In This Chapter:
Navigating the “wiggle” of the trend
Using the best cycle timing tool
Looking for the final low or the final high
In my work training traders, I find that one of their most common problems is timing the market. In fact, most traders I encounter don’t have a solid education about how to time their entries and exits. When I look at their charts, I often see so many indicators that their charts are cluttered and confusing. However, even with all the various indicators they employ, they have no timing indicators or tools at all.
To be successful at trading, you have to create a methodology that establishes a probability scenario that favors you, which is what makes trading different than gambling. But a chart is a two-dimensional object. The right axis measures price, and the bottom axis measures time.
Traders who don’t incorporate the element of time into their trading are neglecting fully 50 percent of the information on a chart. You can’t develop a probability scenario when you ignore fully 50 percent of the vital information. (And what’s more, many traders argue that time is actually even more ...