Effective Analysis v. Contrarian Theory 2

Knowing how to define a time line on a correct market call is as important as knowing for how long an effective analysis can last before it can turn into a Mega-Trade is indeed something to consider well.

In an earlier post; strategic trading in the foreign exchange market is always emphasize on how certain methods of due diligence must be made to be able to first identify the right currency pair or instrument then come up with well defined plan of action. Whenever the results are positive along side certain market conditions this in turn may eventually lead to a market potential and trade position similar to what has occurred with CABLE as a clear example. The methodology of trading CABLE was primarily derived from our very own 'CIPHER3 Analysis and the results have been proven for us time and again. Admittedly, CIPHER3 is not even a popular method since its a proprietary trademark of MegaTrade101. 

However, we did mention likewise that we didn't want to miss a million dollar trade and this has been one of those potential mover last April 27 and confirmed last April 30 ( of course we just didn't specify which one except for our valued clients) A one million dollar trade order is equivalent to a USD$1 trade @interbank market on the way higher and another one on the corrective move which is part of the strategic trading techniques that MegaTrade101 applies in its trade plans.

The probability of greater rewards would outweigh the risk of loss in a given period of time. Other traders and or analysts for that matter, often times look at what the overall market sentiments are. One of the most common is the traders speculative positions and market sentiments index that shows the percentage of long against short positions in each currency pair traded. For other traders, crowd sentiments are often associated with the general contrarian strategy that traders perhaps opt to practice from time to time in their way of trading the market.

Sometimes a sense of justification whether their presumed trade goes in line with the crowd sentiments. This should always be avoided as it would not help build trust, trading ability and confidence in trading analysis. It does help when one takes up to do their due diligence and study with a respected authority. Remember, trading is not a popularity contest among so called market gurus. That is why we do encourage to take up the time to improve skills in timing a trade well. Keeping a journal would likewise be appropriate as reference for comparative analysis.