The Fourth Session: The Ability to Determine When You Don’t Understand, [FX Planner]
What matters in trading is whether you can prepare for entries according to your own standards, and to practice this you need the indispensable ability to determine that “you cannot understand the market.” In this fourth installment, we will explain what actions to take when you judge that it is difficult to profit.
【Essence of Technical Analysis [FX Planner]】
・Episode 1: Grasp the psychology of both buyers and sellers
・Episode 2: Grasp the big trend and set your sight
・Episode 3: Establish your own entry criteria
・Episode 4: Possess the ability to determine when you cannot understand
・Episode 5: What to do after reaching the target
Table of contents for the 4th episode
1. Can you always enter?
2. The ability to determine when you cannot understand
3. Entering in the immediate opposite direction after a loss cut is NG
4. Have points indicating a transition to an unclear situation
Can you always enter?
Until now, after deciding the perspective on the larger time frame, we explained that you analyze the current state of the short-term chart and prepare for entry.
From the short-term chart formation, you determine the entry point, and if you are long, you’ll look at the support candidates; but do support candidates always exist in the same direction as your view?
A common心理 trap for traders is the state of “I must enter in one direction or I won’t feel satisfied.” The market constantly moves up and down, so it is possible to enter in either direction, and you will also have profits or losses tied to that entry.
This constant movement can blind the trader, but no method guarantees profits at all times. Undoubtedly, there will be times when it is hard to profit with any method.
If you always aim up or down, you may not understand the situations where profits are hard to come by, and you end up being dragged by the short-term candles, ultimately causing large losses.
In short, the market is always moving, but you cannot always enter.
