Sie sind auf Seite 1von 13

To invest in the continuous improvement of our skills and technologies in order to identify and

capitalize on trading opportunities in an ever-changing global marketplace.
Mission Statement
My mission is to trade the Crosshairs Technique correctly, competently and profitably as taught and
become a better trader every day by always following the Rules.
My goal is to trade the Crosshairs Process, trading only High Probability Trades (HPT) as defined by my
Plans for Entry, Trade Management, Exit and Money Management.
A) Pre-Trade1. I understand this is War! I must be prepared to do battle! My weapon is my Plan
2. Is my emotional state strong enough to get me through this battle? Am I exhibiting Focus, Patience and
Discipline? If not stay out!
3. Do I know the type of Market Im to trade, Consolidating or Trending and the associated risk;
4. The source of the stocks and indexes in my trading basket are from a universe of optional stocks, with
a Beta > 1.5, and a daily volume > 750,000 shares.
5. Do I have HPT trades selected in both directions?
6. If there are no HPT, then NEXT or take the day off. I dont have to trade. It is a choice I chose not to
take today.
7. What are the outside influences that could improve or destroy my trade, i.e. news (sectors at High Risk
to regulatory boards), earnings, warnings, Sectors FOMC, etc?
8. Remember, I trade the CHT Process the same day-in and day-out. There are no exceptions!

B) Entry- In the CHT Process know that it is not necessary to enter the trade immediately. There is
always enough time to compare the trade to my criteria. To enter a trade I must understand and verify the
1. The Market must indicate it is moving in the direction of my trade using ES / NQ;
2. The Sector should show an indication it too is moving in the direction of my trade;
3. A Crosshair must have fired (CHF) on the W, D and/ or 144;
4. The Simple moving averages (SMA) are stacked at 279 (Crosses) for a break-out on the Daily chart (D)
and Weekly charts (W) or the W can show a 79 with sufficient distance to 200 for profitable trade; this
may be unidirectional in consolidating markets where you trade in the direction of the SMA Stack. In
trending markets only trade Break Outs.
5. S/R lines are indicating a sufficiently profitable move > $2- $3; understand a $2 move for a $20 stock is
> 10% and that is sufficient for the options to reflect a reasonable profit.
6. The stock candle count on the entry chart and the next bigger chart ( W, D) should be within the
following specifications: a) 28< 15; b) 221> 40;
7. Earnings are at least 5 trading days away;
8. Am I disciplined and following the CHT rules for HPT?
C) Trade Management- Know my Target and my Stop out for an exit. Position size my entry for the risk
involved in the trade. Trade Options at least 3 months out in time and at least 1 strike price in the money.
That should provide an Option Delta of 60% to 70% with respect to the stock price movement for Risk/
Reward considerations.
1. Trade a Risk / Reward ratio of no less than 1:2 and more often at least 1:3
2. Set the Target and the Stop loss on the price of the stock;
3. Trade a full position per the Money Management rules if all the above criteria are met in a trending
market and somewhat less in a consolidating market;
4. A partial position 1/2 or 1/3 if one or two conditions are not met; R/S or enter before break out;
5. Add to a winner when all criteria are eventually met.

6. Never, never ever add to a loser.

D) Exit- The exit is critical to being a successful trader. Let your winners run and your losers run out
quickly. Two factors determine your exit, the Target and the Stop loss you have set on entering the trade.
1. The Target is determined by the type of market and the trading history of the stock.
2. If the trade proceeds in your direction move the Stop loss keeping it tight.
3. It the trade continues to move, you may want to take your money off the table!
4. Profits should be taken before reaching a S/R. SO WHAT if it continues to run after you left!
5. Take Profits quickly and often! And remember discretion is the better part of valor.
6. The two most important factors in determining the Stop loss are the last S/R and providing enough
margin for the trade to be successful. You must balance these against each other.
7. The Stop loss can be predetermined by your maximum loss limit but understand a small loss limit can
positively impact your probability of success.
8. I must balance courage and common sense when staying in the trade. The money may be better used
in another trade.
9. Remember small losses are the key to success in an environment where you may be wrong greater
than 50% of the time.
10. Dont give back, remember you can always get back in!
11. Dont change my rules and therefore my settings.
E) Money Management These are critically important if you plan to stay alive to fight again.
1. Never trade with more than 30% of your account at any one time!
2. Never commit more than 10% of your trading account to any one trade!
3. You are limited to no more than 3 trades at a time.
4. Never have multiple open positions in any one sector; if you cant decide trade the ETF.
5. The risk parameter should most often be a potential $3 gain to a possible $1 loss or greater.

