All language subtitles for [English (auto-generated)] 8 (BRUTALLY HONEST) Things You Must Do Your First Year Of Trading... [DownSub.com]

today i want to share with you an

eight-step checklist that can help

nearly anyone accomplish their trading

goals

i can guarantee you if you don't

accomplish every single thing on this

eight-step

checklist that you have a 95

chance of blowing an account or just

wasting your money trying to trade

but on the other end of that spectrum on

the flip side of that coin

if you do accomplish these eight things

in your trading then i can guarantee

that your

chances of accomplishing your trading

goals and becoming a money-making trader

will go up dramatically so if that

sounds good then go ahead and smash that

like button for me if you're brand new

to the channel i'm stephen your honest

trading coach

click that subscribe button because we

come out with content like this

each and every week make sure you click

that notification bell while you do that

i'm gonna let the intro and disclaimer

roll and i'll see you

directly afterwards

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i like to break this down in something i

call the millionaire trader

checklist and what this is is eight

steps that you must take

before you will ever start making money

in any financial market

including the forex market so let's dive

into these eight things that you must

check off before you start

trading live starting with understanding

the basics of the market that you are

trading in

so if you're trading the forex market

that would be understanding

what the forex market is what a currency

pair is what a pip

is how the market moves how to go long

and how to go short how to place a stop

and a target

understanding the way to take a trade in

your brokerage account would all fall

under

the category of basics luckily i have a

full video on the basics of forex i'll

put it in the top right hand corner of

the screen it's like an hour long but

it does go through everything you're

gonna need in order to master the basics

of forex

next you will need to master technical

analysis

and i know my handwriting is awesome

technical analysis

would be understanding a candlestick

chart would be

understanding indicators moving averages

price action patterns like double tops

and bottoms candlestick patterns like

engulfing hammer shooting star

you need to understand at least to a

certain degree

all aspects of technical analysis that

would all fall under category number

two and the reason you must do this is

because we're going to use a combination

of these technical factors

to create the next step which is to

create or

learn a strategy

now in this video earlier i taught you

an entire strategy that's rules-based

and that has provided an edge over the

market for me hey guys a quick

pause in the action right here this is

actually a video clip from a video i did

last week so that strategy i'm talking

about was in that video

and what i'm going to do is put a link

to that video in the top right hand side

of your screen let's get back to this

video now though

you don't have to go create your own i

have plenty of strategies on our channel

and there's plenty of other strategies

out there

you can learn one and the good news

about this is

that these three steps should literally

if you start from scratch from brand new

these three steps should take you less

than two weeks if you have enough time

to put into it

two weeks to a month max you should be

able to master the basics master

technical analysis

and have a strategy that's rules based

and that provides an edge over the

market

but the only way to know if

said strategy does provide an edge over

the market is to

back test which is step number

four or number four on this checklist is

to back test

that strategy so your strategy

is going to be a rules-based approach to

every single time you trade

based on a number of technical factors

that's why we need to learn technical

analysis first

and then learn or create a strategy and

then we test that strategy

to ensure that it's profitable even if

you learned it from a pro trader like

myself

you still need to go test it to be sure

it's profitable and be sure you're

seeing the market

in the same way i am and there's no

other way to see

if this said strategy was profitable in

the past 100 trades

other than testing it in the past 100

trades right

and if it hasn't been profitable in the

past 100 trades the likely scenario is

that it won't be profitable

during the next 100 trades and we also

back test not just to ensure

that a strategy is profitable but also

to practice that strategy and train our

recticular activating system

to see that specific pattern on a chart

to see

all of our technical factors coming

together on a chart

more quickly and more easily because

acting fast even in swing trading

is really important in trading so you

want to make sure you go through your

bag testing to practice

and ensure your strategy is profitable

and the third reason we back test

is to help with number four and number

four

is optimize

you now have a strategy

that is rules based that you are back

testing

you need to be optimizing that strategy

you can optimize for

a infinite amount of things but the

three things i like to look for most

is i optimize for the best currency

pairs that this strategy works on

because

some currency pairs act different than

others therefore

some currency pairs are going to perform

differently with

a certain strategy than others will i

also like to optimize for stop and

target placement

to ensure that i'm getting the most out

of my reward to risk ratio

on every strategy that i'm trading and

on every pair

uh optimized for risk to reward ratio

because some pairs

move more than others those are the

three things i look at some other things

you may want to look for while

optimizing is

what time of day does your strategy work

best in

what period of the year how many what

months does it work best and that you

see what i'm saying

there's infinite possibilities in terms

of optimizing but the three that i just

told you

are the ones that i personally look for

now doing this is impossible

if you don't take the back testing step

first hopefully you're seeing a pattern

here

