Preparing Your Mind for Technical Analysis
Before you plunge into risking hard-earned cash on securities trading, you have to realize that it’s not the security that counts; it’s the trade. Each trade has two parts — the price analysis and you.
Price analysis tools are called indicators, and you have to select the indicators that match your personality and preference for risk. But most people don’t know their risk preference when they start out in securities trading (which changes over time, anyway), so you have a chicken and - egg situation. By studying the kinds of profit and loss outcomes that each type of indicator delivers, you can figure out your risk preferences.
Good luck...
Before you plunge into risking hard-earned cash on securities trading, you have to realize that it’s not the security that counts; it’s the trade. Each trade has two parts — the price analysis and you.
Price analysis tools are called indicators, and you have to select the indicators that match your personality and preference for risk. But most people don’t know their risk preference when they start out in securities trading (which changes over time, anyway), so you have a chicken and - egg situation. By studying the kinds of profit and loss outcomes that each type of indicator delivers, you can figure out your risk preferences.
Good luck...
