When market shift from one Phase to Another, tools used to trade in one phase may or may not work in another phase.
For this purpose we should have:
- Different tools to trade in different phases
- Knowledge to identify a regime change in advance.
Market movement have two components direction and volatility. These two together creates four possible combinations.
FOUR POSSIBLE COMBINATIONS:
1: Strong Trend
2: Choppy Trend
3: VOLATILE RANGE
4: NARROW RANGE
FOUR POSSIBLE COMBINATIONS: PROFITABLE SETUPS