every one of these needs to be checked

off in order

and now that we're done optimizing let's

say you have your rules based strategy

you've back tested it you've optimized

it you've picked six currency pairs

you plug all those numbers into a

spreadsheet and

then based on those results based on the

total number of losses in a row you have

based on the max drawdown that you see

based on historic data

in back testing you then have what you

need to help you create

a risk management plan

so number six on the checklist

is creating a risk management plan and

since you've done all the other steps

you now have the information

you need to do so so if this strategy

let's say performed at a 60

win rate and gave you a time when it had

five

losses in a row then if that's what

happened in the past 100

instances the strategy performed or

this strategy happened in historic data

then it's likely that you're going to

have five losses in a row again

during the next 100 trades so the way

you would go about creating a risk

management plan

is asking yourself with those five

losses how much do i need to risk

each trade to stay comfortable during

drawdowns like that

to stay out of my emotions to keep from

making big mistakes and most of all to

keep from blowing my account

during those types of losses because

that's the two things that a risk

management plan does

first off it keeps you from blowing your

account and

not that it you can't blow an account

with a good risk management plan you can

but it makes it much much much more

difficult to blow an account if you're

risking a small amount

of your account per trade it also keeps

us out of our emotions if you for

instance

right now when you place a trade and you

win the trade you feel like you hit the

lottery

you're jumping up and down you're you're

telling your spouse or all your friends

that

you're gonna be the next bill gates and

you're gonna be the next warren buffett

i said the wrong name there

but if that's you and then when you lose

your

droopy bad mood borderline depressed

then that it means that the amount of

money you are losing and winning during

trades

is too much not that the amount of money

you're winning is too much i get that

that sounded stupid but

that means you're risking too much

because the amount of money you're

losing

and really it means you're risking too

much because of how emotional

you are about these numbers in your

account and that means you need to

reduce the risk

in your risk management plan and all

this is done preemptively

by doing all the back testing if you're

risking too much i guarantee you haven't

back tested and optimized a trading

strategy and created a risk management

plan around it so

that's your steps in this checklist

right that's the next steps for you

next after you create a risk management

plan is something that

is so widely argued by professional

traders it's not even funny some say

that it's absolutely useless some say

it's necessary

i'm on the side that says it's

absolutely necessary but let me explain

why

let me actually say what it is first

demo trading is the next

step now i know there probably is half

of you going

demo trading doesn't give me any

emotional stimulus

so why would it be like practicing

trading well you don't want to risk

money if you don't know

if this rules based strategy can

actually be

used in real market data so the reason

we're demo trading is to make sure you

can

actually accomplish the strategy you can

place the trades you need to place

even with your prior obligations like

having a job like having kids to look

after like sleeping

you want to make sure that all of your

trades don't happen while you're asleep

you want to make sure they don't happen

while you have those prior obligations

you want to make sure that you can

actually perform the strategy

you also are going to demo trade because

if you're using market orders what you

didn't account for in your back testing

is something called spread and you need

to make sure that that spread

doesn't make your strategy just

completely irrelevant and lose the

profits that you could have made

i'm not saying demo trade forever i

think it's so stupid for people to

discount demo trading like it doesn't

do anything demo trading shows you all

of that it shows you and you want to

risk real money

wondering if you can actually trade the

strategy you've done all this work to

test

you want to risk fake money you want to

demo trade plus

if you demo trade for a month and you

see

that you have made profit over that

month then your confidence in this

strategy

is going to be sky high you've now

created a rules-based strategy

that you can accomplish that you can use

every single day in the markets because

it's

a set of rules that you're going to

follow you've optimized it for the best

pairs you're using correct risk

management and you see in demo trading

that all that combines to actually give

you profit in a month

your confidence is going to be through

the roof and that confidence

is necessary for step number eight and

our final

check in this check list which is

discipline

you at the end of the day need to stay

disciplined to all these rules i know

that it's so tempting to go chase the

next gamestop or dogecoin or amc

i know it's so tempting to jump on the

bitcoin

bandwagon and i'm not saying don't do

that at all if you have

a certain amount of money that you're

willing to risk or if you trade in

crypto by all means go do that

but don't gamble even if you're doing

that at least have

some kind of plan have a set place where

you want to get out of the market

don't just put money in there expecting

it to go to the moon maybe it will maybe

it won't but at that point

all you're doing is gambling you can go

to vegas and gamble and by all means if

you want to gamble with your money

that's totally up to you i'm just trying

to explain the steps you need to take

to become a consistently profitable

swing trader

over a long period of time make it a

career

not a try not try to make it a

get-rich-quick scheme and these are the

steps that you need to take in order to

do that so right

now if you are anywhere on this

checklist

your next steps should be very very

obvious if you are brand new then

obviously you need to start

with the basics then learn technical

