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May 06, 2013, 01:06:11 AM |
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That's what daytrading is, for most small fish: a roulette. At best, if you can escape the psychological games manipulators play with you. Nothing you see is real: walls, price movements, volumes, resistance lines and trends. News reach you when they were already priced in, so you can only lose by acting on them.
Always trade on fundamentals: speculative bubble, rapid rise when word gets out, needs time to deflate. Go long on the upside, short on the downside and you can't miss. Mark your short profits at each rapid bear trap, most of the time price will recover since people need time to accept the idea of a burst bubble (but don't bet on recovery unless you like being the greater fool). Rinse, repeat after 6 months - 1 year.
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