How To Determine The Point Of Entry Into The Market | The Science



The Science

How to determine the point of entry into the market

Experienced traders argue that difficult to find - the entrance or exit point. Beginners are more interested in how to define the first point. Calculating the right moment to buy is based on a technical analysis of price changes, using the economic calendar and the indicator.

How to determine the point of entry into the market

Instruction how to determine the point of entry into the market

Step 1:

Find an effective indicator showing the trend movement more accurately. Use the built-in terminal can also be, because they are time-tested and their data are more accurate. But fletovyh indicators have one drawback - they can significantly delayed. And if you rely on their performance, you can hardly have time to get in the middle of a trend and not make it in time to get out of the market.

Step 2:

Keep your finger on the pulse of technical analysts. Technical analysis - the second component of the calculation of the entry point into the market. Study reports that lay out electronic exchanges. Such reports are usually given to the main recommendations of traders: any position is reasonable to consider at the moment, where to locate the stop level and when to carry a stop-loss at zero level when open longs and consider whether to sell orders. You yourself must have the required minimum of knowledge main trade rules, so let technical analysis and indicators will be a foundation upon which you will build your trading system.

Step 3:

trend trading system in less risky than trading breakouts. Its strategy is simple: to get up to the market should be in a short position when the rise in prices and in its long fall.

Step 4:

A small example: you decide to get into the market in a rising trend. To determine this, make sure that today's closing price higher than the closing price of a few days ago. If you play in a single day, we compare the figures at the moment and a few candles ago.

Step 5:

Find a small decline. The stronger the trend itself, the greater budutkolebaniya. An ideal base from which to enter the market by rising to a small decline in a strong trend. Correctly grasping this point, you will get the greatest profit with minimal risk of loss. In the game you need to act on the downlink vice versa.