June 6, 2011

Find the Balance: The Yin and Yang of Forex Trading

Find the Balance: The Yin and Yang of Forex Trading

Damage is part of the battle, recovery is essential , victory is the objective - Sun Tzu, Art of War
Karate Chi

Yin Yang. 

Action and reaction. Impulse and Corrective wave. Profits and Losses. Positive and Negative. Duality exist everywhere.

Dian L. Chu, the market analyst and author of EconMatters wrote:

"The theory of quantum mechanics and Einstein's theory of relativity (E=mc2) have taught us that matter (yin) and energy (yang) are inter-related and interdependent.
This interconnectness of all things is the essense of the concept "yin-yang", and Einstein's fundamental equation: matter equals energy." 
Supernova: Knight, Princess and A Shooting Star

I started to learn about the quantum mechanics when I read about Supernova: Ksatria, Putri dan Bintang Jatuh by Indonesian author Dee.

It is a great novel on quantum psychic. It described: Mandelbrot, fractals, chaos theory and messiah concept in a spectacular way.

Since then, I am interested to learn more about the Bill M. Williams chaos theory trading methodology.
Bill's indicator consist of: Alligator, Fractals and Awesome oscillator and the basis of the methodology is the chaos theory.

However, whatever your trading method is always remember this important concepts:

  • Find the order in chaotic market with Market Rhythm
  • Stop trading when you hit the certain loss in a row. Take a rest. Re-balance yourself.
  • Accept that a loss is the part of the game.



Share This

No comments:

Post a Comment

About ArrowFX

Technically analyze the forex market mainly on USDJPY, EURUSD and GBPUSD by using market rhythm method started by Philip Nel on Forex Factory. The thread started on 2007 and still alive.
Designed By Blogger Templates