Wednesday May 25, 2022

With technical trading, you will mature into a commodity market

Technical formations and indicators are tools that determine when we should enter the market and when we exit it so that we have the highest probability that the business will be profitable.

What are the technical formations and indicators?
Commodities cannot be bought and sold just at random. You have to buy and sell commodities with balance and insight, not let’s enter any trade, we must have some reason to do so. Such a reason is the logical assumption of some profit that we want to collect.

In order to be able to collect such a profit, the basic premise is that the market will go in the right direction, ie the direction we need first to make a profit from the trade (ie, if we buy a commodity, we want the price to rise, if we sell, we want to decreased).

It is important to realize that commodity trading is highly unpredictable and you can never know for sure what the market has lost tomorrow, ie whether the market will go up and down, and whether it will lose losses or profits. After all, we can enter the market with at least some probability that the market will go in the right direction. I have the probability that the business will be profitable.

How do we know when there is a high probability that the market will go in the first direction in the first direction in those days? Let’s know this first using technical formations and a pointer.

It could therefore be simplified that:

  • Technical formations and indicators are tools that determine when we should enter the market and when we exit it so that we have the highest probability that the business will be profitable.

Technical formation and indicators of the leader trader for more than 100 years
Technical indicators are easily observable constellations of a graph or formation. During the history of trading, it has been proven that certain formations on the chart appear again and again and on the basis of such formations and the indicator can be relatively reliably predict the direction the market will go in those days (again, you need to realize that nothing is completely in the commodity one hundred percent).

Such formations and indicators can in many cases be explained very clearly and rationally firmly from the point of view of human psychology; If we take into account the fact that the sections on the graphs are basically made up of a huge crowd of people, it is possible to derive a lot of “psychological moment” within the crowd of psychology, from which the exchange of the crowd and the market pedvdat.

Technical formation and indicators are therefore the only possible point of reference (if we do not take into account the weight of fundamental analysis), on the basis of which we can carry out our transactions.

Therefore, remember for a while:
You should never enter the day of the trade unless the technical indicators give you a signal that you should do so.

If you enter the market quite casually, without balance, you will not be a trader, but just an ordinary gamble. Peak and long-earning traders enter the market only when they have the most money in the world, when all the technical formations and indicators make it clear that we have a trade ahead of us with a high probability that the market will go in the right direction, and thus We have even the highest, but the business will be profitable without losses.

Technical formation and cadmium indicators in person
Today, there are a minimum of plates (far more likely hundreds) of various formations and indicators (t of trading systems) on which thousands of traders around the world complete and execute their trades. Again, we come to the conclusion that every trading system (technical formation, indicator) is so different that you have to find your own, taking into account your own individuality.

Some may be satisfied only by the most basic technical formations (so-called patterns), others may prefer to combine combinations of moving diameters and some may look for mathematically based indicators of the stochastic type.

For everyone, something a little different will work and if you should discover and test the plates, the system (technical graph and indicator) will not find one that will suit his nature, one that is easy and time sowing and with which he will patina with confidence. able to earn regular pensions.

ryvek is from the book
“Trading on commodity markets”
vydan nakladatelstvm
City Publishing,
For more information, visit
www.grada.cz

ryvek is from the book
“Trading on commodity markets”
vydan nakladatelstvm
City Publishing,
For more information, visit
www.grada.cz

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