Why is it so important ? Just to name a few key points below:
- To help us understand what the stock and the market is doing now
- To help us know what is expected for the stock price in the near future
- To help us be able to discover the profitable trading opportunities
- To help us catch the big picture of the stock price movement and the market condition
Sounds magic ? Indeed, it is.
The key is to really understand my unique, complete, and perfect description of the stock price development in this post, and be able to apply it to solve real trading problems. I don't think many people can understand it even I share them publicly in the blog. Why ? It's simple ! Learning & understanding something are quite different from applying them to solve real world problems.
For example, everybody can learn Newton's laws on the motions, but only few people can really apply it to solve COMPLEX motion problems such as turbulent flows.
Here is the description:
Any price movement in any time frame can and only can be decomposed into one unique combination of trap-zones and money-making zones !
Please note that:
- It is good for any price movement in the market including futures, commodities, currencies, etc.
- It is good for any time frame such as 5 minutes, 30 minutes, days, monthly, yearly
- combination of trap zones and money-making zones
The conclusions and the description can be easily proved ONLY based on the definition of the trap zones and the money-making zones.
pretty good
ReplyDeleteDon’t know how many readers here can understand the money-trap zone and money-make zone, not to mention applying the method to trade. For simplify, I think we just need to spot the correct point, namely resisting and supporting points. Break resist point is break up (buy stock or cover short), break support point is break down (sell stock or short stock)
ReplyDeleteC'mon... There is no criterion to identify nor classify whenever which is which. For sure you can print a chart and tell that a range WAS a thing or another, but without telling why, that's just about nothing. Better yet, publish real time in the daily frame telling why it is that zone or the other. And perhaps the main thing, no system is complete without a methodology to actually trade it. How do you play your signals
ReplyDeleteGood questions. Just be patient. I will post more and more to rveal my theory and how to trade with it ...
ReplyDelete