Paris-primarily based Horizon Platform has added 3 without difficulty Trading modified algorithmic buying and selling method templates to its platform: Quote Reply Market Making, Hedge Volatility Order, and Options Arbitrage.
All 3 will supply cease-users the capacity to apply Horizon’s scripting framework and they can be changed completely, depending on person desires.
The Horizon says users will now not handiest have managed over the source code to create their personal buying and selling techniques; they may also own the highbrow assets rights for the modified template they invent, without have
The 7-Point Trading Plan Template
One of the first things beginning traders are told to do is to create a trading plan that will spell out a trading strategy and a list of rules to follow in implementing that strategy. The only problem with that advice is that beginning traders don’t really have any trading experience, and thus are lost when attempting to craft a trading plan for their trading.
Another problem with trading plans is that beginners are instructed to treat their plans as gospel and are told not to deviate from them. This prevents traders from adapting their strategies and rules to improve their performance, an essential step in every trader’s learning curve.
Instead of a rigid document to be created early on in your trading career and never to be changed, you should instead view your trading plan as a living and breathing set of guidelines, capable of being modified as you gain trading experience. This article will teach you how to create a trading plan that will guide your trading efforts without stunting your progress.
The 7-Point Trading Plan Template
In creating your trading plan, here are the items you should include:
1. Markets – What markets will you focus on? Be as specific as possible – if you’re trading stocks, what types of stocks will you concentrate on?
2. Timeframe – How long will you hold your positions for? Will you be a day trader focusing on trades lasting a few minutes, or a swing trader holding trades for a few days?
3. Time Period – What times of the day will you trade? You may have outside responsibilities that prevent you from trading an entire trading day. Pick which times of the day best suit your style.
4. Trading Style – How would you characterize your trading style? Perhaps you are a momentum trader focusing on trending stocks? Or maybe you specialize in a particular sector? Again, this can and will change as you gain experience and learn from your results.
5. Risk Management Rules – This is an absolutely essential and often overlooked component of your trading plan. How will you manage your risk, both on a per-trade basis and overall? You should have a “stop trading” point which is a fixed dollar amount that will force you to stop trading if you’re down by that much.
6. Mentor – Who do you follow and learn from as a teacher? Attempting to learn to trade all by yourself is not only lonely but foolish as it ignores the hard-earned wisdom of other traders. You can either repeat the mistakes of other professionals and hope to eventually learn the lessons and techniques that they’ve learned, or you can simply learn from successful traders and bypass those initial frustrations.
7. Learning Process – How will you structure your learning process as a trader? What steps will you take to ensure you’re always getting better? How will you structure your trading journal?
Trading Plan Example
To show you this trading plan template in action, I’m going to fill it out according to my own trading style:
1. I trade the U.S. stock markets, focusing on volatile stocks with sufficient volume. These stocks are typically the focus of news items and are thus “in play.”
2. I am a day trader and hold my positions anywhere from a few seconds to a few hours. I’m primarily a scalper and am looking to take advantage of short-term imbalances between supply and demand. I will stay in a trade as long as I can identify a supply/demand imbalance.
3. I trade throughout the trading day, although I focus most of my activity at the open and close of the trading day.
4. While I have multiple styles, I would characterize myself primarily as a momentum trader that relies on tape reading to identify favorable risk/reward situations to enter in the direction of a trend.
5. I’m fanatical about managing my risk, both on a per-trade basis and overall. Every trade I enter has a predefined stop-loss and I have a daily stop-loss to stop trading when I’m having a rough day.
6. I’ve had a variety of mentors throughout my career, and now I talk with a select group of traders at my firm with similar trading styles.
7. I review every single trade I make, always looking for ways in which I can improve. This may be as simple as cutting down my risk when trading certain stocks or altering my execution patterns.
Your trading plan can be as simple as that, just a series of statements answering those 7 questions. You also shouldn’t spend too much time creating your trading plan as it will frequently change throughout your career.
Your trading plan will crystallize exactly what you’re trying to accomplish, but don’t view it as set in stone. Rather, your plan will grow and change as you gain experience and develop your own trading style.
Your trading plan also doesn’t need to be a complicated document spanning multiple pages. You simply need to define what markets you’re going to trade, how you’re going to trade them (how long you’ll hold positions, what times of day you’re going to trade, and your trading style), how you’re going to manage your risk, and how you’re going to continue developing as a trader. By clarifying and explicitly stating those 7 key points, your trading plan will serve and support you in your trading career.
Cyber-Storms on the Horizon
There’s an on-going escalation cyber-war between nations, unseen and unheard by the world’s general public who blithely go about their everyday business not realizing their vulnerability to a prolonged breakdown.
One factor rarely mentioned is the ever increasing risk of a “Fail Safe” incident in which a military grade cyber-virus goes ‘rogue’, out of control, escapes its electronic cage and spreads to key infrastructure sectors forcing shutdowns. Back-ups fail under the strain and a major western city or region plunges into the Dark Ages in which power cannot be restored for days even weeks. I’m referring to a cyber-beast of a virus that almost has a mindset of his own – borderline A.I. – obliterating and vaporizing firewalls and their operating systems everywhere as a nasty cyber-pandemic.
We’re dependent and even coddled by modern technology. For this reason, even prolonged cut-off such as a lack of access to food, water, money – could lead to civil unrest prompting the dispatch of militarized law enforcement with authorization to apply draconian laws. Worse yet, if the situation is so overwhelming then there will be no help at all. The food, water, and sanitation will be compromised. Think of the horrors New Orleans suffered. Now imagine that impacting the entire West or East coast.
Tropical storms or infectious outbreaks can be detected and identified before matters get dire. Like an earthquake, a cyber-collapse strikes without warning. And even if you had one, there’s no safe zone.
Civilization is no longer partners with technology, we’re hostage to it. This relationship is particularly acute in high-density cities particularly the mega-cities defined as those urban areas with greater than 10 million inhabitants. Worldwide hundreds of millions of urban citizens are dependent on power to cook their foodstuffs in small apartments that don’t allow a large inventory of food. In fact, whether they have a storage room or not, most families only have enough food for 2-3 days. For this reason, there are security challenges to deliver supplies to emergency locations. Additionally, banks and ATMs will run out of cash in less than 24 hours, and credit cards will be useless. This scenario is the makings of the manifestation of a genuine urban jungle.
take control, disconnect from their scientific and military masters creating confusion, chaos, and panic. Programs are so complicated and consequently lethal, security cages become nothing more than a papier-mache holding pen until these programs go feral and run amok. Our practice and policy of making things ultra dependent on these programs is a recipe for disaster regardless how many counter-systems and checks are in place because there’s always an escape hatch someplace, a vulnerability that is dismissed as unlikely to occur. Complete containment is an illusion and it’s inevitable that new technology will wreak unspeakable havoc at some time in the future like all every cutting-edge technology before it.
Because of the quantum leap in technological advances, we can now redefine the Stone Age as the 1980s which mean the successful early adopters to a major long-term disruption will be the Boomers while the Millennials frantically readjust to life without the internet.
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Indo-Brazilian Associates LLC is an NYC-based global advisory service and thinks tank with connections at the highest levels specializing in international investment, political and security risk assessments. International business is increasingly complex featuring a highly mobile professional class in all corners of the globe. We provide you the tools to successfully negotiate cross-culturally in your global business endeavors. Tell us about your challenges. We’ll get you on the “Short List”.