Strategic point: Buying on dips and selling on rebounds — Practical steps to ride the trend
Many traders who consistently win with FX focus more on “following the flow” than on “trying to catch the bottom or top.”
In other words, if the trend is rising, buy on dips; if it is falling, sell on rallies.
This “fundamental trend-following” approach is the simplest and most repeatable strategy.
However, many beginners fail with this method of buying on dips and selling on rallies.
-
“I thought it was a dip, but it fell further.”
-
“I thought it would rally, but it kept going up.”
The cause of these failures lies in not being able to correctly judge the relative position on the chart.
This article explains, from a practical perspective, where you should target buying on dips and selling on rallies.
× ![]()