1. How much risk are you willing to take? Risk management is an important factor. In order to make money (avoid losses), we must learn how to manage risks. This is the difference between being a trader and a gambler. 2. Where will the losses be reduced? Proper stop loss position can help you win or break the trade, so this should be considered before entering the market. Ensure that the stop loss point is placed in the right position, leaving enough trading space. 3. What kind of events will affect the transaction? Conservatively speaking, the market is unpredictable. Unpredictable events always happen and often cause great fluctuations. 4. How long do you plan to trade? There is no need to set a time limit for your transaction. However, you can set expectations and how long they will last.