Institutions pump the market while continuing their sell-off trajectory, liquidating the little guys along the way.
WIll things play out similarly as in 2018? It's hard to tell...
However,
Trading is a greater fools game, which is why we are even allowed to trade at all. Markets exist to make the rich richer, and the rich control the market, taking liquidity from the small guys. Charts, indicators, and all other lies aside, If one can simply deduce where the liquidity lies in the market, one is going to be on the right side of the trade a lot more often than the wrong side.
Blackjack theory - the house (or institution) always wins. In crypto, you could label that as the brokers and exchanges. In blackjack theory, they need to give people a taste of winning. The market pulls out human emotion and it’s a huge reason why people fail. Inability to manage risk and one's own psychology and incorrect understanding of market psychology.
Pure price action is the encompassment of every single indicator one is using.
200 weekly MA that everyone talks about is simply the previous 200 weeks of average data. But why are we worried about the last 200 weeks of data?
If we are here to trade, the only data that matters is the data directly to the left (support and resistance, etc).
The data from areas that have already been tested don’t matter, the only data one should be concerned with is old data from the area looking for a breakthrough.
The market is there for you to lose. That's the truth. The market is manipulated. Take advantage of that manipulation. Learn how to be on the correct side of the trade with the big boys and learn how to copycat the big boys.
WIll things play out similarly as in 2018? It's hard to tell...
However,
Trading is a greater fools game, which is why we are even allowed to trade at all. Markets exist to make the rich richer, and the rich control the market, taking liquidity from the small guys. Charts, indicators, and all other lies aside, If one can simply deduce where the liquidity lies in the market, one is going to be on the right side of the trade a lot more often than the wrong side.
Blackjack theory - the house (or institution) always wins. In crypto, you could label that as the brokers and exchanges. In blackjack theory, they need to give people a taste of winning. The market pulls out human emotion and it’s a huge reason why people fail. Inability to manage risk and one's own psychology and incorrect understanding of market psychology.
Pure price action is the encompassment of every single indicator one is using.
200 weekly MA that everyone talks about is simply the previous 200 weeks of average data. But why are we worried about the last 200 weeks of data?
If we are here to trade, the only data that matters is the data directly to the left (support and resistance, etc).
The data from areas that have already been tested don’t matter, the only data one should be concerned with is old data from the area looking for a breakthrough.
The market is there for you to lose. That's the truth. The market is manipulated. Take advantage of that manipulation. Learn how to be on the correct side of the trade with the big boys and learn how to copycat the big boys.