Everyone has a Suitable Market condition where they will perform at their Best.
#Thread on Market Phases Based on Pure Experience over last 3 Years.
1/n
#Thread on Market Phases Based on Pure Experience over last 3 Years.
1/n
Phase 1 :
The Rally :
Market Gives One sided Uptrend and Not much Whispaws & Minor Pullback.
Easiest Phase to Make Money.
(Aug/Sep 2021, July/Aug 2022, and many Other Rallies)
2/n
The Rally :
Market Gives One sided Uptrend and Not much Whispaws & Minor Pullback.
Easiest Phase to Make Money.
(Aug/Sep 2021, July/Aug 2022, and many Other Rallies)
2/n
Phase 2 :
The Price Correction.
- Market Gives One sided Downtrend with Minor Whispaws/Pullbacks.
(Feb-March 2020),
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The Price Correction.
- Market Gives One sided Downtrend with Minor Whispaws/Pullbacks.
(Feb-March 2020),
3/n
Comparatively difficult Phase to make money as Naturally corrections create Panic, VIX Rises a Bit & Volatility makes things complicated from execution Perspective.
4/n
4/n
Phase 3
The Time Correction
Two SubTypes :
1) Small Range Time Correction
- One of the Most Difficult one for directional traders to survive.
- Range Can last for 3/4 Months easily.
- Smaller Doji Candle, Continuous Gaps within Range Makes it Even more Difficult to Trade.
5/n
The Time Correction
Two SubTypes :
1) Small Range Time Correction
- One of the Most Difficult one for directional traders to survive.
- Range Can last for 3/4 Months easily.
- Smaller Doji Candle, Continuous Gaps within Range Makes it Even more Difficult to Trade.
5/n
This Phase is Heaven for Option writers as it's easy Money.
Option Buyers face lots of Problems here. & More the Time Compression lasts, Brutal it gets. (June-July 2021)
6/n
Option Buyers face lots of Problems here. & More the Time Compression lasts, Brutal it gets. (June-July 2021)
6/n
2) Big Range Time Correction
- Bigger Range & High Volatility
- Gives Lots of Opportunities Everyday to Catch Many Big Moves Intraday or UltraShort term positional player who knows how to Play a Range.
7/n
- Bigger Range & High Volatility
- Gives Lots of Opportunities Everyday to Catch Many Big Moves Intraday or UltraShort term positional player who knows how to Play a Range.
7/n
This is Best Phase For Intraday Traders who are Skilled at their Game. Option Buyers can Make Huge here.. especially Intraday.
(April-May-June 2022,
Dec-Jan 2023)
8/n
(April-May-June 2022,
Dec-Jan 2023)
8/n
Now, The Question Comes :
Which is the Best Suitable Phase for you. If you've traded Actively in last 3 years : You'll Instantly Know where you can make Max Profit & More Importantly in which Phase have you made Losses.
9/n
Which is the Best Suitable Phase for you. If you've traded Actively in last 3 years : You'll Instantly Know where you can make Max Profit & More Importantly in which Phase have you made Losses.
9/n
The Conclusion of the Story is :
Know yourself in which Market Phase you can Hit hard, Make good Money in that Phase : & most Importantly Stay Defensive in Difficult phases where you know it's not your Stronghold & Chances of You making Losses there are Ultra High.
10/n
Know yourself in which Market Phase you can Hit hard, Make good Money in that Phase : & most Importantly Stay Defensive in Difficult phases where you know it's not your Stronghold & Chances of You making Losses there are Ultra High.
10/n
Tread/Trade Lightly the Bad Phases & wait for your Favourable Conditions to come & Hit it again.
Repeat this Cycle as Many times as possible Each time with More Efficiency and Precision as possible.
11/n
Repeat this Cycle as Many times as possible Each time with More Efficiency and Precision as possible.
11/n
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