Due to its nature, a stop-loss is not suitable for contrarian strategies

Stop-loss, by its nature, is not suitable for counter-trend trading

Counter-trend trading requires timing

As losses increase, the timing drifts accordingly and market intuition is affected

Also, the timing for counter-trend changes frequently, so you cannot capture those changes

If you look at it in hindsight, it only seems like you could enter

The truth is that in actual markets, timing is often wrong

Therefore, basically, when engaging in counter-trend trading, you can only practice trend trading

It’s either trend trading or a breakout in the direction of the trend

People who say breakouts cannot be used do not understand the concept of breakouts, so they only use them where they will fail

Trend trading and breakout in the direction of the trend can be used if you consider it as a single-shot stop-loss

If you use a stop-loss for counter-trend trading, it becomes a feeling of averaging down, which is not very effective

In the end, for a counter-trend averaging-down-style stop-loss to succeed

It becomes movement like trend trading or a breakout in the direction of the trend

In envelope trading, considering profit

1:2 is the limit; beyond that, considering profit and loss is not worth it

Even if analysis seems to be functioning well, in reality it leads to certain loss

Other counter-trend systems are not much different

Ultimately, trading with awareness of high and low prices yields far greater profits

Because it is reduced to a simple system focused on highs and lows

Analysis is not even necessary; rather, it gets in the way

Williams %R is better than the Envelope

Envelope lacks quickness

Trends can be understood even without looking at Envelope

Entering with the Williams indicator in the direction of the trend is faster

Averaging down yields profits but is a double-edged sword

It becomes clear when you test with a grid

In the end, you just get wiped out

※ If you want to keep earning in FX, go here ↓