The Mindset Behind Real Trading Success

Whether you’re a beginner, intermediate, or advanced trader, you’ve probably realised by now that technical analysis only accounts for about 20% of success. The remaining 80% lies in your psychology; your ability to stay calm, disciplined, and detached from emotion.

Chasing losses, overtrading, and reacting impulsively are the fastest paths to losing not only your capital, but also your confidence.

The strategy I’m about to share with you is designed to eliminate that chaos. It turns you into a systematic, rule-based trader, someone who executes like a machine. You’ll follow clear, repeatable steps that remove second-guessing, fear, and hesitation. No emotional decisions. No mental noise. Just structured execution.

If that’s what you’ve been searching for, keep reading.

The Core Swing Strategy

The goal of this swing trading method is simple: capture high-probability moves by identifying stocks that show both strength and structure on the daily chart. Follow these steps:

• Find stocks on the daily timeframe that have made a strong upward move.
• Watch for a pullback towards the 10-day moving average, forming higher lows and lower highs.
• Ensure volume gradually decreases during the pullback - this shows selling pressure is fading.
• Enter on the breakout as volume returns and price pushes above the range. Stop-loss goes at the low of the day.
• Calculating your position: if it's a clean, good looking setup, risk 1% of your capital. I use ChatGPT to calculate the position for me and tell me how many shares I can buy so that I don't lose more than 1% if the stop loss gets hit. So in ChatGPT simply type in the stock's ticker, entry price, stop-loss price and what is the most you are willing to risk, so if your account is 10k, you would be risking 100 etc. If the setup isn't perfect, risk less, for example 0.75% or 0.50%. This might sound like you aren't risking a lot, but if you time the entry right, your stop-loss will be tiny, so your position will still be BIG. For example, if you have a 10k account, your position value might be 7 or 8k. I often land trades, which trend up for days, sometimes weeks or even months, making 30-40 even 100-200% moves OR MORE. Now imagine catching a 30% move on a 10k position, that's 3k profit right there! THIS IS THE WHOLE POINT OF THIS STRATEGY - cutting losses early and letting the winners run.
• Exit your trade when the price closes below the 10-day moving average. Wait until right before the market closes. If the price is below the 10MA, close your position.

This method keeps things mechanical and repeatable. It’s not about predicting the market, rather it’s about waiting for structure, confirmation, and volume alignment before taking the trade.

Finding the Right Stocks

The most important part of this strategy is stock selection. Without the right filters, you’ll waste time scrolling through thousands of random charts.

That’s why I use TC2000, a powerful stock scanning platform that allows me to instantly identify setups that match my criteria. I created custom formulas to screen for strong price action stocks across 1-month, 3-month, and 6-month timeframes, dramatically narrowing my focus to only the highest-quality charts. You can copy the formulas below, then input them into a filter on TC2000.

Having access to TC2000 is essential for this strategy. It saves you countless hours and helps you focus only on stocks that truly fit the setup. The platform costs around $40 per month, but if you use my link you’ll get a 25% discount: https://www.tc2000.com/download/m2ktrading

(Click to enlarge)