Jin Yanxin: How do top foreign exchange traders judge trends!

　　foreign exchangeHow to determine the direction of the trend? This is the first step of technical analysis, and only after a clear judgment of direction can the following analysis be conducted. Trends can be divided into two types: upward and downward. Therefore, Teacher Jin combined Dow theory and Livermore's ideas to determine the direction of trends.


The judgment of trend direction is closely related to the level of trading conducted by traders. I am engaged in short-term, medium-term, and long-term trading, and need to analyze the trend direction in each cycle. If the new price rise exceeds the high point of the previous downward trend rebound, I define it as a new upward trend established.


Similarly, if the newly arrived price drops beyond the low point of the previous upward trend correction, I believe that the downward trend is established. This method of judging trends is relatively simple and effective in practical application.


However, it should be noted that when an upward or downward trend is established, it does not mean that trading can be entered immediately. I will wait for the price to retreat and enter the market when it breaks through consecutive key points again. Combining key points with adjustment forms is very effective.


This is also what I often emphasize to students that high and low points are important, and whether you can seize this position will depend on the size of your profit.


There are also many requirements for breakthroughs: to determine whether a breakthrough is true or false, and whether it is an effective breakthrough, investors need to be patient and observe for a period of time after the exchange rate breaks the trend line. If the exchange rate continues to develop in the direction after the breakthrough for two consecutive days, such a breakthrough is an effective breakthrough. Of course, there will definitely be a strong bull pattern on the moving average, and this is a safe time to enter the market. At this point, due to the clear direction, investors have a greater chance of winning profits.


Breaking through the trend line can help investors find better entry and exit points and opportunities, and better grasp the trend of the foreign exchange market. For investors, learning to correctly judge the true or false breakthroughs of trend lines can avoid many market traps and truly improveForeign exchange transactionsProfitability.


Therefore, investors need to first position their trading level and then judge the trend direction in the corresponding cycle. Trading with a direction is the key to not turning around. Finally, I would like to say to everyone: trading in the direction of the general trend is reassuring, trading against the trend is always like stealing money, risking the risk of the next life, and how much profit can you make.


My investment philosophy is: rules1: Understand what you holdfutures


Rules2Making economic predictions is futile


Rules3Don't worry about the index


Rules4Don't be impatient, you have plenty of time


The above is my viewpoint, hoping to help everyone


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