Future trading FAQ

[alpha]

I would like to share the FAQ of future trading as follows:

Trading plan

CHECKLIST BEFORE ENTERING:

• 1. Check Up coming News?
• 2. Find Conditions for Entry?
• 3. Select Correct Instrument?
• 4. Select Stop and Target Strategy
• 5. Position Sizing Correct?
• 6. Follow your Plan.

CHECKLIST DURING THE TRADE and EXIT:

• 1. Manage Trailing Stops
• 2. Exit Partial Position at Targets
• 3. Close Position at Trailing Stop
• 4. Check for and close any Open Positions

CHECKLIST AFTER TRADING:

• 1. Update Your Trading Daily Log
• 2. Monitor Daily Profit / Loss
• 3. Review all trading activities and do reflection

About the margin
Remember starting with Micro future and go for mini future until you have consistent trading performance.

Micro Futures Accounts such as MES, MNQ, MYM
For Each $1,000 of available margin:

• Maximum position size of 1 contract
• Maximum Daily Loss Limit of $25
• Weekly Loss Limit of $50

For E-mini or NQ Trades
For Each $10,000 of available margin:

• Maximum position size of 1 contract
• Maximum Daily Loss Limit of $200
• Weekly Loss Limit of $300

Example For $50,000 Account

• Maximum position size of 5 contracts
• Maximum Daily Loss Limit of $1,000
• Maximum Weekly Loss Limit of $1,500
• Trailing Maximum Drawdown $2,000

Mini vs Micro future​

Trading time​

Margins Requirment​