There are no specific requirements for compiling the algorithm. Its volume can be from one page to fifty, which depends on your perseverance and persistence in this matter.
The more detailed the algorithm is, the better. In general, the algorithm should contain the following information:
– Your chosen trading time, an explanation of why;
– A list of the instruments that you have chosen for trading. Explain why this is so.
– Description of strategies for working with each tool. Describe all scenarios for finding entry points, exit points. Explain why this is so.
– Description of the risk management model.
– Description of all your rules concerning trade, the system of combating psychological barriers.
The algorithm gains value only if it contains an antidote to all your losing trades. The analysis of unprofitable trades is the main goal of the algorithm. With each losing trade, you create an increasingly powerful barrier to prevent the repetition of the circumstances that gave rise to it.
Then everything is simple. You must strictly follow the algorithm. All your actions are outlined in the algorithm. No amateur activity. Only the use of methods verified and approved by you personally.