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RE: SEC S18-W1 || Mastering the Markets with technical analysis

in SteemitCryptoAcademy6 months ago

Trading with the trend is one of the principles of Warren Buffet and it is really the right and profitable way to trade.

In my opinion, trading with the trend is indeed a sound strategy. As a trader, by following the market's overall direction, we can align our positions with the prevailing momentum, which often leads to more consistent and profitable outcomes. It helps in minimizing the risk of going against the market's natural flow, making trades more reliable and less prone to sudden reversals.

When we use technical analysis indicators on the chart we should use a combination of at least 2-3 indicators.

I think this is a very practical approach to technical analysis. In my experience, using multiple indicators can provide a more comprehensive view of the market. Each indicator has its strengths and weaknesses, so combining them helps confirm signals and filter out noise, leading to better-informed trading decisions. It ensures that traders are not overly reliant on a single source of information, which can sometimes be misleading.

Support level is the minimum price of an asset which cannot drop down below support level.

As far as I know, the concept of support levels is crucial in trading. These levels act as psychological barriers where buying interest tends to overcome selling pressure, preventing prices from falling further. As a trader, recognizing and understanding support levels can help us make strategic decisions about where to enter and exit trades, as well as set effective stop-loss orders to manage risk.

Good luck

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