The Number One Principle for Successful Trading

TLDRUnderstanding the behavior of the market and trading based on the candle's movement is crucial for traders.

Key insights

📈Believe that the candle will close bullish or bearish and trade accordingly.

📉Look for supporting evidence and confluences to support your trading decisions.

🔄Trade in the direction of the market's behavior and sentiment.

🔍Scale down to lower time frames to analyze the sentiment and look for trading opportunities.

💡Focus on the process and the belief in the market's behavior rather than winning or losing trades.

Q&A

How do I determine the behavior and sentiment of the market?

Observe the candle's movement, trend lines, and support/resistance levels. Look for confluences and supporting evidence.

How long should I trade during a single candle's duration?

Trade for the duration that you are active and present in the market, which is typically 2-3 hours.

What if the market moves in the opposite direction of my trade?

Stick to your belief in the market's behavior and accept losing trades as part of the process.

How do I apply this principle to my trading strategy?

Incorporate the understanding of the market's behavior and sentiment into your existing strategy. Use technical analysis and confluences to support your trading decisions.

Can I apply this principle to different time frames?

Yes, the principle applies to any time frame. Just adapt your analysis and trading decisions accordingly.

Timestamped Summary

00:36Understanding the market's behavior is crucial for successful trading.

04:58Trade based on the candle's movement and the sentiment of the market.

08:30Look for confluences and supporting evidence to strengthen your trading decisions.

10:33Maintain your belief in the market's behavior and use technical analysis to find trading opportunities.