6. Seldom trade a 1:2 Risk/ Reward Ratio.

7. Always adhere to the Position Sizing rules given in Trade Management.
I appreciate the crosshairs trader who allowed me to share this with everyone.

Mission Statement
To empower an organization of exceptional individuals to identify and capture trading opportunities in
the global markets by leveraging and integrating technology, risk management and quantitative
Core Values

Build a self-sustaining, agile and entrepreneurial organization

Generate superior risk adjusted returns and steady earnings growth

Promote learning, collaboration, transparency, and innovation

Provide a coherent vision and opportunity for personal and professional growth

Maintain a culture of community, compliance, integrity, accountability and respect

Recognize and reward individual, team and firm-wide efforts
Mission statements should be clear, brief, and personalized. Every statement for every trader will be different. Take some time to fully
work out your motives for being a trader. Once you are able to put your mission statement down on paper it will serve as the bedrock to
your future success as an online trading athlete. To help you develop the basics of a personal trading mission statement, complete the
following exercise.
A) Write down what you think your top three strengths are as a trader.






B) Write down three qualities you would like to have, or aspects of your trading you want to improve on.







C) Now write down three things that you can expect if you are successful as an online trading athlete






To complete your first mission statement, fill in the blanks below with your answers to the questions above:
I am ____A______. My goal as an online trading athlete is to ____B______. By sticking to my game plan, I will
accomplish ____C______.
Here are some examples of how traders we know have used the above exercise to develop their own personal trading mission statements.
First are the answers from Debbie, an experienced trader who spent six years in various aspects of customer relations with a financial
services institution, trading part-time, before she became a full-time trader. Debbie was also a nationally ranked tennis player in college.
Here are her answers to these questions:
A) Write down what you think your top three strengths are.

I am a competitive athlete


I have a strong work ethic


I enjoy working with people

B) Write down three qualities you would like to have or improve on.

More discipline


Have more fun trading


Show more patience

C) Now write down three things that you can expect if you are successful as an online trading athlete

Financial security


Recognition from peers


Satisfaction in my career choice

Debbies Personal Trading Mission Statement :

I am a competitive online trading athlete. My goal is to be disciplined and patient every time I step up to serve in the trading game. I
will enjoy my time trading. Sticking to my personal game plan will enable me to become an all-star and achieve financial success.
Notice that when she completed her mission statement, Debbie was able to identify clearly why she was trading. However, she did not
write this statement on her first attempt. It took several months of thought and self-discovery to understand why she was in the trading
game. Once she got to this version, she found that it made sense to her and kept her focused when she was having an off day or when she
fell into a slump. We will discuss dealing with slumps and setbacks in detail in Chapters 3 and 4, but realize that the ability to deal with
failures begins with the self-knowledge that you are doing something worthwhile, something that makes you not want to give up easily.
Here is another example of the process of constructing a personal trading mission statement, this time from a rookie trader, Joel, who was
45 when he retired as a fireman and took up trading as an occupation.
A) Write down what you think your top three strengths are.

I am strong and determined


I am willing to sacrifice to get what I want


I enjoy life

B) Write down three qualities you would like to have or improve on.

I want to know more about trading


I do not want to gamble


I need more confidence

C) Now write down three things that you can expect if you are successful as an online trading athlete.

