is the Goal in Trading , it is essential to have a Plan to achieve the Goal
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