When a trend is emerging, you can win at anything, whether it’s a trend-following approach or not.
When a trend is prominent, you can win with anything, even if you’re trend-following.
Basically, it’s just about trend-following with stop losses; eventually the trend-following will succeed and win.
If you’re going to do line trading,
instead of trading by gauging the trend,
adding indicators only gets in the way.
If you’re going to do stop-loss trading, it’s absolutely better to focus on the main chart only.
If you stop-loss trade with indicators, you’ll lose so easily it’s almost funny.
Envelope counter-trend trading with trend-following is a fluke win.
Entering on a trend-following breakout can become a holy grail.
If you’re going to do stop-loss trading,
I think it’s worthless unless you can pinpoint with precise analysis.
In the end, if pinpoint accuracy is achieved through line trading, there’s no point in analysis.
Analysis must be a single indicator signal as a condition.
Even if multiple, they must be at the same indicator level.
Williams %R and MACD do not coincide.
Williams is a fast indicator,
MACD is a slow indicator based on MA crossovers, so it’s not usable.
Thus, unless there is a coinciding indicator signal, using multiple indicators is wasteful.
If you’re using MACD alone, MACD can be a usable indicator—but that’s all.
In the end, trend-following is just trend-following, and counter-trend is just counter-trend,
so unless you use envelopes, other analyses have many drawbacks and aren’t practical.
So you end up completing with just the Envelope.
Recurrence theory
Dow theory
Random walk theory
Prospect theory
If markets repeat patterns,
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