I will make a nest egg for my retirement years


I will be knowledgeable


I will impress my buddies

Joels Personal Trading Mission Statement:

I am a strong, determined trader and I will commit myself to being the best trader I can be. My goal as on online trading athlete is to
be smart, prudent, and confident. I will make a game plan, stick to it, and enjoy working hard until I retire.
You can immediately see how Joels statement is vastly different from Debbies, and how it is a reflection of his unique personality and
his approach to life. The bottom line is a good mission statement is what works for you. Over time, we change, or trading skills change,
and so our mission statements must change. Be willing to add or alter your mission statement as you grow in your career as an online
trading athlete. We suggest an annual end-of-the year review of your personal mission statement to see if it needs updating.
Now that you have committed your first mission statement to paper make sure you post it over your trading stadium (desk area) so that
you can read it whenever you need to remind yourself of your purpose and objectives.

You cant hit a target you cannot see and you cannot see a target you do not have.

Read more:

Under Creative Commons License: Attribution

Our mission is to create smarter, better informed, successful traders and investors by creating and
providing the highest quality trading education available anywhere in the world. By teaching the growing
community of self-directed individuals The Pristine Method of trading, we help empower and enlighten
the individual, open the hidden door on Wall Street, and teach not only what to do in the markets, but
when to do it, where to do it, and most importantly why it should be done. The mission of Pristine's
Education Department is to help turn the ever growing ranks of unsatisfied individual investors into selfempowered Master Traders/Investors.

How Traders Need to Prepare for Their Mission

By TradingMarkets Research | | May 12, 2010

If you don't know where you are going...then any road will get your there (Lewis Carroll - Alice in
This famous quote strikes a chord. It is very necessary for us as traders to consider our purpose and
our reasons for being a trader. It is also very important to have a long term mission statement that
will become the map we follow in order to bring us to our desired end results.
Most traders have at some time or the other, heard the expression, "Plan your trade then trade your
plan." This is essential advice for any trader to heed, before jumping into a position in the market. But
there is a much longer term connotation to planning that I want to address in this article. It deals with
the trader's MISSION statement.
In order to accurately build your mission, you need to know the four basic trading profiles.

Trading Profile 1. If you want to trade part time to make a little extra cash then this profile is the
one for you. This may be appropriate if you have a full time job and can only trade occasionally to
supplement your income. Your objective here is to provide extra cash for your personal requirements.
Trading Profile 2. In this profile you want to trade to enhance the performance of your own
retirement fund, such as your 401(K) plan or similar. Here your objective is not to take out the profits
but rather to build wealth over a longer term.
Trading Profile 3. In this profile you want to trade for a living. Your goal is to earn your monthly
income by becoming a full time trader. Your objective is to generate spendable income each month
that is sufficient to cover your lifestyle.
Trading Profile 4. Eventually you may want to offer your expertise as a trader on behalf of others. In
this scenario your goal is to provide better than average returns for your clients and to earn a fee or
percentage of the profits that you generate.
A Series of Questions That Every Full Time Trader Should Ask Himself
As you can imagine, each of the above trading profiles require completely different approaches.
Therefore, it is important that you pick your fit "upfront" and then focus on the specific requirements
needed in each of the profiles in order to build your mission statement accordingly.
Hence, it is important to know where you fit as a trader and what you want to achieve, both in the
short term and over the long term.
The first step is knowing your goals and how much money you will require to achieve them is.
For the purpose of this article, let us assume that your chosen fit is Profile 3. You have decided that
you want to trade full time for a living.
In defining your mission statement, you need to outline exactly how you intend to reach your goals.
So first let us define the goals you are trying to reach. Ask yourself the following questions;
Step 1: Know what you need to earn.

