One way to trade that puts the odds in your favor, is by trading with the trend, when the price is moving in the direction of the trend.
In an otherwise typically quiet Monday market, the price of Crude Oil is up almost 1.7% since this week’s open, as at the time of writing.
Last Tuesday I recommended keeping an eye on the price of Bitcoin, as it was approaching its all-time high price, which can often provide exciting trading opportunities in the direction of the breakout when reached.
It is less than one month ago since the world was fearing the crash of Bitcoin – though some were clearly hoping for it! It fell fast, but bounced strongly at $3,000.
I try to keep an eye on the trading systems which are being discussed on various Forex forums around the web. Most of what you can find is junk, but sometimes even the junk systems help you to think about things and maybe learn something.
See the price chart below? It’s a daily chart of the S&P 500 Index, an index tracking the weighted performance of the five hundred largest publicly quoted U.S. stocks in terms of market capitalization.
It usually pays off best for new traders to focus on making a few big winning trades and not worrying too much about lots of losers, provided the wins are big enough.
It is interesting that the Spanish government chose to use police yesterday to try to prevent a vote taking place, instead of just refusing to accept any possible vote in favor of Catalan independence by declaring it illegal, as they have declared it illegal anyway.