From Theory to Trades: A Practical Forex Blueprint
1) Risk First, Always
Every decision starts with risk. You control exposure and the number of quality trials your edge receives. Anchor to a fixed fraction per trade (commonly 0.5–1%) and use ATR or recent structure for stops. A risk ladder prevents impulsive size changes after wins or losses.
2) Market Structure and Bias
Trend, range, transition. Read higher timeframes for bias, then drop to execution timeframes for triggers aligned to your map. Liquidity pools around prior highs/lows and session opens/closes often act as magnets. Patience is a position.
3) Sessions & Timing
London sets the tone; New York extends or fades. Fridays compress; Mondays probe. This rhythm informs expectations for range, speed, and risk. Journal how patterns behave by day and session; tailor your plan accordingly.
4) Entries, Exits, and Management
Execution equals checklists plus restraint. Pre-define invalidation, profit taking, and time-out rules. Don’t “upgrade” a scalp into a swing. Keep time-in-trade limits so capital recycles to better opportunities.
5) Psychology & Consistency
Your identity is “risk manager,” not “fortune teller.” Post-trade reviews focus on behavior and adherence to rules. Confidence comes from evidence and repetition.
R-Multiple Pseudo-Snippet
// R Multiple (pseudo)
risk_per_trade = 0.01 // 1% of equity
stop_distance_pips = 15
pip_value_per_lot = 10
position_size_lots = (equity * risk_per_trade) / (stop_distance_pips * pip_value_per_lot)
R_multiple = (exit_price - entry_price) / (stop_distance_pips * pip_value_in_price)
Note: Note: Education content only. Markets carry risk; never trade funds you cannot afford to lose.
Week 1: Foundations
Platform basics, order types, risk table, and clean chart settings.
Week 2: Structure
Trends, ranges, transitions, and key levels.
Week 3: Sessions
London & NY templates; when to sit out.
Week 4: Execution
Triggers, timing, and management rules.
Week 5+: Mastery
Scale with discipline; expand markets.