Livermore only went long on uptrends and short on downtrends.
The returnee trading rule breaks through the 20-day high and opens the position decisively.
Why does Livermore only go long in rising markets? Because he discovered in his long trading career that profit depends on the general trend rather than catching all the bands.
Why does the returnee trading rule open a position after breaking through the 20-day high? Because the founder of Haigui Trading Rules knew that when a trend occurs, the price will definitely break through the high point of the 20th day, so he established the trend tracking system trading rules.
If we follow the rules of the above two predecessors, we can wait for the big Sunday, such as 4 hours or 12 hours, when the daily level ema20 daily line or Ma20 daily line is broken down, and then trade on the right side in one fell swoop and enter the short position! Daily level 20-day line: 48660.
Some thorny people will say, I am not short at 53K, but if I am short at 48.6K, I will make less money. Sorry, 53K, I did make it clear that I was short for several days. As for falling below the 20-day line, it is a high probability of announcing the end of the bull trend. At this time, the decline may have just begun.
People who think that they miss the highest point and go short just don't know what a trend is. People who always think that they can be at the top or at the bottom often think that they are the "chosen ones" in the trading world!
