Is it true?

I don't trade like that so i don't have any examples. Curious to see the examples of those who think there's edge in this.

 

You won't find any here with that edge, if they did have that edge they would be throwing some ideas out that were at least 60/70% accurate so thinking the trend is your friend isn't as predictable as most here claim it to be.

 

I know very well that this "strategy" doesn't have any edge. That's why i was curious to see what examples others post

 

Many traders fail regardless of the trading method so not sure I'd blame the *trend following strategy* for the failure.
I'd guess trend followers have a better chance of success than counter-trend traders.

 

yep, due to psychological aspect. Trend traders are more likely to have a fixed stop because the failure is more clear. Contrarians are much more prone to averaging down because "the top (bottom) is imminent"

 

even when the market trends - it's chopping as it goes - it's just usually out of the human minds ability to see this.

 

A lot of traders miss the chop in any stock symbol. Any stock trends only 30% of the time which means it is range bound 70% of the time. The problem is most stock traders take the trend is your friend quite literally. They expect the stock to be in a trend majority of the time. Also, trend following systems have low win rates and huge drawdowns. It also, gives you huge returns when your stock trends strongly. Trend followers know this and accept it. If you want smaller drawdowns and a higher win rate, you should try swing trading. The tradeoff is you have to be able to accept smaller gains for the more wins you get. You can also, do both. Swing trade to generate income for your account and have stocks for the longer term if they are trending strongly and you can trend follow them.

 

We should know that the way the market follows trends, it also breaks trends as well.

 

trend is your friend except when it bends

 

This is so true!

I would call it the human cognitive deficit, as opposed to the more common human emotional shortcomings. We just don’t have the mental capacity to think of or foresee the extremities and the endless possibilities of market/price movements.

No wonder trading is so hard. Even if you get the market direction right the timing can be way off. Trends are usually choppy and scalping requires great skills, flexibility and discipline.