Cyclical Nature of Trading

Hi Everybody.

Understanding how markets unfold in the “real world” is absolutely vital if you intend to become a professional trader. There are too many amateurs who just look at the markets for a few days and then “expect” to make big profits each and every day. This simply does not happen.

Yes, there will be easy times, when good trades are frequent and easy to spot, because the pattern is clear. And this is what most companies market on. BUT, then there are harder times, when the pattern is less clear. This is what most companies don’t tell you about. But times like this can and do happen. The trick is not to get frustrated and accept that losses will unfold, but you keep them small, and that there will be quiet times, when the pattern is unclear.

Knowing and (more importantly) accepting this is vital, because only then will you understand that when times are hard, you are getting closer (as the cycle moves round) to getting back to some big profitable trades again......

This is true for all markets and all time frames....

Thanks, Steve