What Does It Mean To Bet Against The Herd ???

Nope. Not if its controlled within certain parameters. Clearly, uncontrolled will kill you.

 

To bet against the heard means to bet against you.

 

betting against the herd works when the price make a big upside/downside move with momentum, consolidates for a while and then reaches another high/low with momentum after you have 100% believed that the high/low for the day has been put.. key is to be patient knowing that you only have a 10% chance to catch the near top/bottom...

 

no kidding, figure out what makes most sense, and what most experts are telling you, then just do the opposite

 

10% ? come on, you can do better ..

 

So what if price plummets before you had a chance to scale in?

 

Your properly positioned sized with only 25% of total size if you planned 4 entries to scale to 100% size or whatever, so its way better than going all in on some goofball inflection point or whatever. surf

 

Some very profitable traders investors who bet against the herd:

John Paulson on mortgages
Warren buffet American Express trade in the 70s, bac trade in 2011, Goldman trade in 2008, and a bunch of others
Paul Tudor jones short in 1987
David teppers 300percent return in 2009 by buying bank stocks

 

I would venture to say ALL ultra profitabe traders bet against the herd.

 

I have never tried to bet against the herd since I usually trade following the trends. I think that going against is too risky for me.