Following these three steps can not only reduce your impulsive trading behavior, but also better discover trading opportunities with strong certainty! !
The first step is to determine the trend of the big cycle. Trading is composed of buying and selling. Buying and selling form orders, and orders form K-lines. K-lines can be combined into an N-shaped structure. The superposition of the N-shaped structure can form a trend, and the bull-bear conversion of the trend forms the cycle of the big economic cycle~
Through this evolutionary relationship, we can know that the N-shaped structure can form a trend. The upward trend is composed of many N-shaped structures containing higher highs and higher lows. With the appearance and superposition of the first rise-fall-rise N-shaped structure, higher highs and higher lows appear, and the N-shaped structure of lower highs and lower lows constitutes a falling market!
According to the trading principle of following the big trend and going against the small trend, we can choose to enter the market and go long when the price is adjusted, such as the area where the expected price has a probability of stopping. This position has reference value~
The second step is to mark the value area in this wave of upward trend
The third step is to verify, and you can enter the market after verification
