Trading strategy update - 27/01/2021

27 Jan 2021

Capital allocation

I will add a % of capital every paycheck that I don't need for life stuff, bills or savings.

I will allocate capital the same way every week:

70% goes to cycle trading
15% goes to swing trading
15% goes to long-term investing

I am just parking capital to use in trades - actual trading is kept to a minimum.

Monitoring the market

I will:

• establish criteria for what I'm looking to buy in advance
  
• establish data sources in advance (for example, Twitter lists, key indexes)
  
• monitor these in a low-stress way
  
• generate trading ideas and actions way in advance, before taking trades
  

Research

I will have proper sessions where I do in-depth research on different sectors and projects.

I will line up ideas and opportunities in advance THEN execute as and when needed.

If I see something good that moons without me, I'll wait until the next cycle low or strong local support to buy.

Trading

There will be a 80% research, 20% action approach.

I will do very little active trading, mostly betting big on projects I'm highly confident on.

I will scale in (buys) and scale out (sells). I will target zones rather than aiming for perfection.