Double top: You don’t need to wait for a breakthrough, just break through the support line below to enter the market. If there is no support line to be found, enter the market when the right side drops to half, and the stop loss can be set above the double top to prevent the formation of a triple top.
Head and shoulders: When the right side of the right shoulder begins to fall, you can enter the market without waiting for a breakthrough. Stop loss can be placed near the head. The advantage of this is that it can not only expand profits and reduce the risk of stop loss, but also prevent the risk of false breakthroughs.
Triangle: Wait for the breakthrough, do not operate in the range, the risk is too great.
Channel: In the channel, you can place orders on both sides appropriately, but the win must follow. The risk in the channel range is greater than the profit, so it is not appropriate to do more.
Do cross trading with caution unless there is a clear pattern.
The warning effect of cross trading is greater than its operational value. When there is an obvious signal in the cross trading, the related straight trading should be handled carefully. For example: If you are currently holding long EUR/USD positions, when EUR/GBP shows a clear upward signal, you have firm confidence in holding long EUR/USD positions. If EUR/GBP shows a significant downward signal, the EUR/USD should be closed. Also consider shorting EUR/GBP.
Personal experience of foreign exchange speculation in the past 2 years, experience of foreign exchange speculation-Yuhui International
The golden ratio point can be considered as support, but it cannot be considered as the price of entry, because you don’t know whether the exchange rate will rebound at 0.382, or at 0.50, or 0.618, or even simply formed. V-shaped.
Never buck the market and grab a rebound. Every rebound is an opportunity to follow the trend.
Stop-loss is as important as stop-loss. Stop-loss is the enemy of greed! In principle, every time you enter the market, stop loss and stop profit should be added at the same time. (Xunxunyang comment: Is it better to use the concept of trailing stop loss to stop winning? Because you have to follow the trend until it gives you a signal to leave. This is also the meaning of the right order as explained by Adam’s theory)
When making a pattern, the take-profit should be set at a position where the exchange rate is a little bit closer to the target price.
Although you may miss a lot of profits when you reach the limit, it will protect you to the greatest extent. Making a fortune is a fortune, accumulating less will make more.
Do not make too many short-term trades and make too many mistakes.
When you make a big profit, you should not enter the market immediately and make a second transaction. The reason is similar to the psychology of gamblers who enter the market immediately after a big loss.
Once you have spotted a certain order, you should strengthen your confidence and not be shaken by short-term fluctuations in the exchange rate. In principle, you should not appear artificially.
If the exchange rate hits the stop loss and then immediately turns around, do a good job at this time to walk outside to relieve the depression, instead of blindly entering the market again.
When a resistance line is tested for the 4th time, there will always be a breakthrough.
Don’t try to grab a rebound at the resistance point. Doing so may taste some sweetness for a while, but in the long run it will only lose more and earn less.
Waiting for the best price to enter the market, and not entering the market until you wait, the opportunity will always be there. If you don’t lose, you are already earning.
Strictly abide by discipline, it is best to turn yourself into a machine, and avoid short-term ups and downs. Doing short-term stability is the first principle. If you don’t learn to give up short-term opportunities appropriately, you will not get long-term stable profits!
You can consider dividing the funds into two parts, and use more than half of the funds for the midline. 65% personally think it is a good ratio. The rest is short-term.
Some people are very superstitious about technical indicators and like to analyze 7 or 8 technical indicators at the same time before placing an order. Such people must not be able to obtain long-term stable profits. Practice has proved that as long as specialization and two or three technical indicators are completely sufficient, as long as these two or three indicators should earn money, there will be a lot of money in the long run. Income. Individuals mainly use MACD, KDJ, and SAR.
The above items are all based on the rising exchange rate, while the decline is the opposite.
Mid-line individuals are defined as 1-2 months, short-term 1-5 days.
Only the pursuit of long-term stable income is the only truth for survival in the foreign exchange market!