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Should the Trading Timeframe Be Fixed?

Forex 336

Does the trading cycle need to be fixed?Generally speaking, no matter which period the trading system is used, the operation method is the same. Some traders fail to find opportunities that fit the system on the daily line and are unwilling to wait, so they look for them on the hourly line. As long as they operate according to the system, they may be able to make a profit. But this behavior is wrong, because our ultimate goal is stable profitability, and the core is the word stability. Change the trading cycle. Although the method has not changed, your operating habits have changed. For example, I am trading in the four-hour band, and a single order lasts three to five days, while an order with a one-hour period may be closed on the same day. Then your habits of tracking the market, and the rhythm of your work and life may be different, which can easily lead to deformation of operations, and this deformation is often not easy for you to detect. Switch the trading cycle, change the types of transactions, including changes in your living habits. Even changing the size of your screen requires an adaptation process. If you want to make money stably, don't touch it all the time.

Does the moving average trading cycle have resistance and support effects?I think not. You see most of the analysts' videos will talk about how if it falls below the 20-day moving average, it means the market has reversed, or if it is supported by the 60-day moving average, it will rebound, and so on. In fact, these are all nonsense. First of all, logically speaking, the main support is caused by the buying and selling of funds. So unless someone will buy and sell based on whether it falls below the moving average, think about it again, will there be many people waiting for the price to cross the moving average and then buy at the same time? Obviously not that unified. Secondly, let’s analyze it from the perspective of proof by contradiction. Assuming that the 15-period moving average has a resistance and support effect, is there a 16-period moving average? Are there 17-period and 20-period moving averages? If it exists in the 15th period, then it exists in other periods as well.

Because the essence of these moving averages is the same, there is nothing special about the actual value. All moving averages have the role of main support, which means that all moving averages have not been demonstrated.


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