The Trading Plan comes first and should account for the following parameters:
1. Entering a trade.
2. Exiting a trade.
3. Stop Placement.
4. Position Sizing.
5. Money Management.
6. What to Trade.
7. Trading Time Frames.
8. Back Testing.
9. Performance Review.
10. Risk vs. Reward.
The Game Plan consists of putting the parameters of the Trading Plan to work in day to day trading with the following benefits:
1. It will force the trader to select a trading style.
2. It will encourage market study.
3. It will aide in helping pick the correct trades.
4. It will prepare the trader for what the market has to offer.
5. It will help in properly monitoring and exiting trades.
6. It will keep the trader from over-trading.
7. It will help with finances.
8. It will keep the trader focused.
9. It will take the gambling out of trading.
10. It will make a better trader out of you.