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Strategies & Market Trends : Buy and Sell Signals, and Other Market Perspectives -- Ignore unavailable to you. Want to Upgrade?

To: KingHigh who wrote (16825)	4/6/2011 5:50:03 AM
From: GROUND ZERO™	Respond to of 219177

As a general rule, whenever one of my buy or sell signals is confirmed, it get confirmed with a violent blast through it as if the market broke through some sort of invisible membrane... Of course, without the model as a guide to navigate through these markets, those buy and sell points look like the absolute worst places to go long or short for a new trade, but this is how the eye can fool us... this is why when a new buy or sell signal is triggered, most traders are either selling into that new buy signal or buying into that new sell signal which is of course precisely the wrong thing to do at that time since the model is telling you the trend has actually changed direction at that moment... this is the beauty of the model, it catches traders completely wrong footed, this adds to the relentless and violent move in the market as all those stops are hit and all those wrong footed traders are scrambling for the same exit... no doubt, as well, the model's buy and sell points are apparently also where the majority of stops have gathered... GZ