📌 A very common problem in trading
You buy → the price goes down 😅
You sell at a loss → the price goes up 🚀
Why does this happen? The answer: Because they confuse rebound, correction, and trend.
🔹 1. Rebound:
A small and temporary movement against the direction.
Example: The price drops from $180 to $145, then rises a bit to $155 → this is a rebound but doesn’t mean it has returned to the upward trend.
🔹 2. Correction:
A movement larger than a rebound that lasts for days or weeks. However, it is also temporary and does not change the overall direction.
🔹 3. Trend:
The main direction of the currency:
Upward 📈 (the price generally rises)
Downward 📉 (the price generally falls)
Sideways ↔️ (fluctuation without a clear direction)
💡 Advice:
Don't buy just because you saw a small rebound, wait to see the trend clearly first. The trend determines your plan: to buy or sell.
