The meaningful trend
Trends can have a real reason and they can emerge by random. Both variations look similar in the chart, but they are different. True trends with a real reason, a driving force behind it, have a much higher probability to go ahead. They gave this site its name as the symbol Sigma is associated with volatility, validity, and quality.
Chart readers believe otherwise with thinking everything is in the chart. So true and so wrong. Of course, every cause that influenced the price is in the chart. But the chartist doesn't know what causes had done what effect by just looking at the chart and so they don't know whether these will be still at work in the future.
Evangelists of fundamental analysis believe also otherwise. They ignore the chart completely. Everything seems to be elsewhere for them. Let them dream their dream. The practitioner knows that the market over and over demonstrated that it had known something before our smart fundamental analyzer did.
Trend trading is more lenient with another investing parameter, and that is valuation. We leave the magic number crunching of false and missing information to our dreaming investors.
There are two ingredients for trend trading with the Trend Sigma system:
For part two, the trading system, there are vastly different principles possible. Let us have a look at two:
The markets are tough. A little success is offered to many, but only few can rake in huge profits. The trend beast is your best chance and with a Sigma trend you come one step closer to tame and milk it.
So, how to find such meaningful trends and trade them the right way? It is simple...
Make the right investment now and transform yourself into a successful true trend trader.