Loading Logo

Chargement..

81918 Points 2 ré

The trend gives you the biggest bang for your buck

The definition of the trend is this...

Uptrend - consists of higher highs and lows

Downtrend - consists of lower highs and lows

If you want to know where's the path of least resistance, look left (and follow the trend).

When the price is in an uptrend, you should stay long. When the price is in a downtrend, you should stay short.

By trading with the trend, you can see that the impulse move (green) goes much more in your favour, compared to the corrective move (red).

Here are a couple of examples.

image