Trading is a game of probabilities, so we have to use probabilistic thinking in our decision making process.
Its the game of if , This and that. When you have a level only two or maybe even more things can happen as price approaches your level
- Price can either use your level as support and maybe you want to buy/long it
- Or it breaks through that level and use it and resistance and you might say okay i am going to short it or you expect some downside from it as long as its below your level.
There will be some people who will say ohh its up or down. This guy just said its going up or down. Don't worry about them, They know nothing about the market. They have got a lot going on in their life, Losing money trading this is why they are that stupid and they need someone to pile on them. Don't worry ignore them.
You are here to make money and you have to consider those If , this , that probabilities. Someone who truly understands that trading is a game of probabilities and each outcome is going to be determined by
If this happens i will do this If that happens i will do that
Just lay out the probabilities and determine which one is most likely then manage your risk accordingly.
Keep focusing on your learnings and i am always here with you to help you and guide you.
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