STICK TO YOUR SYSTEM.

“If you would like to present a system, you might consider demonstrating:

1. The complete set of signals that you get from your computer program.

2. A set of brokerage statements showing the same trades.”[ED SEYKOTA]

REVERSAL.

“If a trend is in place, then major reversal happens only once at the end of the trend, so if you expect a reversal on a given day, the odds are so low. Money is lost by trying to guess a reversal each day, and getting into a counter trend trade. Mistaking a normal fluctuation for a reversal is much more expensive than even ignoring a reversal. TF philosophy is that you are better off taking the reversal after it has been established and giving back some profits (or leaving out some potential profits) rather than taking action just before the reversal, or as the reversal is happening or immediately after the reversal.”[RAVI]

Bull,bear and sideways.

You take what being given by the market.
In bull market, you keep 'long' till the market exhausted,
In bear market, you keep 'short' till the market rebound,
In the sideways market, you keep 'losing money' till the market trend!

''TAKE-WHAT-BEING-GIVEN-BY-THE-MARKET!''

THE PHILOSOPHY OF TREND FOLLOWING IS.....
''TAKE-WHAT-BEING-GIVEN-BY-THE-MARKET!''

''TAKE-WHAT-BEING-GIVEN-BY-THE-MARKET'' WITH A
TRAILING STOP!

IN THE PAST YEARS, NOT MANY FUND MANAGERS CAN
BEAT THE YEARLY INDEX PERFORMANCE, ONLY A
HANDFUL CAN MAKE BETTER RETURN THAN
THE INDEX. OR JUST BELOW THE INDEX.
WHEN A YEAR ENDS, FROM THE FIRST TRADING DAY 'OPEN
PRICE' TO THE LAST DAY 'CLOSING PRICE' STATS, THE INDEX
WILL MAKE A POSITIVE RETURN, HIGHER, OR A NEGATIVE
RETURN, LOWER THAN THE LAST YEAR'S LAST DAY'S CLOSE.
A PRO WILL NOT TRY TO PREDICT WHERE THIS YEAR'S LAST
TRADING DAY CLOSING PRICE WILL END. eg. MUCH HIGHER
THAN THE FIRST DAY OPEN PRICE , OR MUCH LOWER THAN
THE FIRST DAY OPEN PRICE. BUT WILL RATHER
''TAKE-WHAT-BEING-GIVEN-BY-THE-MARKET'' WITH A
TRAILING STOP!
THEY DONT KNOW WHEN THE TOP OR BOTTOM WILL BE
HIT, OR HOW HIGH OR LOW THE PRICE WILL GO.
THEIR PHILOSOPHY IS..
''TO-ENTER-LONG/SHORT-POSITION-WHEN-PRICE-CROSS-OVER-THE-LONG/SHORT-THRESHOLD
-AND-TAKE-WHAT BEING-GIVEN-BY-THE-MARKET-WITH-A-TRAILING-STOP.''

*THE LAST YEAR'S LAST DAY CLOSING PRICE IS THE LONG/SHORT THRESHOLD TO INITIATE LONG OR SHORT POSITION AND A TRAILING STOP TO EXIT THE MARKET, STAYOUT AND REENTER WHEN THE PRICE CROSS THE TRAIL-STOP THRESHOLD.

SIMPLE STRATEGY IS BEST.
*BET A SMALL 1% OF YOUR CAPITAL.OR STRING OF CHOPPY TREND LOSSES WILL WIPE OUT ALL YOUR CAPITAL!
*SMA200 AS LONG/SHORT THRESHOLD AND 5% [FROM PEAK OR TROUGH] AS TRAILING STOP.
*SMA200 AS LONG/SHORT THRESHOLD AND SMA50 AS TRAILING STOP.
*10% AS LONG/SHORT THRESHOLD AND 5% AS TRAILING STOP.
*LEVERAGE WITH EARNED PROFIT.[BET WITH WON PROFIT MONEY]
XXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXX
FACTS.......
*ALL PRO LOSE IN CHOPPY RANGE-BOUND!
*PRO DID NOT MAKE MONEY EVERY YEAR!
*PRO LOSE MONEY IN SIDEWAY CHOPPY TRENDING YEAR!
*PRO DONT FORECAST OR PREDICT!
*EVERY DAY, EVERY WEEK,EVERY MONTH,EVERY YEAR,
THERE WILL BE SOME 'EXPERT' WITH BIG EGO SHOUTING FROM THEIR ROOF-TOP THAT MARKET WILL TOP OR BOTTOM! AND OF-COURSE, SOME DAY, SOME WHERE THEY WILL BE RIGHT! A BROKEN CLOCK WILL BE RIGHT TWICE A DAY!
Posted by WEIRD-ENGLISH-WRITER
http://weirdenglishwriter.blogspot.com/