I relate to the fear of shorts… my dilemma is fear of longs. lol
It seems that there are many people with similar attitudes…
I have dealt with this by developing charting that clearly depicts the trend and that seems to have cured my bias.
I relate to the fear of shorts… my dilemma is fear of longs. lol
It seems that there are many people with similar attitudes…
I have dealt with this by developing charting that clearly depicts the trend and that seems to have cured my bias.
Does this fear also happen when the market is on an uptrend and you’re trying to go long?
I am not laughing at you, i am laughing at the situation. Cause 98% of my profitable trades are actually shorts, and i am struggling to figure out why i am not profitable on the longs.
I don’t have any fear, it’s just that i spot more short opportunities,
That’s really interesting. I have sometimes the opposite fear. Maybe it’s fear of heights, or I’m just more of a permabear maybe =)
But it’s not bad to be afraid of shorting american indices for exemple, since the FED’s ‘‘not QE’’ is injecting so much money that the real dangers lies in shorting them…
Almost all of my trades are short. I guess I’m just a bearish trader or I just see the setups more clear to the down side
That’s wild!! When you did try to go long, how did you end up feeling? I have this fear of impending doom when I try to short
I think I just need to work on getting more comfortable with the market
I’m glad you’ve figured out a way for yourself!
Not at all - it’s only with shorts! I’m trying to figure out if this has anything to do with the trend visibly going down and my brain somehow making a connection that the trend is failing.
Once again, I think I may have work on my comfort level with the market. Not sure where this weird fear came from. I’m glad you’re finding success!!
I don’t consider myself a fearful person. I’m a fan of extreme sports and I have skydived before. I need to figure this out and move through it.
In Equities or commodities markets, short trades are generally harder than long trades, statistically less profitable, and indeed the sudden momentum with which bearish corrections occur can be much more sudden and drastic…and therefore much more unnerving.
…but in FX, this doesn’t apply…as someone has already suggested, if you see a short but can’t bring yourself to take it, then simply switch the ticker symbols around, and treat it like a long.
Perhaps being supportive of a ‘negative’ outcome just doesn’t sit with your psychology…it is after all kind of counter intuitive.
I really want to try inverting the chart - I just need to figure out how to do that on the MT4. Not sure if that’s possible.
Here is my take. Aim to keep it simple.
USE TRENDLINES TO OVERCOME YOUR FEAR OF SHORTS!
The beauty of trading is that we make money whether the market is going up down. So dont let that fear of shorts take that away from your trading.
Note : NO INDICATORS NEEDED
USE only D1 and H4 for your trend analysis and you can find entries on H1.
The main criteria here is to ensure that a downtrend is already established.
There are few ways to find out if a downtrend is already established but a simple 1-2-3 move down from an obvious high in a strong resistance zone should suffice. ( but you can also use the zig zag indicator to help you visualise these points if your eyes are not yet well trained. ( be sure to remove the zigzag indicator after connecting your first two lower highs- keep your chart clean! ).
Now this could well be a big retracement in a overall up trend or it may well be the start of a new down trend.
Or it may well be an established downtrend…
it is very useful to know which of these scenarios you are actually trading
Let’s keep it this way to keep this simple
So on the H4 you have a trend line connecting the outer upper ends of the two new lower lows.
One way to visualise this is to imagine you are walking down a flight of stairs.
Think of the “diagram” or side view of the flight of stairs going down if you sketched it. We are looking for the first two steps at the top…
Hope this makes sense ?
When looking for trade entries going short, only aim to take trades at or near this trend line… ALWAYS WAIT for a retracement which prices fall initially with the trend then rise back to approach the trend line.
Now at or near the trend line, you are looking for candle stick patterns showing “rejection” or bearish continuation signals.
Another simple yet very powerful concept is looking to see if this zone on your chart corresponds to an area of previous support now turning to resistance at or near that trend line…
Also if that area corresponds to a Fib retracement level 31.8, 50, 68.1 then even more confirmation to confidently take a short…
These are multiple confirmations that the down trend will continue…
Place your stop using 1 or 1.5 ATR from that level.
As long as the price keeps closing below your trendline, keep going short.
Again your best R:R is taking trades at or near the trend lines after retracements.
Only downside is that trendlines are very subjective… no perfect way to draw them. But practice, practice practice,
I hope this helps.
I have a telegram channel where a do a bit more teaching. I am not sure if I am allowed to post a link here…
But if any one wants a link to my channel, PM me…
If you’re scared the market will turn around maybe you are planning to enter at the wrong price or you are trading too big position size. Before entering your trade, check economic calendar and check stochastic.
please kindly contact me i have a strategy to that
Why don’t you share the strategy here so we could all check it out? I think that would be super helpful!
That is so interesting!!! Are there things like this in your life outside of trading where it almost seems irrational to think like that?
Thank you so much!!!
I always check calendar and the oscillators before entering any trade. I really don’t have a rational explanation for my fear Signs point to a good trade and a good entry. Then my mind goes: