A very bad habit of any self-respecting trader is to try to 'catch' a movement from its beginning.
It is extremely difficult to enter at a trend change and, likewise, to enter an upward or downward movement right from the beginning of it.
Moreover, there is a legend among traders that says: “Trying to catch the first and last penny ends up being the two most expensive pennies in the world.”
This is due to the difficulty of catching a movement from the beginning. It may be achieved now and then, but not always, which will end up losing more money than is gained.
Therefore, thinking logically:
Should positions be opened when believing to see a market turn, or would it be better to try to stick with the primary trend even if it costs several attempts to do so?
A hint: traders with a losing history, when they see that a movement has advanced more than they expect, usually avoid entering it because they believe it has already advanced too much. A bad habit because they could be missing the beginnings of what could be a primary trend.
One more thing: a primary trend only has 2 trend reversals, one upward and one downward. In other words, there are only 2 opportune moments to catch the movement at its beginning. And let’s remember that a primary trend can last weeks, months, or even years.
Additionally, if you are waiting for such turns, you may spend a lot of time out of the market, or worse, open many trades thinking that any bearish movement (if the trend is upward) or any bullish movement (if the trend is downward) is a turn, which will cause you to see your stops (if you place them; I hope so) trigger time and time again with much frustration.
And finally, once you have the trade open, it should only be brought to Break Even, without trying to do a Trailing Stop to avoid being swept out of the market on the first retracement.
The Trailing Stop should only be employed when we are clear that we want to close the position, as we should not close it ourselves but rather let the market close it, since the price could go beyond what we think.
On the other hand, if what you are looking for is a quick movement of a shitcoin, remember to set a take profit stop far enough away so that if it reaches it, you avoid the feeling of wanting to gain more and that, in that wait, the price retraces and you end up with little or no profit.
So remember, very important, instead of looking for the market turn or entering at a support or resistance, it is better to look to enter during the course of the primary trend when it has not yet reached either of these points (whether you are short or long).
