A trend is the general direction of the price
of an asset or market in general. A trend is equally 'tradeable'
whether it is positive or negative.
A trend can apply to equities,
commodities,
currencies
and any other market
characterised from time to time by perceptible
and predictable
positive or negative directional
(non chaotic) movements in
prices.
- Trend trading is one of the most effective and easy to use
methods for making money in the global markets. Trend trading success
depends on identifying and catching the trend after it has
started and getting out of the trend as soon as possible after
the trend reverses. With enough experience it becomes possible
to sometimes anticipate turn around and more effectively buy the dips and
sell the peaks - the recent gold 'bottom' (within a longer
term upward trend) is a good example.
- Trend Trading involves taking a position in the markets
with a view of holding that position for
the duration of the trend. Some trend traders ("investors")
generally trade the long term or secular trends in that manner and are not
concerned with the day to day market volatility, others trade
shorter term trends.
- Trend trading is the most risk free way to make money in
the markets. In trend trading you identify a change of trend
in the market as early as possible, take your position, ride
the trend, and close your position shortly before or shortly
after the trend reverses or turns into 'sideways' (trendless)
volatility.
Sometimes, through extraordinarily
skilled perceptive ability (a product of
education/training and experience), you can enter
and exit at top and bottom - or if 'short' trading,
then enter at the top and exit at bottom.
- With disciplined (absolutely essential characteristic)
Trend Trading it is usually possible to profitably
catch 60 to 80% of many intermediate term and long term market
movements. Short term Trend Trading is more hazardous unless
done as a component of longer term Trend Trading strategy
(trading volatility within a longer term trend) and in a money
management manner that can survive heavy draw down (temporary
losses) in volatile markets.
- Trend Trading, according to the time-scale(s) you adopt as
your 'window'(s) on the markets, will help you take profits out of the
markets, and depending on your adopted time-scale, relieve you
of the burden of having to constantly watch (or be 'wired' to
auto-alarms that watch) the market or individual stocks /
commodities.
- Whether you are a short-term day trader or a long-term
investor - or you are positioned somewhere between the two,
incorporation of Trend Trading as a major component of your
overall trading strategy is advised.
This module focuses on
the theory and practice of trading the main Asante natural
resources and the main global currencies. It will also focus on
the practicalities of how to, with a little or a lot of
capital and
without ever touching an actual commodity,
visiting an actual
exchange, or pocketing/banking a single
currency note
(other than your profit).
Those more interested in handling the actual metal may goto
Asante gold index
This module will also teach and demonstrate that with appropriate
training, you can effectively equip yourself to deliver,
from any net terminal, including a wireless personal portable at
palatial mansion or remote village
school (
village broadband
||
rural notebook || wind up power),
a range of high quality, high value, brain
powered, net
mediated, services(example)
to
individuals and institutions anywhere in the world, as long
as the recipient is able to receive and willing/able to pay for them. The only
obstacles are in your mind and in the prejudice of others which is worn down by quality and
cost-effectiveness of service.
Update 19-08-05 : This action research cycle is slowly grinding to a halt in
the face of 'education' establishment hostility (rooted in and perpetuated by
the fact that nobody is getting 'dashed' to facilitate free 21st century net
mediated education), and related gradual degradation of what was a mickey mouse
'broadband' service to begin with.
At this time, a project manager or student at Kpoly, can for
example only occasionally access a Yahoo mailbox, almost never
access Google Groups, very seldom access his/her (Yahoo)
Geocities personal web site to maintain/develop it, use of
VideoSkype has become completely impossible even at weekends,
and the graphics that are an essential component of
http://kumasipolytechnic.net/kpolytrendtrade2.htm for
example will not load, etcetera.
A taste of what's happening around you
- I have two classes of GSS shares - one is a buy and hold
position since $414 (metal) - the other is a trading position
that 'scalps' when within trend volatility presents the
'scalping' opportunity. Watch this space for explanations of
both positions - and for an explanation of why Asante are stupid
not to participate.
to be continued. |