Create and Abide your own trading rules

Abiding to general public rules needs discipline and social responsibility as an individual. As a citizen we have the duty to follow rules created by the authority. Many countries impose fines or other form of punishment if anyone breaks any of the rules. ( provided if you are caught … ) Naturally , the feeling of getting away from breaking a rule might be a good feeling of some form , but in trading this is not going to work. I obviously have broken many trading rules during my course of trading. Though at times I managed to get away free for some of the mistakes made , some other mistakes are really costly. From there on I am self motivated to abide by all my trading rules. In trading there is no room for mistakes , especially silly ones. Some written rules might appear simple and silly that makes one think that it is not necessary to be written down , but I learnt that these are some of the most valuable simple words or sentences written on paper.

Creating our own trading rules and to have discipline to abide by them is extremely difficult for beginners. When I was first taught trading and the importance of following rules , I wrote down and printed some standard set of trading rules and had it pasted in front of my computer table.  Guess what ? Over time I made mistakes and when I refered back to this piece of paper , the rules clearly stated not to do this and that , and yet I did what I did …

Now I rehearse and review my rules before every trading day. Sort of rituals and repetitive , but it is absolutely important. Lately I upgraded this set of rules into powerpoint presentation that I viewed on my computer screen and enjoy it as a slide show. Just thinking if I could get a music composer to convert this set of trading rules for me to sing …even better ? We need lots of creativity as a trader , don’t you think so ? lol