Forex Trading Cheat Sheet

Forex trading doesn’t need to be complicated.

In fact, one of the biggest mistakes beginners make is trying to learn everything at once. Indicators. News. Strategies. Economic reports. Social media “gurus.”

The result?

Information overload.

This cheat sheet strips Forex trading down to the essentials. Save it, bookmark it, print it out, or keep it beside your trading screen.

The Forex Trading Cheat Sheet

Before You Place Any Trade

✔ Check the overall trend

✔ Identify support and resistance

✔ Look for a clean setup

✔ Check the economic calendar

✔ Calculate position size

✔ Know your stop-loss level

✔ Know your take-profit level

✔ Confirm risk is no more than 1%

If you can’t tick every box, skip the trade.

The 10 Terms Every Trader Must Understand

Pip

The smallest standard movement in a currency pair.

Spread

The difference between the buy and sell price.

Lot Size

The size of your trade.

Margin

Money required to open a leveraged trade.

Leverage

Borrowed buying power from your broker.

Stop-Loss

Your predefined exit if the trade goes wrong.

Take-Profit

Your predefined exit if the trade goes right.

Risk-to-Reward

How much you’re risking compared to how much you hope to make.

Support

A price area where buyers often step in.

Resistance

A price area where sellers often step in.

My Simple Trading Rules

These are the rules I follow every day.

Rule #1

Trade only clean setups.

Rule #2

Never chase price.

Rule #3

Use pending orders.

Rule #4

Risk only 1% per trade.

Rule #5

Never move a stop-loss further away.

Rule #6

Avoid major economic news releases.

Rule #7

Close everything by the end of the trading session.

Rule #8

Keep a trading journal.

My Double Top Checklist

Before placing a sell-stop order:

✔ Strong move upward

✔ Price drops from the high

✔ Price returns to form second top

✔ Neckline clearly visible

✔ Price has re-entered the box

✔ No higher high formed

✔ Risk-to-reward acceptable

✔ No major news approaching

My Double Bottom Checklist

Before placing a buy-stop order:

✔ Strong move downward

✔ Price rallies from the low

✔ Price returns to form second bottom

✔ Neckline clearly visible

✔ Price has re-entered the box

✔ No lower low formed

✔ Risk-to-reward acceptable

✔ No major news approaching

Warning Signs to Skip a Trade

❌ Trading just because you’re bored

❌ Trading before major news

❌ Oversized position

❌ Poor neckline

❌ Weak second top or bottom

❌ Chasing a missed entry

❌ Moving stops emotionally

❌ Trading against your rules

Remember: skipping a bad trade is often the best trade you’ll make all day.

The Daily Trading Routine

Before London Open

Check charts.

Check economic calendar.

Mark potential DT/DB setups.

During Session

Place pending orders.

Let the market come to you.

Avoid interfering.

Before London Close

Close open positions.

Delete pending orders.

Update journal.

Reset for tomorrow.

The Most Important Forex Rule

Most traders focus on entries.

Professionals focus on risk.

You can survive mediocre entries with excellent risk management.

You cannot survive excellent entries with terrible risk management.

Protect your account first.

Profits come second.

Want the Complete Strategy?

This cheat sheet shows the framework.

In Candlestick Trading for Beginners, I explain the exact Double Top and Double Bottom method I use, including:

✔ How I identify valid patterns

✔ How I draw the box and neckline

✔ Where I place entries

✔ Stop-loss placement

✔ Take-profit placement

✔ Position sizing

✔ The daily routine that keeps trading simple

If you’re looking for a straightforward, mechanical approach to Forex trading without complicated indicators, it’s the natural next step.