Line trading: The bias of horizontal lines. Why is the “reproducibility” overwhelmingly low?
Pro Trade Coach Max here.
Today, I will tackle the weaknesses of the method that uses the “horizontal lines” recommended by many schools and教材.
■ 【Lies⑧】The belief that you can win with horizontal lines
Plotting a horizontal line at prominent highs and lows on the chart, and aiming to enter when price reaches that line and reverses is what’s called “line trading.” To state the conclusion first: entries backed by a horizontal line, if you draw the line at the precise position and correctly confirm the momentum reversal, can indeed be profitable. I myself earned profits in the early part of my career.
However, this method has a fatal flaw: it has low reproducibility, making it extremely difficult to teach others to achieve the same results.
Where to draw the line from and by what standard to measure momentum reversal after reaching the line—any slight misalignment can quickly break the wall. Moreover, common schools teach, “Draw a horizontal line and enter if Dow Theory reverses there,” but this approach is imprecise and dangerous. If you wait for textbook Dow reversals, your entry will be late, and by the time you realize it, you’ll be swallowed by the trend against you.
Because the places people draw lines vary and interpretations drift, a reproducible method that yields stable wins is hard to achieve. The only reliable path for a迷える trader is to carefully select weapons that yield the same answer for everyone to see.
■When you think a line will cause a rebound but it breaks through cleanly…and you wonder what to do
If you’re suffering from the modern market trap of “you can’t win even after drawing lines,” you need to discard that mistaken conventional wisdom right away. In the one-coin product currently on sale inside GogoJan (GoGoJang),『TrueRCI Leading Handbook』explains how to discern market energy without drawing ambiguous lines. Please take a look.