Q: How much money do I need to take home each month, after taxes, that will be sufficient to cover
my expenses and savings?
After doing your budget, assume that you need $14,000 per month gross. Assume your tax rate to be
30%, (please check with your tax advisor), in which case your annual cash requirement would be
$14,000 X 12 = $168,000. Deduct taxes of 30% or $50,400 = $117,600 net. This equates to $9800
per month.
If you trade 20 days per month on average, you will need to make $700.00 per day.
Let us move to the next step to see what we need to consider in order to earn $700 each and every
Step 2: What kind of methodology must I employ?
This step will help you better understand what you need to consider in order to earn $700 each and
every day.
Answer these questions to get a sense of your planning.
Q: Do I have a methodology that I can use over and over again? (It must be the same exact strategy
for entering each trade; do not mix systems for this exercise.) If you have more than one trading
system or strategy, repeat the exercise separately for each one.
Q: How well does my methodology perform?

Out of the past 20 trades how many were winners?

How many were losers?

What was the average win (total profits for the winning trades divided by the number of
winning trades)?

What was the average loss (total losses for the losing trades divided by the number of losing

What is the average profit made per trade?

Once you have a sense of your methodology's "expectancy", then it's time to move on to the next
Step 3: How much trading do I need to do each day?
Q: Based on the above numbers, if I require $10,000 per month, how many trades do I need to make
to earn $10,000?

In my trading system, 12 trades were profitable and 8 were losing. The 12 trades made $3600
or an average of $300 per trade. The 8 losing trades lost a total of $960 or an average of $120
per trade. Therefore over twenty trades I made $3600 - $960 = $2640. This is an average of
$132.00 per trade.

If I need to make $700 per day, I need to trade 5 or 6 times per day, each and every day.

Hopefully, there is an opportunity to find 5 or 6 trades each and every day. If this is one of my goals, I
now know what I have to achieve.
But our analysis is not yet complete. In the next step we need to calculate how much capital we need
based on our risk profile and the specific market that we intend to trade.
Step 4: How much can I risk per trade?
Since we know that we have 12 winning trades and 8 losing trades out of every 20 trades we make,
and that our winning trades are 2.5 times as profitable as our losing trades, we know that we have a
profitable trading system.
Therefore, if we put our system to work enough times, we should be able to achieve our goals. Also
we know that we win more than we lose and therefore, we can increase our risk appetite a little.

Instead of only risking 2% of our trading capital per trade, we are prepared to increase the
risk per trade to a maximum of 5%. At 2% risk we would have to lose 50 times in a row to
wipe out our capital. At 5% we would have to lose 20 times in a row. We believe our system
would not have such a string of losing trades, and therefore, we can safely assume the higher

Now we have to ask ourselves the following questions;

Step 5: How much capital do I need?

If I am prepared to risk up to 5% of my capital per trade, and my average loss is $120, how
much capital do I need to start my trading account? To calculate this number I divide the
average loss by the %risk. So $120 / 5% = $2400. This would be enough margin to cover two
standard lots approximately, but since I will need a cushion in my account, I need to double
the amount to $5000.

Step 6: Which market could provide the opportunity to realize my goals?

Since I need to make about $700 per day, I will need some leverage to effectively make it possible to
earn $700 from relatively small moves. If I wait for large moves, I might not find enough trading
opportunities every day.

Now I have to choose the market in which I wish to trade. Since I need to earn about $700 a
day and to do this I need to take as many as 6 trades per day, I believe that the spot cash
Forex markets with 100:1 leverage will be my best choice.

Observing the Forex markets, I discover that each pip that the currency moves is worth about
$10 and to trade that currency, I need to buy or sell a standard lot of 100,000 units. I will
need to make about 80 pips per trade or 20 pips in four trades to achieve my goals. It is
always important to keep stop loss orders in the market. Sometimes you may have to make
more than one attempt at a trade, so don't forget to take the stops losses into account.

