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 GRADE
HOW TO USE:
It’s always good to know what the
reward probability is for your
trade. Go through each checklist

YOUR TRADE item and know what type of trade

it is before you enter the market.

DO YOU SPOT AN DO YOU SPOT A

UPTREND ABCD? DOWNTREND ABCD?

1 Pre-Trade Checklist 1 Pre-Trade Checklist
Draw inner and outer Draw inner and outer
trendlines. trendlines.
Find and mark the latest A/B Find and mark the latest A/B
Boundary. Boundary.
Find and mark or anticipate Find and mark or anticipate
the next BULLISH candlestick the next BEARISH candlestick
formation. formation.

2 Grade Your Trade 2 Grade Your Trade

Check off statements that are true. Check off statements that are true.
40% - Are the candles in the 40% - Are the candles in the
UP A/B Boundary? DOWN A/B Boundary?
20% - Are the candles ABOVE 20% - Are the candles BELOW
the up trendline? the up trendline?
10% - Did a BULLISH 10% - Did a BEARISH
candlestick formation form? candlestick formation form?

How Did You Do?

< 40% 40% - 50% 60%-70%
Potential Sideways
Fair Trade Good Trade
Market

Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The Grade Your Trade trader’s
checklist is intended to be used as a guide for educational purposes only and does not constitute investment advice or a solicitation to
buy or sell any Forex contract or securities of any type. No representation is being made that any account will, or is likely to, achieve profits
or losses based on the information as calculated on the checklist. No calculations, whether expressed or implied, are indicative of future
results. The content of the trader’s checklist is subject to change at any time, without notice, and is provided for the sole purpose of
assisting traders to make independent investment decisions. Market Traders Institute will not accept liability for any loss or damage,
including without limitation any loss of profit, which may arise directly or indirectly from the use of or reliance on such information.
EQUITY MANAGEMENT
PLAN HOW TO USE:
With proper equity management, even if you
lose more than you win, you can still come
out in the positive. Use our example equity
management plan example as a guide.

RISK 1 : 1 RISK 1 : 2
RISK REWARD RISK REWARD
VS. VS.
-50 PIPS +50 PIPS -50 PIPS +100 PIPS

Win 60% Trades Lose 40% Trades Win 40% Trades Lose 60% Trades
+300 PIPS -200 PIPS +400 PIPS -300 PIPS

YOUR NET PROFIT: +100 PIPS YOUR NET PROFIT: +100 PIPS

RISK 1 : 3 RISK 1 : 5
RISK REWARD RISK REWARD
VS. VS.
-50 PIPS +150 PIPS -50 PIPS +250 PIPS

Win 30% Trades Lose 70% Trades Win 20% Trades Lose 80% Trades
+450 PIPS -350 PIPS +500 PIPS -400 PIPS

YOUR NET PROFIT: +100 PIPS YOUR NET PROFIT: +100 PIPS

Equity Management Plan Example Disclaimer

Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors.

The Equity Management Plan is a model that mathematically computes the potential earnings in the forex market given certain
parameters. This model is in no way a guarantee of performance, whether expressed or implied. Results are compounded. Certain
assumptions are made when using these estimates that include but are not limited to, not taking into account commissions,
deposits/withdrawals, spreads, slippage, and rollover. This model may not hold true or be relevant for your particular situation. It is NOT
intended to be your sole source of information when making financial decisions. Use your judgment as necessary. The information
contained in this model does not constitute financial advice or a solicitation to buy or sell any Forex contract or securities of any type. MTI
will not accept liability for any loss or damage, including without limitation any loss of profit, which may arise directly or indirectly from use
of or reliance on such information. All examples are hypothetical and are for illustrative purposes only.
 BUYING OR SELLING

TRENDLINES With Stochastic RSI Indicators

UPTREND BUYING
CHECKLIST
Define trend by drawing UPTREND
lines.

Stochastic RSI (aka Velocity Fuel Gauge)

in OVER-SOLD range in an UPTREND
DEFINE TRENDLINE BUY ZONE STOCHASTIC RSI
(below 20)

Entry trigger is a counter-trendline

break in the direction of the trend. The
stop goes 10 pips BELOW the most
recent LOW in an UPTREND

Targets are levels of RESISTANCE that

makes equity sense or the Stochastic
RSI moving into the OVER-BOUGHT FIND TRIGGER FIND TARGET
(above 80) territory

DOWNTREND SELLING
CHECKLIST
Define trend by drawing DOWNTREND
lines.

Stochastic RSI (aka Velocity Fuel Gauge)

in OVER-BOUGHT range in a
DEFINE TRENDLINE SELL ZONE STOCHASTIC RSI
DOWNTREND (above 80)

Entry trigger is a counter-trendline

break in the direction of the trend. The
stop goes 15 pips ABOVE the most
recent HIGH in a DOWNTREND

Targets are levels of SUPPORT that

makes equity sense or the Stochastic
RSI moving into the OVER-SOLD (below
FIND TRIGGER FIND TARGET 20) territory.

Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The Grade Your Trade trader’s
checklist is intended to be used as a guide for educational purposes only and does not constitute investment advice or a solicitation to
buy or sell any Forex contract or securities of any type. No representation is being made that any account will, or is likely to, achieve profits
or losses based on the information as calculated on the checklist. No calculations, whether expressed or implied, are indicative of future
results. The content of the trader’s checklist is subject to change at any time, without notice, and is provided for the sole purpose of
assisting traders to make independent investment decisions. Market Traders Institute will not accept liability for any loss or damage,
including without limitation any loss of profit, which may arise directly or indirectly from the use of or reliance on such information.
 Get Empowered to Trade
the Financial Markets
FOR MORE TRADING TIPS, ATTEND A FREE WEBINAR:

1 Find out what strategies successful traders are using to see

quicker returns on their investment.

2 Get a live market review with a market analyst that shows you
simple techniques that have been proven profitable for over
77% of MTI’s students1.

Learn what opportunities are available to you now that can

3
show you the returns to maintain your lifestyle.

REGISTER NOW

1 MTI 2014 Client Survey compared to the Profitability Analysis by Forex Capital Markets, LLC. for Quarter 4 in 2014.

© Market Traders Institute, Inc.

 MARKET TRADERS INSTITUTE -
CREATING SUCCESSFUL TRADERS
That’s our vision. Often referred to as MTI, Market Traders Institute Inc. is
a financial education and training company based in the Orlando suburb of
Lake Mary, Florida. We provide education to beginner, intermediate, and
advanced traders.

For many, MTI is synonymous with high standards, effective teaching,

sound instructional materials, and a dedicated commitment to
performance-oriented results.

For more information, visit MarketTraders.com.

Copyright ©2015 Market Traders Institute, Inc.

Trading foreign exchange on margin carries a high level of risk, and may not be suitable for everyone. Past
performance is not indicative of future results. The high degree of leverage can work against you as well as for you.
MarketTraders.com Before getting involved in foreign exchange you should carefully consider your personal venture objectives, level of
400 Colonial Center Pkwy experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial
Suite #350 deposit and therefore you should not place funds that you cannot afford to lose. You should be aware of all the
Lake Mary, FL 32746 risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have
Ph: 800-866-7431 any doubts. The information contained in this web page does not constitute financial advice or a solicitation to buy
or sell any Forex contract or securities of any type. MTI will not accept liability for any loss or damage, including
without limitation any loss of profit, which may arise directly or indirectly from use of or reliance on such
information.

Please read our RISK DISCLAIMER, GENERAL DISCLAIMER and PRIVACY POLICY for more information.