The legendary woman who was reborn from the ashes

Chapter 38 Resonance - The Secret to Successful Trading

In the battlefield of trading, a successful trading strategy is like an excellent conductor who can accurately capture the pulse of the market. Among them, the resonance strategy is like the conductor's secret weapon, which harmoniously integrates various factors, thereby greatly improving the success rate of trading.

The market trend is like the tide of the sea, with long-period big waves and short-period small waves. Cycle resonance is to find the common direction among these waves of different cycles.

For example, when you see the crossover signals of EMA120 and EMA30 on the daily and hourly charts at the same time, it is like two waves in the sea surging at the same time, telling you the direction of the trend. This resonance is like a chorus in the sea, making traders more certain of their decisions.

Let's look at the indicator resonance. It is like the various instruments in the band, each of which emits a beautiful melody. When these melodies blend harmoniously together, a strong resonance is formed. In trading, this resonance comes from different technical indicators, such as MACD, RSI and Bollinger Bands. When they point in the same direction at the same time, it is the call of the market, telling you that now is the best time to enter the market.

However, the conductor must not only understand the harmony of musical instruments, but also know how to perfectly combine music with rhythm. In trading, this is the combination of cycle resonance and indicator resonance.

You can choose a long cycle as the main theme of the transaction, and then use the resonance signal of the short cycle as the rhythm of entering the market. In this way, you are like mastering an invincible symphony orchestra. No matter how the market changes, you can stay calm and move forward steadily.

The resonance strategy is not omnipotent, and it can fail sometimes. But as long as you keep learning and practicing, and constantly adjust and improve your strategy, one day you will become the conductor who controls the market.

Successful trading depends not only on technology, but also on your understanding and perception of the market.

If you are standing on the podium of a large symphony orchestra, holding the baton, ready to lead a wonderful performance. Every musician is ready, the instruments are tuned, just waiting for your order. This is the resonance state in trading-all elements are ready, waiting for the best time to play the movement of success.

First, let's consider periodic resonance. This is like the various instrument groups in a band - strings, woodwinds, brass, etc. They play in their own rhythms, and when they reach resonance at a certain rhythmic point, the harmonious sound will be shocking.

In trading, when the large cycle and the small cycle resonate at the same time, it is like a group of musical instruments finding a common rhythm. This is the best time to enter the market.

Next, let’s look at indicator resonance. It’s like a soloist in an orchestra who finds his or her place in the orchestra and resonates with the entire orchestra. In trading, when we resonate with our trading indicators, just like a soloist finds harmony with the orchestra, we can also grasp the pulse of the market more accurately.

In addition, the resonant combination of cycles and indicators is like the orchestra conductor's precise control over each instrument group and soloist, allowing the entire orchestra to play the most beautiful music in the best rhythm and timbre.

In trading, when the large cycle forms a dual indicator resonance, it is like the conductor determines the overall direction of the orchestra. We can choose the cycle resonance in the same direction in the small cycle to enter the market to ensure that our trading direction is consistent with the market trend.

Of course, we must not forget the resonance between fundamentals and technicals. This is like the composer of an orchestra, who creates a score that perfectly combines with the orchestra by deeply understanding the connotation and emotion of the music.

In trading, after we determine the market trend through fundamental analysis, and then combine it with technical analysis to find entry opportunities, just like an orchestra playing according to the score, our trading will be more accurate and successful.

When you stand on the big stage of trading, holding the baton in your hand, and guide your own trading orchestra to play a successful movement through precise resonance analysis, the sense of accomplishment and satisfaction will be indescribable.

We use wisdom and courage to find those resonant opportunities to make the trading movement more beautiful and shocking!

Suppose we are standing at the crossroads of investment, facing the vast sea of ​​stocks, how can we seize the fleeting opportunities and reap the full rewards? The answer lies in the wisdom of resonance analysis.

You hold a fine tuning fork in your hand, and each cycle and indicator is like a note on a string. You need to adjust it carefully to find the most harmonious resonance.

Just like the chords in music, only when the notes resonate harmoniously can a beautiful melody be created. Similarly, in the investment world, only when fundamentals and technical aspects are perfectly integrated can we understand the pulse of the market and capture fleeting opportunities.

Fundamentals, like the stability of the earth, provide us with the foundation for investment; while technical aspects, like the weather vane in the sky, guide us to grasp the trend of the market.

However, intelligent analysis alone is not enough, we also need firm trading beliefs and strict discipline. Imagine a dancer, light and graceful on the stage, every turn and every jump is full of power and beauty.

This is because the dancer has strict training and iron discipline behind her, supporting her to fly freely on the stage. Similarly, we also need such faith and discipline in trading. They are our anchor, ensuring that we remain calm and stable in the turbulent market.

Let's take an example to illustrate. If you are an investor who is keen on the stock market, you can choose to conduct resonance analysis on a monthly basis, observe fundamental indicators such as stock prices, trading volumes, and price-earnings ratios, and combine them with technical indicators such as trend lines and MACD for analysis.

When these indicators resonate harmoniously, it is the perfect time for you to make a move. At the same time, you need to set a clear trading plan, such as the stop loss point and take profit point for each transaction, and strictly follow the plan, and do not violate your trading discipline due to temporary greed or fear.

Through such resonance analysis and disciplined trading, you will be able to weather the ups and downs of the market and reap the fruits of your investment. Remember, investment is not a sprint, but a marathon.

Only by maintaining endurance and a steady pace can we reach the end and harvest the trophy. So, let us hold the baton of investment tightly and write our own glorious chapter with wisdom and discipline!

When choosing long-term bull stocks, Jiang Juan pays most attention to the resonance of various cycle technologies.

Case: In May 2020, China Duty Free Group was in a strong zone in terms of technical indicators, moving averages, and trading volume at daily, weekly, and monthly levels, and it was just starting out. This was the resonance of technology. At that time, the fundamentals also changed. The harmony of fundamentals and technical aspects resonated at the same time, causing the price of this stock to reverse by more than 5% in 10 months. This is the power of resonance. Investors can review and study to deepen their understanding.

(The above cases are all past tense and are not investment advice)

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