How to use information from the site
We believe that the financial market is a non-efficient market for long-term. i.e. It has certain rules for a long-term. Hence, information at this site is analyzed in larger time frame as 4 hour chart, daily chart, weekly chart,...
Nobody knows when a event happends exactly because the markets could experience a randomness in a short time frame.
It is good or not depend on how you use information. For example, you could use option. You could made money in the period that we gave.
or Because there is a degree of randomness, the markets could go up or down more before it is dropping or increasing to a certain target. You could use Average Cost Method to control it. A few of traders knows how to use the method efficiently. The others believe that adding more for losing positions could lead to a huge lost because they could chase with the market by adding more positions too thick. They don't understand that adding more positions only when it is neccesary and at points could bound back. for example at points in which price is lowest, highest compare to its history, or reach to a certain price for a long-time or in a certain pattern, or... I was very surprise some pros add more positions to a their losing position every 15 pips with a tight SL. They don't know that a randomness of the FX could come more than 200 pips! Then, they end up with a huge lost.
Moreover, they misunderstand that what it is a losing position? It could be a losing position in short-time but be a winning position in long-time. For example,
or you should wait until the market is dropping or increasing to the target then you buy/sell it while it ready going up/down. To step into the markets in time, you should learn the basic indicators carefully.
The basic indicators are important indicators. Some people always make or think of supper indicators, but they couldn't have better ones.
Actually, we recognize movement of the market based on the basic indicators.
Playing with short-term signals as scalping, 1m-chart,.. with tight stop lost (SL) is not a good way. A call could come right way, but there is always a degree of a randomness. i.e. you are playing with random signals. The more SL is tight, the more you play with random signals. By probability theory, you will have zero sum if you play for a long time. But, You don't have enough money to play long-time except some banks and large financial institutes. Then, you could end up with lost all your money by gambling.
I'm writing a tutorials of the basic indicators with emphasising the important points of it. Welcome everyone comes our site to read it.
Warning:The information, data and calculations about indexes, stocks, ETF, bonds, currencies are believed to be accurate, but are not guaranteed or warranted by JumpTheFrog, Inc.
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