[Soultrader]

Excellent post Kiwi, covering perhaps one of the most important aspects in trading!

The gratification I receive on a planned out trade far exceeds a winning impulsive trade. Designing a trading plan and following is a must. A trader with a trading plan can get into the sniper mode of waiting for that killer trade. A trader without a plan will end up overtrading following absolutely no setups. A plan keeps emotions in check. It is a clear roadmap and I could never trade without one. The times I lose are times when I didnt spend enough times designing my trading plan.

I am fortunate enough to have learned strict discpline through my long years as a poker player. Similar to trading, there are so many possibilities in poker. You need to be prepared for all the possibilities and play your hands accordingly. Play tight but aggressive. Sometimes you have to lay down or fold a good looking hand. Even the best looking setups might have to pass in trading if internals are acting weak. Intuition in trading allows one to filter out the good setups from the bad. This creates further discipline in my opinion.