Forex trading plan checklist

Today I would like to show you the forex trading plan checklist.

Now, I want you to know every professional traders have 3 essential forex trading tools

• a forex trading plan
• a forex trading plan checklist
• a forex trading journal

I think you must have known how to write a forex trading plan and develop a forex trading diary. So I will explain the forex trading checklist in more detail. 

The following is my everyday work

First, I will use a trend line to identify the main trend on the daily and 4 hour chart. 

Second, I am going to keep up with the price action.

• I will wait for price down to the trend line.
• If price closes below trend line support, I will stop forex trading.

Third, I will draw support and resistance levels on the daily and 4 hour chart. Of course, I will never forget the weekly chart.

Fourth, I will check the Relative Strength Index every day.

Fifth, I am going to check the Average directional Indicator every day.

Sixth, Sometimes the markets move so much after the a major news release. So, I will focus on the Dailyfx Economic Calendar.

At last, once I have identified a trending market, I will use the one direction grid trading system on the daily chart. However, if a trend is not present, I will stop forex trading.

Here is a Forex trading checklist template:

GBPUSD daily chart

First, I will decide to trade the major pairs like GBPUSD

Second, before trading, I will check the Dailyfx Economic Calendar.

Third, on the daily chart of the GBPUSD, it stays above a bullish support trend line.

• The Average direction Index is 25.4. It indicate a weak trend.
• The Relative Strength Index is 49.72

GBPUSD 4 hour chart

Fourth, on the 4 hour chart of the GBPUSD, the price had broken through the trend line and cause a reversal

• The Average direction Index is 33.93
• The Relative Strength Index is 36.57

Now I will think for a minute. Is this the right trade at this time? 

No, I won't make the trade here. The picture isn't clear.

I think the great advantage of the forex trading checklist is that you can find the forex trading opportunities.


Now I have explained the forex trading plan checklist to you. 

If you want to know more, please read my other forex trading articles.

More reading: Trading with Multiple Chart Indicators