How to avoid making the mistake of buying into a downtrend and selling into an uptrend

First of all, place a 200 Daily Moving Average on your chart.


Place it on Daily (or even better: Weekly)


Now commit that to memory. Visually determine if your Currency Pair is bullish / bearish on the weekly by looking at the 200 DMA.


Now, you see what people do (ALL THE TIME) they buy at these asterisks *, when they should be selling at the pink arrows, as designated by the trend.

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And conversely, they sell into uptrends too.



That's it. You will perhaps note the media / news event will help sway your mind. So avoid that. Look at the trend.


The trend is definitely your friend.

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