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Wednesday 20 January 2010

The problem with directional bias....

What's driving me mad is I traded brilliantly at Support during the uptrend but haven't been able to bring myself to go short at Resistance during this downtrend. Yet when I look at my levels, both current and historical, I know how accurate those levels are and can see time after time how price works its way up and down from them.

Maybe I had TOO good a run going long and my old brain isn't agile enough to cope with the reversal. The other stupid thing is that I teach everyone to sell at Resistance and buy at Support, but be prepared for price to blow through these levels (that's what stops are for) but have found it hard to commit to contrarian trades.

2 comments:

  1. Turn your monitor upside down. That should make the price action look more comfortable and familiar to you. ;)

    ReplyDelete