Wednesday, April 16, 2014

Trading is much more than just buy and sell and it really is about logic


Truth behind trading is that it not a "science". When someone offering free services then it does not mean that we should not use our skill to know the fact and there has to be logic behind it . Interpreting charts can be not very complicated, and I would say – good setups look pretty simple, but in most cases this simplicity requires eagle's eye and some practice like the one below !!


For my style of trading I have no room for reversals which may or may not happen at all and I try to spot the reversal too early and if it does not happen and price respecting the line of defense also know as "Area of Protection or Minor Development Area" i.e when we saw a strong momentum breakouts and price build in some area where it spike few times or may be twice and then it could be rank as minor development area and it could be inside a bracket or rotation center and any test or strong demand would surely means strong holders win the last day in range bound trading and today again they are ready for ride .

Let me give you simple example by chart ! Its Usd/cad chart which tells you exactly what happen as it was decided earlier what was one the cards prior to BOC policy decision.

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