The analysts tend to talk about their opinion on a particular move, on a particular action which has already occurred. Retail traders tend to soak up these opinions. They then tend to place trades based upon the supposed expertise of whichever analyst they are watching.
This is subjective trading… this is making a decision to enter a market based upon a personal opinion on where the market is headed. This is not how to become a trader. The market does not care for an opinion. It does not care for the perceived expertise of any analyst. The market will go wherever the market wishes to go. There is a great saying where the market can continue to move illogically for a lot longer than any trader can stay solvent.
We, at the Academy of Financial Trading, prefer objective trading. Trading where opinions do not matter. Trading based purely on technical analysis – on price action.
This is what we concentrate on as part of our educational trading courses. We focus on the specifics. We look to see how the most successful entities trade – the market makers, the institutional traders – and we copy their methods. This is the opposite of the action taken by retail traders.
For those who wish to become successful – look to become objective. Look to keep your emotions in check. Look to analyse price action. Look to act like the institution rather than the individual. For guidance on how to achieve this, we are available to assist and support for as long as is necessary. Participate in our Foundation Trading Programme and find out how!