I will be away for ICT (Army in-camp-training) the next 2 weeks, so I thought I’ll share one last awesome trade before I go. This was a well-timed trade on the GBP/USD using a simple market-timing technique taught during the course, and as you can see the R/R ratio is very good because a well-timed entry allows one to enter near the market turning point, keeping risk low and the upside unlimited.
In the stock market (and all other markets), the difference between a winning trade and a losing trade is the timing. You could be correct on the direction of a stock, but if you neglect the timing, you will either be entering too early (and subsequently be stopped out at a loss before you see the market take off), or you will be entering too late (missing the trade opportunity).
Hence, market timing is of utmost importance. Just like in the property market the mantra is “location, location, location”, in the stock market the mantra should be “timing, timing, timing”. How then, can one time the market accurately? You might be surprised to hear that the answer is NOT in complex flashy indicators and software.
The Art of Market Timing has been used by many successful traders since the start of speculation, and all they used were simply price quotes and a pencil, or blank charts on a computer. The “secret” of their success lies in deciphering and understanding the price movements in the chart.
One big clue I will drop is that timing is a function of price and psychology, and as the legendary stock trader Jesse Livermore put it, “the perfect psychological time just as the action is about to start.” We will be sharing how we use behavioral analysis to read the behavior and flow of the SM (smart money), and use simple behavioral patterns (BSBT) to time the market accurately:
Break – How to predict breakouts/breakdowns before they occur
Swing – How to capture the big price movements in the market
Bounce – Know when to cash out your profits before the Turn
Turn – How to pinpoint the market turning points
We will end off with some examples using real charts and stocks, and give our market forecast. We will also be sharing some of the stocks we are currently eyeing, and some on-the-spot analysis of stocks chosen by the audience. Here are some previous examples:
Registration (For Complimentary Tickets)
There are 2 dates to choose from, so please click on this link below to make a reservation for your preferred date. http://www.eventbrite.com/org/2637594820
https://synapsetrading.com/wp-content/uploads/2019/10/logo.jpg00Spencer Lihttps://synapsetrading.com/wp-content/uploads/2019/10/logo.jpgSpencer Li2013-04-28 17:58:502021-08-19 18:29:24Free Trading Workshop | The Art of Market Timing
On Monday night (around 4am on Tuesday), while I was doing some income trades on the forex markets, I took quick look at the STI Index and saw that the BBs were starting to load up on longs, based on the analysis of their behavior. This allowed me to predict the breakout with confidence, and it occurred a few days later, taking the STI to a new high.
One of my new students who took the trade following my call has PM me that he has already made back his course fees, but what’s important is that he now has more confidence in taking trades when he sees the setups. As they say, success builds confidence, and confidence builds success. Since it’s a cycle, one cannot become a good trader without having the courage to place a trade, because this is something one must do to really believe and trust the results.
For those who attended my talk on Wednesday, it was a great session and we had the chance to try out market timing using a trade simulation exercise which I picked up from one of the proprietary funds training. I have posted the photo of our market consensus, and most of us are holding the green (bullish) cards. Of course, I saved the best for last and showed those present during the talk my STI chart and how I saw the breakout coming.
https://synapsetrading.com/wp-content/uploads/2019/10/logo.jpg00Spencer Lihttps://synapsetrading.com/wp-content/uploads/2019/10/logo.jpgSpencer Li2013-04-25 22:41:342019-12-19 18:33:32Straits Times Index – How I Predicted the Breakout
A classical “pump-and-dump” campaign, sucking in buyers for the smart money to unload their profitable longs, and leaving many punters trapped in their losing positions when they buy on greed and exuberance. Smart traders would have shorted as the big boys were cashing out (red arrow), and there is still more downside to go. I will be holding these shorts for a bit more profit.
For this of you who remembered my call to buy Raffles Medical way back in July 2012 when it was just trading at $2.60, it has now soared up as high as $3.50, netting an investment return of over 50%.
For those who think that trading and behavioral analysis only works for short-term trading, you are gravely mistaken. I understand that this is a common misunderstanding, but in actual fact, because market and price behavior is manifested in charts of all timeframes, it will naturally work for both long-term and short-term trades.
