Category: Money tips Release Date: 2007-06-05
1. General traders said that a certain market, "good" when in fact he means is that the market rose, and he just did more. When he says the market "bad" when in fact he means is that the market fell, and he just unfortunately do more.
2. The market is indeed about half the time in the fall, it is "sliding faster than flying," an experienced and successful traders know that the trend of the market decline than rise in the market to make money is more stable and faster.
3. We should seize the significant decline in the trend, a major obstacle is his natural right of any market there is a look at more than psychology. Even if the trend is very clear decline, those speculators expect the price is still stubborn will eventually rebound, thinking that they can seize the reversal point. This speculative approach is very expensive price.
4. To have success speculators should not be such a subjective and wishful thinking, but rather the use of an objective and practical approach to operations.
5. The use of trading systems, it should be according to its original purpose of the application of consistent, but also discipline.
6. A reasonable stop-loss protection is essential in order to avoid a small loss can accept out of hand turned into a financial disaster.
7. Trader must face the key issues, as well as in similar situations in the future must continue to face the key question is the following of these:
(1). Large short position in the market at different times during the period, the market is not the formation of a significant rebound from the bottom up?
(2). Traders How to participate in such a rebound, while maintaining a reasonable stop-loss protection against (in fact, once happened) rebound signal is wrong, the market eventually continue to decline?
(3). If traders have turned to do more, but because of stop-loss point and open positions, then he should return to the short side of the camp how to continue to trade down in the bear market?
8. The long-term trend, especially the decline and will not bounce back quickly. They usually are unbearable for some time, with countless false signals, resulting in many traders were brutally flush appearance.
9. Must be avoided to grasp the head and the bottom, because that is subjective at best unfounded and out of the way, this approach with little success.
10. Must play a patience and discipline and waiting for your technology systems tell you that a rebound has already occurred, at this time it jumped the emerging trends. If your system take you into another direction, but also a reasonable stop-loss should be done to protect your new position. If rebound is false and can not be a long lifespan, and you can bounce back to stop-loss is also an ongoing trend.
11. Big bear market, as long as the market continued in a broad, continuous decline in range, that is, those within this range, a high point of a high than low, a low-end than an end, then we must be very careful careful to avoid going to test the bottom.
12. In the market may be bottoming (or by a flip over) every point, we will identify the individual counter-pressure point relative. Must stand on the closing price of these points so that when we meet the trend analysis rebound argument.
13. The trend is clearly down:
(1). The high point of a rally is not to exceed the previous rally high point;
(2). 50% of the correction;
(3). Waiting for a rebound in the correction failure and recovery approach to buy.
14. Forecast trend is reversed, after the establishment of new positions, it is necessary to use a reasonable stop-loss to protect the new positions. So what is meant by reasonable? This depends on traders to what extent individuals can tolerate the pain may be.
15. Willing to take much risk, with little chance of winning your expectations are.
16. Improper operation of run-opened, as long as stay in one breath, another day can afford their own home.
17. With patience, your position can be fully operational advantage of the opportunity to grow fully compatible with the overall trend of movement.
18. Very patiently to lose money holding contrarian positions, non-major is not compensable.
