Back to basics trading tips
Emotion is a killer and gamblers always die at the table...
Let's get back to basics. Why do we lose more trades than win? Why can't we get it right? Why do we think we have the instinct to call a trend reversal before it happens and then, it doesn't happen more often then we think it should? The answer is emotional attachment to beating smart money. We think we have the righteous instinct to beat the odds. Emotional gambling is a lost cause but the smart money thanks you for your contribution. That's how they make money. They take yours by creating emotional situations to confuse you.
Sometimes (especially when frustrated) we complicate things and we should take a step back, look at the general trends and "go with the flow" to make larger gains. THERE IS NO MAGIC BULLET. Going with the flow is going with the smart money (Institutional) NOT retail money (you and I). Smart money is not actually smart and I see it as a misnomer. It's "BULLY MONEY" by the professionals buying or selling with force moving the market in a direction. Three simple indicators can easily show you where you are in a trend, the 15 50 200EMA.
The 200EMA is often regarded as the standard to define if we are in a bull or bear market. All smaller indicators generally follow the market direction. In Bull markets, they go up and are above to 200EMA. In Bear markets they are below. They converge and cross in a market change. Simple.
The 50EMA is my first indicator for "the flow" in where a market is headed during what every market you are in. If you trade with the flow you don't care about bottoms and tops. You are riding on the coat tails of the smart money, the market makers. "A rising tide will lift boats and ships together" is a great analogy for a bull market. You have a higher chance to drown if you short here. I'm sure you can figure out a bear market is the exact opposite.
The 15EMA is a great way to show the difference between buyer and seller strength. In a short position, the Smart Money is selling and amateurs are trying to scalp their kamikaze trades on the bounce up only to be rejected a lot sooner instead of going short in the down trend. Who is really winning if you don't go with the flow?
So take a step back. What is the market telling you? Where is the flow? I am I emotional and hoping to change the market or am I following the trend?
I hope this helps remove emotion from your trading and gives you a grasp on the fact that you don't need luck. See the value in a trade rather then holding.
Try these 3 indicators and see if they help you define where you are. Up means you are Long, Down means you are short. If it is not defined and they are in confusing orders bouncing back and forth, stay out of the argument until the flow is established again. Try them on some charts you like to trade and see if they help.
Don't gamble with emotion and learn from your mistakes or you are destined to repeat them.
M~
Let's get back to basics. Why do we lose more trades than win? Why can't we get it right? Why do we think we have the instinct to call a trend reversal before it happens and then, it doesn't happen more often then we think it should? The answer is emotional attachment to beating smart money. We think we have the righteous instinct to beat the odds. Emotional gambling is a lost cause but the smart money thanks you for your contribution. That's how they make money. They take yours by creating emotional situations to confuse you.
Sometimes (especially when frustrated) we complicate things and we should take a step back, look at the general trends and "go with the flow" to make larger gains. THERE IS NO MAGIC BULLET. Going with the flow is going with the smart money (Institutional) NOT retail money (you and I). Smart money is not actually smart and I see it as a misnomer. It's "BULLY MONEY" by the professionals buying or selling with force moving the market in a direction. Three simple indicators can easily show you where you are in a trend, the 15 50 200EMA.
The 200EMA is often regarded as the standard to define if we are in a bull or bear market. All smaller indicators generally follow the market direction. In Bull markets, they go up and are above to 200EMA. In Bear markets they are below. They converge and cross in a market change. Simple.
The 50EMA is my first indicator for "the flow" in where a market is headed during what every market you are in. If you trade with the flow you don't care about bottoms and tops. You are riding on the coat tails of the smart money, the market makers. "A rising tide will lift boats and ships together" is a great analogy for a bull market. You have a higher chance to drown if you short here. I'm sure you can figure out a bear market is the exact opposite.
The 15EMA is a great way to show the difference between buyer and seller strength. In a short position, the Smart Money is selling and amateurs are trying to scalp their kamikaze trades on the bounce up only to be rejected a lot sooner instead of going short in the down trend. Who is really winning if you don't go with the flow?
So take a step back. What is the market telling you? Where is the flow? I am I emotional and hoping to change the market or am I following the trend?
I hope this helps remove emotion from your trading and gives you a grasp on the fact that you don't need luck. See the value in a trade rather then holding.
Try these 3 indicators and see if they help you define where you are. Up means you are Long, Down means you are short. If it is not defined and they are in confusing orders bouncing back and forth, stay out of the argument until the flow is established again. Try them on some charts you like to trade and see if they help.
Don't gamble with emotion and learn from your mistakes or you are destined to repeat them.
M~
إخلاء المسؤولية
لا يُقصد بالمعلومات والمنشورات أن تكون، أو تشكل، أي نصيحة مالية أو استثمارية أو تجارية أو أنواع أخرى من النصائح أو التوصيات المقدمة أو المعتمدة من TradingView. اقرأ المزيد في شروط الاستخدام.
إخلاء المسؤولية
لا يُقصد بالمعلومات والمنشورات أن تكون، أو تشكل، أي نصيحة مالية أو استثمارية أو تجارية أو أنواع أخرى من النصائح أو التوصيات المقدمة أو المعتمدة من TradingView. اقرأ المزيد في شروط الاستخدام.