10 Steps to Make the Crab Trader Method FX Your Income Pillar | Step 9 Turning Sudden Volatility into an Opportunity
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*This article is a reprint/edit of FX攻略.com February 2020 issue. Please note that the market information written in the main text may differ from the current market.
Without preparation, rapid changes can lead to losses
There are times when unexpected statements from prominent figures occur, or when President Trump makes aggressive remarks on Twitter, causing the market to move rapidly. Before trading FX, please understand that such rapid market changes are inevitable, and it is impossible to predict them or be immune to their effects.
Sudden market changes can be opportunities to make significant profits, but they can also be moments of danger with unexpected losses. Intuitively, more people end up with losses. There are also many cases where traders regret not having earned more profits.
One reason is that trading rules are vague or not well planned, and when the situation arises, they become flustered and fail to act rationally.
Conversely, if rules and plans are prepared in advance, rapid changes can be turned into opportunities to profit quickly.