| Does the trading system you're using right now do an accurate job focusing your attention on the right side of the market to be trading? If so, does it convey something about the scale of the trade you might consider pursuing; a Scalp as opposed to a Position Trade, for example? And if it does both of those things well, does it also specify a clear and compelling methodology for how to enter the trade with limited risk? If you answered 'yes' to all three of the preceding questions, we'd like to congratulate you, because you're definitely ahead of most of your trading competition. But if you answered 'no' to any of those questions, know you're not alone. There are a lot of gimmicky or just plain confusing trading methods out there that don't point you in the right direction at the right time for the right duration. But, fortunately, it doesn't need to be that way. The Parabolic SAR Triple Screen trade is an excellent way to read the market in a reliable, reasonably objective and mechanical fashion; and I believe that among all the alternatives, it best and most efficiently implements the concept of Top-Down analysis. To see an illustration of how this method allowed you to correctly identify a counter-trend scalp long opportunity on the AUD/CHF pair on Monday of this past week, please use the following link (for which you will not need to provide a user's name or password): www.forexmentor.com/swingtrader/update/20120526 |
