Trend trading is very important in the technique, but how many people can define “trend”.
What is given on the Internet is very mysterious and has no practical significance.
There are four basic trading principles. These principles include: use trend trading;
Timely stop loss, reduce losses;
To maximize profit;
Manage risk.
Many investors often say they should trade and follow the trend, but they often fail to do so in practice.
Trends can be divided into nascent trends, sustained trends and terminal trends.
Investors should take different approaches to these three trends.
For the nascent trend, the aim is to grasp and analyze whether the trend can be sustained.
Be patient with your stance on persistent trends.
For the final trend, we should have a thorough understanding of the fundamentals, technicals and capital side of the market based on the first two steps, and pay attention to the timely liquidation of the market panic.
Second, grasp the trend: investors should be well aware of the trend operation.
How the trend changes and whether it ends in a consolidation or a quick reversal are all things investors need to know.
Three. Sometimes it hurts.
We should seize the time: we should pay attention to the timing of opening position control.
We should not hurry, but wait.
Trend trading is medium to long term.
4. Perception of market rhythm: There are similarities and differences in the operating rules of more than a dozen foreign exchange varieties in the market.
Investors should know whether the “characteristics” of different varieties are fast or slow in trend operations over time.
During a trend trade, do not participate in the rally and pullback trade, especially if there is a trend market in other varieties.
When trading varieties, we should refer to their related varieties, especially when the trend differentiation is serious, we should avoid risks.
In the face of trends due to long-term fundamentals, investors should first find opportunities to trade with the trend.
At the same time, even a small technical deviation from the trend can only be seen as an adjustment to the current trend.
If fundamentals have better reasons to support a market correction, the trend may return to its earlier stages after fundamentals lose strength.
We must always watch for correction signals that the trend may be ending.
If the current trend adjustment is not reasonably explained from the basic surface, it should be regarded as technical adjustment first, and measures should be taken according to the technical analysis theory.
The dollar rose, gold fell sharply after hitting 1,820, and oil rose for a fifth straight day.
Please pay attention to the specific operation, the market is changing rapidly, investment needs to be cautious, the operation strategy is for reference only.
