So I know this might sound stupid to some but let's get out it here A broken watch is right twice a day I believe that trading is throwing dirt on the wall hoping it to stick And most of us do it by throwing it anywhere on the wall hoping that it will stick and it does sometimes Now taking into consideration the price action traders, the dirt also sticks up on the wall if others are throwing it at the same spot, get the idea? In short, most of us try to find patterns about where most of us will buy or sell in We try to spot the spot where others are throwing dirt so we can throw ours to make it stick with others But in the long run as markets changes and new participants come and go with institutions still controlling the markets It can be hard to stick around with one strategy and changing it and studying the market is the only logical thing to do Now here's the thing that I was thinking about, since we are all throwing dirt at multiple spot throughout the wall, why don't we stay consistent and uniform I mean everybody talks about sticking to one strategy, maybe be more specific and choose only to be a bull or bear, right? The more we become specific the more we will cut out the noise and more we will increase our accuracy Maybe just buy Maybe just sell Of course we will lose many opportunities to win but also to lose. So about "a broken watch is right twice a day" Im thinking about this a lot but I don't have any clue about what to do next In the mud terms, chose a spot and throw your dirt at that spot only till it sticks Meaning just buy/sell at one particular price or at one particular time This is also related to Microeconomics Instead of studying all the price movements, we study particular price, we see how buyers or sellers reacted to this price and if they tried to push it through, did they abused this particular price again and again? Studying individual price might help to understand the buyers and sellers psychology in depth. Thoughts? Sorry for the long post.Take it easy on me, I am still a teen. Thanks!
When it comes to trading, there are far more variables involved than what most people are aware of. I think you should read "Reminiscences of a Stock Operator" it will answer many of your questions. After that, you can read "Market Wizards" by Jack Schwager. Key point #1: These books might not provide you with the answer you want, but rather with answers you need. Key point #2: One needs to be ready to see trading for what it really is, and not for what one wants it to be. Trading is not easy.
To be accurate: A STOPPED watch is right twice a day. A broken watch, such as one that constantly runs slow, may NEVER be right. But reasoning from analogy is already a bad place to start.
Yep I know it's stupid but hey intended it to be stopped watch and not slow moving watch actually, my mistake
Trading is about clicking the Buy and Sell buttons. On the other hand, successful trading is about a major parading shift, and then realizing that you can go only as far as your trading psychology will let you. Seriously, the answers to your questions are in the books I’ve recommended.
Interesting take. So would you say it's better to stick to one bias (bullish or bearish) and refine that, rather than constantly switching based on market noise?