A trending market is essentially a place to extend profits, not an entry timing.
During trending markets, even if you pick entry points
they are not optimal entry timings
In the end, it becomes the “head and tail” theory
The merit of trend-following is
to generate stop losses excursively in range markets, while
in trend markets, to brilliantly carry out that revenge performance
Nevertheless, to grow profits in trend markets
they unnecessarily apply filters to prevent stop losses in range markets
and miss the places where profits could grow, which is a waste
Also, from that perspective,
it becomes the “body and tail” theory
but in reality you end up exiting at the “body and body”
Because if you enter at the body portion
the profit-taking location inevitably remains a weak point
In other words, overall, you end up taking profits in a very shallow area
Even though trend markets are still developing, you end up taking profits at the body
This happens precisely because you don’t want to enter with the head
When using the head and tail theory for trend-following
your resolve and nature change suddenly
You start thinking about extending profits
which becomes a strengths as a trend-following strategy
Markets are basically changing, so people tend to think it’s difficult, but
The more you become well-versed in trending markets
If you proceed with trend-following plus profit-extension strategies
you'll realize that the end of a trend market is surprisingly easy to identify with careful consideration
Trend-following is fundamentally about extending profits
I still believe the head and tail theory is correct
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