DENNIS KIMATU KIOKO
[email protected]
0797671000
Nairobi, Kenya.
TRADING PLAN
Never BUY in a bearish market and Never SELL in a bullish market. by Kimatu.
DECLARATION
I Dennis Kimatu Kioko promise to always abide by my trading plan whenever I am
executing trades in the forex market. Failure to this, I will have failed the
discipline test, and an indisciplined trader is neither consistent nor profitable
in the market most of the times. In this trading plan, I am going to detail my
plans on market analysis, psychology of a trader, risk management and finally
profit/loss analysis. Let's dive into it.
TRADING SESSIONS:
1. London Session.
2. New York Session.
3. Asian/Tokyo session (Pre-London Analysis).
Market Analysis:
This is how I should always take my trades. Forex trading is a game of
probabilities but with past performance and my backtested strategy, proper risk
management, solid psychology and confidence in taking trades, I should be able to
maximize my profits while minimizing my losses. My analysis starts from Higher
timeframes all the way to the Lower timeframes.
High Timeframe (HTF) Analysis (Daily and H4):
Identify the overall market direction using the higher timeframes, such as daily
and weekly charts.
Look for key support and resistance zones, trendlines, and significant price levels
based on SMC and ICT concepts.
Medium Timeframe (MTF) Analysis (15-Min Chart):
Use the 15-minute chart for precise entry points. Look for confluence between SMC
and ICT principles, including:
Order blocks and kill zones.
Role reversals and fair value areas.
Market structure and market manipulation.
Fibonacci retracements and confluence zones.
Points of Interest (POIs)
1. FVG from higher timeframes.
2. Orderblocks (especially after liquidity sweeps).
3. Swing points (act as entry levels).
TRADE MANAGEMENT (Entry and Exit Rules):
Only take trades when there is clear confluence between SMC and ICT analysis.
Wait for price action signals, such as continuation or reversal at key levels.
Use multiple timeframes to validate my trade setups.
1. Fixed Take Profit based on RR. I should never exit a trade before it reaches my
POIs unless I am expecting volatile economic news.
2. After trade has left my entry, SL moves to entry just incase price goes against
me, I am fully protected from incurring a loss. The trade will be a breakeven and I
will have managed my account.
3. Incase price does not go my way and hits SL, I respect that and move to the next
trade.
Risk Management:
1. Position Size:
Risk no more than 1% of my trading capital on each trade. Calculate the position
size based on the difference between my entry price and stop-loss level in pips.
2. Stop-Loss Placement:
Place stop-loss orders just beyond significant SMC/ICT levels and structures. My
stop-loss distance should align with my 1% risk rule.
3. Take Profit:
Set a take profit level based on SMC and ICT principles. Consider taking partial
profits to lock in gains, while letting the rest of the position run if market
conditions permit.
Psychology:
1. Emotional Discipline:
Maintain emotional discipline by sticking to my trading plan and rules, even if the
market tests my patience.
Avoid revenge trading after losses. Accept that losses are a part of trading, and
they provide valuable lessons.
2. Confidence and Patience:
Build confidence in my analysis through thorough backtesting and paper trading.
Be patient and wait for high-probability trade setups that align with my SMC/ICT
analysis.
Profit/Loss Tracking:
1. Journal Every Trade:
Maintain a detailed trading journal that records every trade, including entry and
exit points, stop-loss and take profit levels, rationale for the trade, and the
outcome (win or loss).
2. Regular Review:
Periodically review my trading journal to assess my performance. Analyze what
worked and what didn't, and identify areas for improvement.
3. Continuous Learning:
Use my trading journal to learn from both winning and losing trades. Make
adjustments to my strategy and risk management as needed.
Conclusion
Remember that successful trading requires ongoing learning and adaptation. Stick to
your trading plan, stay disciplined, and strive to improve your skills over time.
This combination of SMC and ICT concepts, along with proper risk management,
psychological discipline, and performance tracking, can help you become a more
successful trader.
