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Rise of the Mid-trend Trade

In: STOCKS and FOREX TRADING HOW TO WIN

Author

Listed:
  • KAREN WONG
  • DARYL GUPPY

Abstract

Many traders believe the trend is your friend. Like any good friendship and any good trend, where it might end is anyone’s guess. Taking a trade at the very beginning of a trend on the assumption it will take off is a high-risk activity but it offers the maximum profit potential. Waiting to enter a trend after it has had some time to establish itself increases your probability of achieving your Profit Target but reduces your overall profit. Managing these conflicting expectations is a challenge for all traders. Go for the large profit or go for safety and a smaller profit?…

Suggested Citation

  • Karen Wong & Daryl Guppy, 2021. "Rise of the Mid-trend Trade," World Scientific Book Chapters, in: STOCKS and FOREX TRADING HOW TO WIN, chapter 9, pages 69-72, World Scientific Publishing Co. Pte. Ltd..
  • Handle: RePEc:wsi:wschap:9789811236877_0009
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    More about this item

    Keywords

    Trading; Stock Trading; FX trading; Currency Trading; Forex; CFD; Security Trading; Trading Games; Daryl Guppy;
    All these keywords.

    JEL classification:

    • G11 - Financial Economics - - General Financial Markets - - - Portfolio Choice; Investment Decisions
    • G1 - Financial Economics - - General Financial Markets

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