Being able to Read the Real Language of the Market Clearly
The system we are proposing is based on technical analysis and it proposes to interrupt the flow of stimulus that feed a persons ego, through rigorous application of a procedure that is based on indicators of statistic inertia. In synthesis, the system will consist on a precise sign of purchase, which will be based on the statistic determination of a confirmed ascending tendency. This system rarely indicates to buy in the lowest point of inflection, but when it gives the green light, it is because there are very high probabilities of obtaining a good result due to the inertia of the outlined tendency. Anyone that makes their purchasing decisions too soon will be turning the stock market into a gamble and in this way increase your risk unnecessarily. Then, the cycle of development starts, which should be followed very carefully to bid off the stock when it has matured and is about to be expired from its ascending cycle. The real key of success will be in buying at the entry since if that stock has an ascending development, the decision of selling turns into an entertaining sport. Given that in that moment one already has a margin in his favor, this activity is not critical, since it is supposed to be trying to obtain the maximum margin, or in the worse case, obtain a margin from all the positives but just a little bit less. The system, besides this, will provide precise signals to leave the market in case unexpected debacles occur. The systems are based on the numbers at the closing of the day. This is the real language of the market. Objective numbers do not lie. The series of time, made up with indicators shows where the market is going towards. To read the closing numbers, as opposed to fundamental analysis, is a very simple job that can be done by anybody. With the proposed system it will be easy to understand its meaning. But the job that is really difficult will be to respond and act according to the orders given by the system to put them into concrete transactions. If the system orders that it is time to go in, then do so. If the entrance of the last closing information says to get out, then do so. Acting according to consequence will mark the difference between a winner that has overcome his ego and the market, or being one more of the losers in the mass that allow this game to continue on forever.
