Saturday, April 13, 2019

The OBJECTIVE determines the route really???

As the saying goes ... MAN PLANs GOD Decides!!!

We can draw up the whole game plan from the start to the objective. But we can't determine the conditions of the route. Will it be a smooth, bumpy or whirlwind journey? If we can understand the possible different difficult conditions we will encounter and well prepared for them, automatically there will no longer be any surprises along the journey.

Yes, each journey is never a smooth ride all the way. A good example will be sailing a ship like the old days without ENGINE except depending on wind! The moment we depart from the port with the sail up, the ship will encounter all sorts of conditions on water. Strong wind, no wind, rain, shine even rough waves. Safe navigation to the destiny is about having trained to anticipate all the above that can be detrimental to ship. When the ship is cruising near the coast, it has to watch out for shallow water. Now one has to understand both the conditions above and below water.      

It is no different from trading. But trading is less complicated. One has to understand the conditions of your product and the overall market condition. We have less combinations for trend direction versus velocity (gradient). The actual conditions from the start to the end of EACH trend is rather predictable except the LENGTH and TIME taken to complete the move.

Every trend in ONE direction (major trend) will encounter some reverse trends (intermediate trends) in the opposite direction but NOT powerful enough to change the Major trend. Ultimately the major trend will change or reverse when the time is up or has arrived!

All those market calls is NOT going to work as long the TIME and SEASON ripe for the cycle change is not due. Over the years I have seen many people pretending to know about the market got smashed when they attempted be smart. Some will claim the candle pattern formation is fool proof and confidently shouting market reversal. Well, the market most likely pause BUT continue the journey further. Some Fibonacci believers will even state market reversal base market reaching a certain level. Again market continue to go even further. Why? Simply because the TIME for the cycle change has not come!

Unfortunately, this is the truth and this is how market actually works. CYCLE and TIMING. The rest are simply pure rubbish.

The chart is the most beautiful piece of art if one understand the flow message. It is just another piece of random rubbish graffiti if you can't see.

Always remember, it is highly unlikely that we can see exact replica of each trend but it is possible to see similarity of different intensity. IF any exact replica exists, it is merely coincidence.

The BIGGEST and GREATEST challenge that one will definitely face when following the chart is about CONFIDENCE when you hit a bumpy ride. But if you understand the CYCLE MORPHOLOGY, you can sleep soundly through the temporary bumpy ride for you know the cycle has not ended!
  
   

  

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