Following the Buy or Sell triggers based on the Modified Heikin Ashi Fibonacci Trading System , you may realize that this trigger may sometimes be breached but the stop-loss may yet be intact. So, for example, in an ongoing typical bullish trend, one fine day the Buy trigger would be breached. The bullish stop-loss may yet be a bit far.
This would signify that the trend is no longer good to buy, and has surely weakened. So, if it not good to buy, how about taking that as a point for selling the index? If the trend does indeed turn bearish from this point, you have only entered the reversal much earlier, with a greater chance of a profit.
Selling the index earlier at the first weakness of the buy trigger would mean placing a stop higher than the buy trigger. That is simple enough. Use the Fibonacci ratio of 0.382 to establish a stop higher than that buy trigger.
Makes sense? Surely not. But then you cannot predict or analyse the market in any sensible way.
Trading the market indices is really about managing yourself, not the market itself. You only need to insulate the self from the shocks of markets and also to enjoy the thrills when the market surprises.
Markets will continue to shock and surprise. The indices are ephemeral, transient, impermanent. Try not to invest in them, but trade that impermanence. Do not attempt to look for the permanent, or to merge into it. Move from a feeling of oneness with the world to that of a detached separateness.
I will try and update the NIFTY 50, US 30 (Dow Jones) and FTSE 100 triggers everyday, so keep checking for updates on my website at NIFTYTRACKER.com .
This would signify that the trend is no longer good to buy, and has surely weakened. So, if it not good to buy, how about taking that as a point for selling the index? If the trend does indeed turn bearish from this point, you have only entered the reversal much earlier, with a greater chance of a profit.
Selling the index earlier at the first weakness of the buy trigger would mean placing a stop higher than the buy trigger. That is simple enough. Use the Fibonacci ratio of 0.382 to establish a stop higher than that buy trigger.
Makes sense? Surely not. But then you cannot predict or analyse the market in any sensible way.
Trading the market indices is really about managing yourself, not the market itself. You only need to insulate the self from the shocks of markets and also to enjoy the thrills when the market surprises.
Markets will continue to shock and surprise. The indices are ephemeral, transient, impermanent. Try not to invest in them, but trade that impermanence. Do not attempt to look for the permanent, or to merge into it. Move from a feeling of oneness with the world to that of a detached separateness.
I will try and update the NIFTY 50, US 30 (Dow Jones) and FTSE 100 triggers everyday, so keep checking for updates on my website at NIFTYTRACKER.com .
