Technical Analysis is the ‘Cornerstone’ for all professional traders. The first thing the Bankers do when they get into work each day is go through their charts to see if there have been any changes to trendlines or trends in the market. Without solid knowledge and understanding of the Technicals a traders ‘skill progress’ and consequent performance will be limited.
We all know having losing trades is a big part of trading. We all go through periods where we just can’t nail the right trade. This is where the Bankers take a step back and revert to their cornerstone knowledge of the technicals. All great trades start and end with some aspect of technical analysis. It may seem like a simple concept, but you wouldn’t believe how many traders mis-interpret the technicals and invariably have them working against them. This is a hugely important component of your trading system so please take your time and make sure you understand every aspect.
I wish you all the very best with your trading endeavours. Remember, luck is when preparation meets opportunity!