Beginners and novice traders aim to master technical analysis and acquire quant skills, honing their intuition and human knowledge to become traders who are less likely to lose and more likely to succeed, what are the 'Heaven and Earth Tools' and the comm

FX and gold, stock index trading on exchanges in various countries, and more recently

CFDs that allow buying and selling individual stocks, with margin and leverage

for these financial instruments can enable large wealth with small funds

making them extremely attractive to investors.

Every day, every month, attracted by that allure, many investors

are entering the market, but those investing in leveraged financial products

are said to have market exit rates of 70% or even 80%,

and surviving as an investor is

considered extremely difficult.

Through years of running GogoJungle, we have seen many investors,

and the pattern of those who survive can be described by the following four-step syllogism.

We can elaborate as follows:

1. Study thoroughly before trading with real money

2. As a result of study, be able to trade at points with a high edge and to

also become able to set stop losses accurately

3. The likelihood of major losses from significant drawdowns or a single large loss decreases

4. The probability of exit decreases, enabling trades that gradually increase capital

to become possible

That's right. You get it now.

1. as described, before trading, you must thoroughly learn the market mechanisms

and the factors that generate price movements

before actually trading, which is essential for an investor.

However, learning isn't like a math problem with a clear, correct answer.

Prices in stocks, FX, CFDs, and other financial instruments are driven by a multitude of interrelated events—people's economic activity, politics, psychology, and more.

Indeed, a university student from Tokyo who worked part-time as an engineer at our company later joined a domestic securities firm's proprietary trading desk, and then a well-known U.S. hedge fund as a

“quant”

(a trader who uses programming to trade).

Currently, traders inside financial institutions such as securities firms' prop desks and hedge funds are largely

quant professionals who rely on programming.

Among quants today, it is a common understanding that predicting price movements with AI or machine learning (analyzing big data to find patterns and forecast the future) is impossible.

Therefore, a quant's trading style is hybrid, combining technical analysis (analyzing price movements using market regularities) with AI-powered systems for automated trading, while occasionally executing manual entries and exits.

.

At present, there are aspects where AI and machine learning fall short in predicting price movements,

and these aspects rely on human 'sense' and the accumulated vast information that humans select and use to make investment decisions, i.e., 'human knowledge.'

This is what underpins price movements.

From the behavior patterns of quants, it can be seen that what individual investors must do to survive as investors is to

continue to survive as investors by first gaining knowledge through study,and then use the skills obtained to gain real-market experience,

and as AI and machine learning cannot yet fully satisfy the aforementioned senses and human knowledge in predicting price movements,

it becomes important to sharpen the aforementioned

‘sense’,’ ‘human knowledge’

in trading.

Now, those working in financial institutions often use the terms BUY side and SELL side.

BUY side refers to the buyers, i.e., investors who buy financial instruments such as stocks, FX, CFDs.

SELL side refers to the sellers, i.e., the financial firms that sell financial instruments, such as securities companies and FX companies.

The SELL side provides seminars and content to help individual investors learn trading methods, but obtaining the systems and the 'sense' and 'human knowledge' that quants pursue via ebooks, videos, or seminars is difficult to provide.

The reason is that, from a compliance perspective, it is impossible to explain or provide an 'unclear' thing that even professionals who work as quants have not achieved.

I have heard a regulator from the Financial Services Agency say that 'Technical analysis cannot rationally explain market price movements.'

Given that regulators hold such views, financial institutions that are strictly supervised are not allowed to provide content that contains 'uncertainties' that could encourage investors to trade and potentially cause large losses.

Even if such content is tolerated to some extent, going into deeply detailed explanations or teaching it would be impossible, I would say.

However, BUY-side individuals, sharing from a similar investor perspective, can communicate actual success cases, the learning process, developed systems, and the 'sense' and 'human knowledge.'

While they cannot promise a simple "learn this and you'll profit" claim, they can go far deeper than the SELL side and offer information on systems and software, as well as how to cultivate the 'sense' and 'human knowledge.'

In fact, there are numerous such content and services available.

This time, with the cooperation of Abe-san, a BUY-side investor, we are targeting beginners or those who have started FX but are still unsure where to begin. We will explain the basics of FX, how FX works, and the mechanisms of price movements, and what Technical Analysis and AI/machine learning are trying to achieve.

Additionally, we will discuss how to develop the 'sense' and 'human knowledge' in trading.

To become a trader who loses less, survives, and succeeds, how should one learn?

We have created a video to explain this.

Using the indicators listed at the end of this newsletter, learn how to identify advantageous trading points and avoid unnecessary trades, and through the community and the thoughts and opinions of Abe-san and participating investors, develop the 'sense' and 'human knowledge' in trading.

For your trading success, please take a look.

We have prepared a video bonus gift for those who watch this video.

Please obtain the password listed in the comments of the [Part 2] video.

Now, please enjoy this video!

Next is a video explaining the actual methods to become a successful trader.

▼Tools of Heaven and Earth and the Community, Video Bonus Gift▼