I am stupid.
I am a candlestick FX trader.
It is earnings season.
So far, semiconductor stocks have led the market higher overall,
but when you look at the earnings reports, there are also disclosures that feel like a cold splash of water,
and the outlook is becoming mixed in strength.
Now, a term that’s been in the spotlight recently is,
have you heard of the “Momentum Chimpanzee”?
It is often shortened to “MoMe-Chin,”
and it refers to a trading method where you, without any deliberation, jump on stocks that are rising and buy them.
Without considering earnings, performance, or the company’s future prospects,
you basically buy stocks that have momentum without thinking.
It’s people who just buy into stocks that are on a hot streak.
And what’s happening in the stock market now is that
people who have read every earnings report and performed fundamental analyses
are not doing as well as thosewho jump on this “Momentum Chimpanzee” trend and buy stocks.
Stocks like Kioxia, SanDisk,
or stocks whose business you might not even understand,
are rising strongly, and people who buy them see their funds double or triple in no time.
On the other hand, those who meticulously analyze stocks and invest in undervalued shares
often don’t achieve substantial results.
It’s not about which style is right or which method yields better results; this obviously varies with market conditions.
In FX terms,
instead of spending time on technical analysis, drawing lines, or applying various theories to trades,
people who think, “everyone is buying, so I should buy too,”
become the Momentum-Chimpanzee style traders.
That’s likely to be their approach.
This world is strange in that,
after having exchanged messages with many people over time,
or interacted with various traders,
the sharper, more educated people,
and those with high annual incomes who do higher-paying jobs,
tend not to do as well.
Meanwhile, those whose minds are a bit loose or who take things in a simple, straightforward way
tend to end up multiplying their capital several times over without even realizing it.
Since many people will read this article,
I will avoid overly aggressive language, but
sharp people, or even more so people who think they’re smart,
often do not perform well in FX.
On the other hand, people who are less sharp (pardon) or who don’t think of themselves as smart
tend to do well more often.
That’s because they can simply ride the market tendencies.
“Because everyone is buying, if I buy too, I’ll make money.”
That is the very simple line of thinking.
And this leads to being able to generate profits.
Meanwhile, those who think they’re smart cannot simply think this way.
Isn’t it a bit too much to go up? I’m not stupid enough to buy at these high prices.
They try to pre-spot the top and profit with shorting,
theoretically, the up move is too strong,
the Stochastic or RSI,
Dow theory,
draw a line here as a top, it won’t go higher,
and so on, performing various analyses,
and even in big bull markets, they cannot buy,
they end up shorting oddly and get hammered by buying pressure.
No matter how correct the theory or methodology is,
the crowd’s momentum wins out.
Even if the crowd is wrong,
prices move with the crowd.
This is like democracy,
where the majority drives the flow.
If more subsidies are issued in the future,
the Bank of Japan will find it harder to raise rates,
the yen will weaken further, and inflation will continue to rise,
and even if that is the correct outcome,
the public will demand subsidies,
This is what is happening in Japan now,
and as leaders in a democracy, Prime Minister Takashi (note: actual name may vary) cannot go against the public.
Therefore, subsidies will continue to be issued.
And the yen will keep weakening,
inflation will not subside.
And as part of these inflation measures,
the public will demand even more subsidies.
Now this has become a political discussion, but
even if the public is wrong,
the world moves in the direction chosen by the public.
In markets as well,
no matter how high the price-earnings ratio is,
if the public believes in a company’s bright future and its future prospects,
even if overpriced, buying begets more buying.
And those who were short get squeezed,
and even those who thought it would be hard to buy at high prices
especially institutional investors, in order to show performance,
are forced to buy even at high prices.
In this day and age, not owning at least one semiconductor stock will drive customers away.
Therefore you have to buy.
And prices continue to rise further.
To ride this rise,
instead of clinging to rigid theories,
you should become foolish and just buy.
Exactly
you become the “Momentum Chimps”
and trade.
Everyone buys, so you buy too.
That’s all there is to it.
The minor details don’t matter.
You just do what everyone else is doing.
And this approach yields better results in the end.
Do you want to be a trader?
Or do you want to be an economic analyst?
Many aim to be traders, но for some reason, they drift into economic analysis.
They study the market,
using indicators, tools,
and various theories to analyze the present market.
If you want to be an analyst, that might be okay.
But if you want performance,
become a “Momentum Chim Chim”
instead—it’s far more effective.
And I used to,
as well, cling to various theories and indicators,
but I deliberately emptied my mind and
focused solely on following the crowd, and began to win.
Buying at such high levels? Wouldn’t this be too high?
Isn’t this too late to buy as it drops? If you draw a line, this is the high, so
wait until a breakout,
and so forth—these thoughts are many,
but these thoughts are truly nothing but distractions.
With these emotions or this kind of analysis, there have been countless missed profits.
In short, becoming a “Momentum Chim Chim” and trading yields better results.
And the sharper the mind, the harder it is to become a Momentum Chim Chim.
Thanks to my fortune, my brain isn’t that sharp, so I became a “Momentum Chim Chim.”
Right now I’m not analyzing future market directions or current market conditions at all, and I don’t know them.
I’m not even predicting whether gold will rise or fall in the future.
I would even say I deliberately avoid doing so.
That’s to avoid weird biases.
If you become biased, you stop seeing what you should see.
What you should see is how the crowd moves, and nothing else.
And what makes this possible to trade without discretion is
“Tento FX Logic”.
This is exactly a logic that becomes a Momentum Chim Chim,
specializing in following the crowd at all times.
Therefore, it uses no indicators or lines at all.
All you use are candlesticks.
Since you just follow, you don’t need anything else.
You do nothing but follow.
There is no trend determination, no range identification,
no selection, nothing of that sort.
You become a chimpanzee.
You don’t think about anything.
You just follow.
And by doing this faithfully, trades like these become possible.
This is“Tento FX Logic”trading results according to the rules.
Results from trading strictly according to the rules.
Whether this market is a trending market or a ranging market, I don’t know,
but I simply followed the crowd.
As a result, I think you can see trades that roughly capture the tops and bottoms.
And“Tento FX Logic”has received reviews from those who’ve already obtained it.
With the title “Mechanically,”they sent this review.
Indeed,“Tento FX Logic”is designed to trade mechanically, calmly.
And we also received another type of review like this.
As this person says,
in this logic, only candlesticks are used.
Therefore, mastery can be achieved in about an hour, making it extremely simple.
Thus, those who can honestly engage with this logic tend to be profitable.
With various indicators, lines, theories, and analyses,
people who have lost track of what to do to win
should reread this article several times and reconsider how the market moves and what to emphasize,
which may lead to a different view of the market.
And when the view of the market changes,
it is common for performance to improve dramatically.
So, today I explained about the recently talked-about Momentum Chimps.
If you want to become a Momentum Chim Chim,
please take a look here.
