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Trading Plan Template: 10 Questions to Answer Before You Trade

A one-page trading plan covers markets, setups, risk and routines. Use these ten questions to write yours.

Why you need one

A plan removes decisions from the heat of the moment. It also gives you something to measure your results against. Write it down; a plan that lives in your head changes whenever you are emotional.

The ten questions

1) Which markets and timeframes do I trade? 2) What sessions do I trade? 3) What setups qualify (describe each in two sentences)? 4) What is my entry trigger? 5) Where does my stop go? 6) Where is my target? 7) How much do I risk per trade? 8) What is my daily and weekly loss limit? 9) When do I stop trading (after how many losses, after news)? 10) How and when do I review my journal?

Make it testable

Rules like "buy strong trends" are vague. "Buy a pullback to the 20 EMA on the 1-hour when the daily is above the 50 EMA, stop below the swing low" can be tested. Run the rules in our backtester or on a demo account before using money.

Keep it alive

Review the plan monthly against your journal. Change the plan only between sessions, never in the middle of a trade or after a single loss.

A filled-in example

Markets: EUR/USD and XAU/USD on the 1-hour chart, London session. Setup: pullback to the 20 EMA in the direction of the daily trend. Entry: bullish or bearish engulfing candle at the average. Stop: beyond the candle. Target: two times the risk. Risk: 0.5% per trade, maximum two trades a day, stop for the day after two losses.

It fits on a card, and every part of it can be tested.

Reviewing the plan

At the end of each month, count how many of your trades matched the plan, what your average result was on those trades and what happened on the ones that did not. If the plan makes money when you follow it, the problem is discipline. If it loses even when followed, the problem is the plan, and you should adjust it between sessions.

Key takeaways

Write the plan down.
Define setup, stop, target and risk.
Set loss limits and stop rules.
Review monthly, not mid-trade.

Educational content, not financial advice.