analysis and you need to go down the

list

let's say you're someone who already

knows technical analysis but you don't

have a strategy yet

good news i just showed you a swing

trading strategy earlier in this video

so

with that strategy or with the technical

analysis that you learned you can now

create a strategy based around a

combination of technical factors that

would be your next step if you already

have that strategy

you have it back tested and optimized

you can see where i'm going with this

right

you can tell where you're at on this

list and on this checklist if you need

to write it down write it down yourself

on a piece of paper

and check off the things that you've

already accomplished if you already know

the basics great if you already know

technical analysis

awesome you have that strategy that i

taught earlier in the video

but if you don't have a strategy don't

check it off if you do have a strategy

cool if you want to use that one from

earlier or create your own or you have

one from someone else whatever

if you've already backtested obviously

you check that off and you just go down

the list and figure out where you are

and what your next steps should be

in terms of risk management if you're

like i was saying earlier and you're

someone who's

freaking out emotionally whether they

win or lose a trade your emotions are

peaks and valleys

then you need to adjust your risk

management plan if you've already

done all these and god forbid you've

done none of these

and you're trading live right now god

forbid you haven't done

every one of these and you're trying to

trade with real money

i can't i can't tell you what to do with

your money i will just

say please take a step back

and accomplish all of these things

trading's not easy

accomplishing all these things is not

going to be easy but if you set your

mind to it

you can do it in less than three to six

months and at that point your chances of

becoming a consistently profitable

swing trader go from down here

to up here not even just swing trading

any type of trading that you do

and an easier way a more simple way i

guess you could say

that i like to do this is with something

i call the triangle of trading success

a lot of you may have already seen this

if you've seen our channel for a while

this triangle looks like so like a

regular triangle right

inside of it is all the profitable

traders that are actually making money

on the outside are the things they had

to accomplish in order to make that

money the last

section we just looked at with that

checklist it was kind of broken down

a little bit more complicated not even

more complicated almost in a more

comprehensive way

but they all must have a strategy or way

of trading that produces them

with profit over long periods of time

they all must have a risk management

plan that keeps them from getting

emotional in trades

and from blowing their accounts they all

must have the discipline

to stick to those two things

so if you can accomplish all three of

these then you will be in the money with

your trading

it's inevitable all right so i really

hope you enjoyed

that beginner lesson but if you are

ready for some more

advanced training then we just had a few

graduates come out of the eap

training program our flagship program

here at the trading channel i'll post

some of their testimonials on the screen

and that is incredible news for them

and that's also incredible news for you

because that means that we

finally have some spots available in the

eap training program

and while you glance through some of the

comments on the screen i want to tell

you that if you're struggling

to profit right now then i've been where

you are too

i struggled for over a year before i

found a way to be consistently

profitable

i made every mistake you can think of i

moved stops

i used poor risk management i traded

strategies that didn't work

i followed a signal service that ended

up with me almost

blowing my entire account but after that

first year

and after nearly blowing an entire

account i found the real path

to trading success and consistently

profitable trading became as easy

as counting to six and that is what i

teach in the eap

training program i created a strategy

that only uses six

simple rules to create an edge over the

market

so once you memorize these rules trading

becomes as

easy as counting to six

these rules are completely objective and

easy to follow

and although just having a strategy is

only one part of the equation it is a

very

large part of that equation in the eap

training program we also have lessons on

risk management and discipline to make

sure that you have everything you need

to get on the right track to becoming a

consistently

profitable trader and here's a look at

some of the things that are included

in the course as you can see we have

beginner lessons that

teach you everything you need to know

about technical analysis in terms of

what you're going to learn in the course

we have a transition course which is

meant to take you from where you are

to becoming consistently profitable and

after that we have an advanced course

that is meant to take your trading to

that next level

we also send out three to five email

alerts every week

these are not minute signals let me

clarify that but instead me to show you

exactly how

i am looking at the market and we also

do a review video at the end of every

couple of weeks to show you how the

strategies are performing

and you can check those out right here

so if more advanced

training is something that you are

looking for then we do have a few spots

available in the eap training program

this program also comes with priority

email meaning

you can email me at any point that you

have questions and i will answer you

asap so if a trading mentor is something

you are looking for then look no further

go ahead and click the link in the

description for the eap training program

and it would be a pleasure

to have you aboard and to have you join

us in the eap training program

if not that's totally fine too make sure

you're subscribed here on youtube

make sure to click that like button for

me if you enjoyed this video follow us

on instagram at the trading channel

and i will see you in the next video

[Music]

with

you