Trend tracking is actually very easy to learn and seems to keep up with moves that last anywhere between a week and over a year. Of course, if you get into the right trends, you can make a lot of money, so let's take a look at the benefits:
All free market trends offer
The currency trend, like any other free market instrument, can all be traded the same way and you get bullish and bearish trends so you can make money in any economic climate.
Trade the reality of price movements
The trend after decision-making does not involve predicting the bowel & # 39; feelings or "thigh shooting" and does not include studying the financial press. The simple following trend requires that you follow a simple set of rules that are objective and allow you to see changes in price inertia and lock in trends.
This makes huge profits
The trend that follows seems like absolute return. This does not make shooting for small. & # 39; or average profit and in times of turmoil in the financial markets, it can make you huge profits.
Take advantage of mass human psychology
Currency prices are only subjective expectations of traders, reflected objectively. People's reactions to markets always remain the same – the majority follow one another and ultimately lose. People like to be social and respectful, even if the group is wrong. When traders follow one another, they get caught up in the hysteria of the crowd and that means losses. The following trends will always make money because most marketers simply cannot think for themselves.
You don't have to win a lot of traders to make huge profits
The trend below is setting exit rules to control the losses on your account and when you quickly accept losing trades to keep the capital in your account. The profit loss ratio does not matter in the next trend. Keeping a trend for weeks or months will cover very small losses. You can have more losses than profits when the trend is following, but your profit margin can sometimes be 10 – 20 times the size of your losers so you can see why you should not have a high profit ratio and the losers. to make big profits
Following large movements means a low cost to do business
If you trade a lot every day, you lose a lot in transaction costs in relation to the profit you are aiming for, but the trend is not. With this long-term method of trading, your business expenses are minimal and increase your overall profits.
If you want to make big profits, the good news is this method is easy to learn
You don't need fantasies or systems to learn this trading method, it can be learned by anyone, and also, you have the confidence to know how it works since the market started. So instead of struggling to make money and make a lot of effort in the short term, follow the trends through pricing and make huge profits, as traders do.