Sunday, March 7, 2010

Trend Following

Trend Following means that if the market is moving strongly in a particular direction, then you look for a good place to enter, in the direction of the current strong movement.

Counter Trend or Fading means that if the market is moving in a particular direction, then you look for a good place to enter, as you predict that the strong move is about to end, i.e. the market could be overbought or approaching strong resistance.

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