Why You Can Miss Buy or Sell Signals

In the process of foreign exchange trading, I don't know if you regret because you always miss buying or selling signals. Facing the ups and downs of the market every day, and various trading opportunities of different sizes, every investor tries to capture as many trading opportunities as possible, but the result is that they often miss the market or miss the good ones. Buying opportunities, or missing good selling opportunities, resulting in a huge gap, people have to lament the tricks of good fortune.

So for a foreign exchange investor, how to grasp the buying and selling signals of the market is very important. We can't help thinking: For a new investor, what should we do to avoid this situation?

I think we can consider it from the aspects of method, human nature, and philosophy, so that even if we cannot guarantee that we will catch every buying and selling signal, at least we can guarantee that you will not miss the key buying and selling signals.

About the method: that is, rules and discipline. In the extremely free speculative market of foreign exchange, only rules can tell you what you can do and what you can't do.

For example, if you are a technical trader who adopts the Granville investment method, then you must strictly follow the rules of the Granville transaction method for trading. Just like the investment method of Glenwell mentioned: when the moving average gradually changes from a downward movement to a horizontal movement, and the moving average rises upwards, and the exchange rate also breaks above the moving average, it is regarded as a buying signal. You have to resolutely implement it, don't hesitate and doubt his accuracy.

Of course, not every method is applicable at any time and any place, and it is possible that he will make mistakes, so what should we do? In fact, we can manage him through some other methods, such as fund management: when there is a buy signal in the Granville investment method, and you are not very sure about the market, then you can control your position through fund management. In this way, even if a mistake occurs, it will not cause major losses, and of course it will not let you miss the opportunity.

The method is different for everyone, but you must strictly implement it according to your own method to form discipline, so as not to miss good buying and selling signals. Only by following the rules can stable profits be expected, otherwise, profits are accidental and losses are inevitable.

About human nature: In fact, it is also the most difficult to control. In addition to methods, the ultimate source of stable profits is a series of good characters, or behavior habits. We all know that the decline of a market is often for a better rise, but if you can't control your emotions, maybe you sold before dawn. On the road of investment, you need to have strong endurance and decisiveness. As the saying goes: a little patience will lead to chaos and big plans. In the face of the temptation of the market, only by grasping the weakness of human nature can we not make mistakes or miss the buying point.

About philosophy: The so-called investment philosophy is that you have to believe. It is a highly condensed thing, an interpretation of the trading world, derived from the understanding of the market, a shield for our thoughts, and a calming agent for us to avoid the influence of market emotions. How to explain it? For example: Soros' investment philosophy is fallibility and reflexivity. Then you have to build your worldview philosophy based on your understanding of the foreign exchange market.