The market has begun to enter a high-frequency oscillation mode. Are you confused?

In fact, the understanding of the market does not need to be too complicated. For example, the technical patterns and data analysis we often see seem professional and important, but they can be covered by a larger logical framework;

That is oscillation and trend. Open the chart and take a look at the past market conditions. We can always see at a glance where the oscillation is and where the trend is;

Buy low and sell high when the oscillation occurs, and hold the order when the trend comes. It seems easy, right?

But the question is, how to predict the start of the trend or the start of the oscillation?

The answer is that it cannot be predicted.

All we have to do is to stop the oscillation when we see the trend start, and stop the trend thinking when the oscillation starts, and then flexibly switch the trading system.

Compared with those who successfully predict the top and escape the top and predict the bottom and buy the bottom, although this will lag behind in profitability, it is far less capable of losing money than traders who make predictions all day long.

Therefore, when a market starts to fluctuate, you must give yourself an expectation that the trend will come sooner or later, and at the same time, resolutely do not take sides, let the liquidity (leeks) play the game by themselves, and wait for the winner to join.

But the reality is often easier said than done. Even if we know clearly which key positions, the market structure will change after breaking through or falling below, but we still cannot make orders based on these specific signals, because there are obsessions and sunk costs. These thoughts will exist in the human brain for a long time and cannot be detected by the parties involved.