Novice Mind


How a novice mind reacts to rise and fall of price.


This looks like a familiar story for many of us. The successful trader does exactly the opposite as stated below…….

He has something that gives him an edge over the others. He has that something that tells him when to get in,when to stay out,and when to accept a
mistake……..He has his charts and the knowledge of how to use it.

What are these charts?

A chart of Reliance is not the chart of the company,but the chart of the investor and trader emotions in that company. A chart tells us about the whole play of fear and greed,again and again,all over again.The chart of a particular time frame is therefore a study of fear and greed in the particular company or market in that time frame.A correct understanding of the charts,the changes in trends as signalled by pivots,helps us to do the exact opposite of what the novice does.We,instead,buy Fear and sell Greed.