There are 100s of strategies out there. They are with your trading friends, they are on forums , they are all over the internet. Its easy to find different kinds of trading strategies. But the challenge lies in trading them correctly. The challenge lies in find the right spots of entries and exits and having the courage and the acumen to take the correct entries and exits. This is a challenge for most retail traders. Its easy for them to spot areas of support and resistance but it’s a totally different challenge to actually take these entries and trade them correctly with stop loss and TP.
The main idea behind take the right entry and exit is to cut out the emotion behind the process. Usually, traders are very excited while trading and so when they see price rising, they want to trade. When they see price falling, they want to trade. When they see price in a range, they want to trade that as well. They always want to trade their interpretation of the market and their strategy. Not what the market is telling you or what the strategy is actually telling you. That’s why we always say, listen to the market. Don’t anticipate what it will do. Don’t try to outguess the market. It will tell you what it is going to do, loud and clear. There is nothing to assume or guess in this. Wait for the market to tell you.
If there is a breakout and the price rises, wait for the market to come back to the point of breakout and then confirm to you that the price has indeed broken out. This will be shown when the price doesn’t go back down below the breakout point (the resistance turned support in this case). This shows that the breakout was real and the price is likely to go back up again. If the price goes down through the breakout point, it just means that the breakout was a fake. Like this, the market tells you what it has done and what it will do. We just need to have the patience to listen to it and act accordingly. We need to have discipline to do that.
The key to having successful trades is to control emotions and have good discipline. Entries and exits will hit you on your face. They are always there and will always be there in future also. Don’t go in search of them, they will come to you.
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Editors’ Picks
EUR/USD stabilizes near 1.0800 as trading action turns subdued
EUR/USD holds steady near 1.0800 on Thursday and remains on track to end the day in negative territory following upbeat macroeconomic data releases from the US. The action in financial markets turn subdued as trading volumes thin out heading into Easter holiday.
GBP/USD extends sideways grind above 1.2600
GBP/USD fluctuates in a narrow channel above 1.2600 on Thursday. The better-than-expected Initial Jobless Claims data from the US and the upward revision to the Q4 GDP growth help the USD stay resilient against its rivals and limits the pair's upside.
Gold pulls away from daily highs, holds above $2,200
Gold retreats from daily highs but holds comfortably above $2,200 in the American session on Thursday. The benchmark 10-year US Treasury bond yield stays near 4.2% after upbeat US data and makes it difficult for XAU/USD to gather further bullish momentum.
XRP price falls to $0.60 support as Ripple ruling doesn’t help Coinbase lawsuit against SEC
XRP programmatic sales ruling by Judge Torres was completely rejected by another US Court that ruled in favor of the SEC in a lawsuit against Coinbase.
Portfolio rebalancing and reflation trades emerge into Q2
Yesterday’s price action pointed at a possible end-of-quarter portfolio rebalancing as the session saw the laggards of the quarter like Apple and Tesla gain, and the stars like Microsoft and Nvidia retreat.
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