Bullshit Free Guide to Iron Condors - Options trading IQ

SETTING UP A SYSTEM FOR SUCCESS
One thing I encourage all my students to do is set up good systems and develop consistent actions. There is a lot of information to digest and keep on top of
such as GDP releases, jobs data and earnings reports. At times, this will all feel overwhelming which is why it’s important to have a good system in place for
reviewing all potentially market moving events / data.
So how can you apply this to your trading?
Start working on your trading journal. Set aside a specific time each week and spend 30 minutes each week to fill this in with all your trades from the previous
week. Also write down how the market behaved and how that affected you positions AND your emotions.
For me, I do this on Sunday evening as I am usually home at this time. During my routine, I check the following and note down all my thoughts:
• Charts of the major market indices including performance over the past week, also noting relevant support and resistance and moving average lines.
• Chart of the VIX – Very important!
• Charts of the major commodities – e.g. Gold, Silver and Oil.
• Charts of important companies who have the potential to lead the market – e.g. AAPL, XOM, FCX, GS, BAC, CAT
• Charts of various ETF’s – e.g. XLF, XLK, SMH, EEM
• Charts of any other stocks that are on my watchlist
• Economic calendar for the week ahead
Reasons for creating rituals:
• It gets you into the habit of knowing what’s going on in the market and increases your analytical skills
• Creates a reference library for you to refer back to
• Allows you to formulate an opinion of where the market might go.
• Allows you to devise trading strategies based on you market opinion.
Keep in mind that consistency leads to habits. Habits form the actions we take every day. Action leads to success.
Homework Assignment: What systems could you set up to make your life easier?
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