Once you do this exercise, you will begin to treat trading like a business. You will have targets that you
must reach, and you will have expenses such as transaction costs to take into account. It is critically
important that you know how to execute your strategy to consistently give you a profit.
You will need to keep impeccable records so you can refine your trading skills and develop positive
feedback loops. (See my previous article regarding positive feedback loops). In short by applying your
mind to the design of a mission statement for your trading business, you will be building a professional

trader's mindset, which is the only way to become successful. Planning and preparation are important
steps in becoming a trader, both for the short term trade, as well as the long term goals of your
trading business.
So far in this series, we have discussed the need to apply a Six Sigma approach to trading. Six Sigma
is a statistical concept that suggests we aim for 100% flawless execution of our strategy rather than
search for an elusive Holy Grail system that wins 100% of the time. We can learn to execute well but I
doubt that we will ever find a 100% winning system. By learning to execute well, over and over, we
begin to create positive feedback loops. This leads to confidence and the ability to "pull the trigger"
when we need to. Add this positive mindset to a well designed mission and we are on the road to
building a successful trading business.
In this article, I touched upon three important factors in the Fusion Trading Model, which I teach; the
amount of money that we need, the type of market to trade and the methodology to employ. In the
next article I will go into more depth about the combination of all three.
Selwyn Gishen is a trader with over fifteen years experience trading forex and equities for a private
equity fund. He is also a student of metaphysics for over thirty five years. He has written a book
called "Mind - How Changing Your Mind, Can Change Your Life!"
Selwyn is the founder of FXNewsandViews.Com and the author of Trading the Forex Markets - A
Foundation Course for Online Traders. The course is designed to provide the trader with all the
aspects of the Fusion Trading Model. More informationabout Fusion Trading can be found
You can reach Selwyn at

Definition of 'Mission Statement'

A short sentence or paragraph used by a company to explain, in simple and concise
terms, its purposes for being. These statements serve a dual purpose by helping
employees to remain focused on the tasks at hand, as well as encouraging them to find
innovative ways of moving towards an increasingly productive achievement of company
goals. It is not uncommon for the largest companies to spend many years and millions of
dollars developing and refining their mission statement, with many of these mission
statements eventually becoming household phrases.

Investopedia explains 'Mission Statement'

Mission statements aren't just for Fortune 500 companies. Many of
the most successful individuals, professionals and investors have
taken the time to craft a personal mission statement. These
personal mission statements often incorporate the financial ,
professional, spiritual and relational aspects of life. This in turn
helps the individual to keep a healthy work/life balance that
increases their personal achievement in all of these areas.

he Trading Plan 1. Mission statement

3 Comments Posted by Gary Stone in Active Investor Education
Dont forget to Like us on Facebook Click the Like button on the right
The formation of our trading plan begins with our mission statement. It details WHY we are trading
and investing in the market or markets we have chosen. It is, in essence, our purpose.
By clearly defining this purpose or mission, we will be able to remain on track and stay committed
to our rules and trading processes through both the good and tough times. This will ensure we
arent tempted by greed during the good times and arent paralysed by fear when the tough times
are upon us. Each and every one of us will have a different purpose or mission for engaging the
market. If your mission is powerful enough it will ensure you remain on track and help you retain
your passion for trading or investing.
Purpose drives one to persevere, it creates intense desire to overcome.
Below are a number of key points to consider for inclusion in your mission statement:

The Mission Statement is a purposeful promise that can carry you towards your goals
It is about you and your family, your approach, and your ideals
Your purpose. To make money is not a purpose it is an outcome; your driving
purpose needs to be more clearly and concisely articulated.
Why are you investing in the market?
What drives you? providing for your kids future? taking responsibility for your
What role will investing play in your life?
Who are you doing this for?
It is about growing as a person and as an investor
It must also be able to accommodate changes that will occur over time and with
experience dont make it too narrow, and
Needs to have a deadline to ensure accountability

A well structured mission statement can act as a silent coach keeping us focused and
accountable in our quest to achieve our goals. A great example of a mission statement occurred in
1960 when JFK said that he would put a man on the moon by the end of the decade. Googles
mission statement is to organise the worlds information and make it universally accessible and
Cant wait until next week? Read the
The Trading Plan 2. Goals and Objectives