If your trading plan is sufficiently detailed, then maybe you won’t need a separate set of rules, but my view is that your trading rules should be developed separately, and then incorporated into your trading plan.
I am always interested in learning about other people’s trading rules and adding to my own. I don’t expect to reach a point at which I stop looking at different rules and trying to consider if they can help me in my own trading.
Here are 25 of my favourite rules, I encourage you consider adding some of these to your own list;
1. Leave your ego at the door
2. Markets are never wrong
3. Enter with an exit
4. Don’t overtrade
5. Never let a profit turn into a loss
6. Only trade in the direction of a trend
7. Never trade without a plan
8. Cut losses short
9. Never average a loser
10. Never trade tips
11. Don’t formulate strategy whilst in a trade
12. Trade one market at a time
13. Take windfall profits when they occur
14. Take a break after closing a trade
15. Buy strength, sell weakness
16. Be humble
17. Control what you can, manage what you can’t
18. Avoiding losses is beats taking wins
19. Trade the strongest trends
20. Make price jump through hoops before entering
21. Don’t let a trade turn into an investment
22. Protect your trading capital
23. The smarter you are the longer it takes
24. You are your biggest trading adversary
25. Don’t increase risk level after a string of wins
