Daily Preparation Process
Video presentation by Dr. Ken Long
Before a single trade is placed, Dr. Ken Long follows a structured daily preparation process. This is the foundation of the PPEA framework — the Plan and Prepare phases that must happen before any execution.
In this video, Dr. Long walks through the exact steps he takes every trading morning:
- Zero State entry — box breathing and mental reset before engaging with the market
- Market classification — reading the current regime (Bull/Bear, Quiet/Volatile) across indexes and sectors
- MACD Season review — scanning the watchlist for overnight season transitions
- Setup identification — marking which symbols have actionable setups (SSC, Collapsing Dragon, Owl) based on the current season
- Trade framing — defining entry, stop, target, and R-size for each candidate trade before the market opens
- Risk budget check — confirming total portfolio exposure stays within defined limits
The key principle: preparation is not optional. It is the process that separates systematic traders from reactive ones. Every professional athlete warms up. Every pilot runs a checklist. Every trader should prepare with the same discipline.
"The trade starts the night before. By the time the market opens, I already know what I'm looking for, where I'll enter, and where I'll exit. The market just confirms or denies."
This preparation process takes 30–60 minutes depending on the number of active positions and watchlist size. It can be done in the evening (for swing traders) or early morning (for day traders).
Watch the Video
Watch "Daily Preparation Process" on YouTube →
See also: The Daily Structure of a Full-Time Day Trader and Daily Structure Execution
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