Hello all,
It has been quite a long break that I took from writing on this site. It was an appropriate break to take after writing quite regularly for several years. When I look back at old posts from the past, I realize that my trading style and analysis methods and methodology have changed significantly. As set out in my “About Site” page, the main aim of writing articles here is to improve my analysis. Writing gives me a form of introspection. I am glad to say that I have fulfilled my aim of setting up this blog, and hope to continue doing so. It is always a work-in-progress; when trading becomes a passion, the learning process never stops. The set-up may appear very similar to another in history but there is always the uncertainty of the future. You can try to minimize uncertainty; you can try to make the future more predictable – but when the lines or candlesticks reveal themselves as time goes by, anything can happen.
During my break from writing, I still monitored the markets, and spent idle time thinking about analysis methods, psychology of trading, and the approach I had towards trading the market up until that time. All the thinking – which I see as very deep thinking, diving into the inner recesses of the brain, and akin to meditation – leads me to the conclusion that I should orientate my analysis towards a longer time horizon, and slowly morphing my trading strategy into the school of trend-following. I hesitate to write my reasons why I am growing stronger in the belief of trend-following: For one, I did not have exact point-forms in my head during my hiatus, therefore, it will take a longer time to pen it all down; and, I think it will be interesting if I leave it to my future posts for interpretation of why the way of trend-following.
Some may suggest that I may be implementing a heat-of-the-moment change that is irrational. The truth is that I have been slowly gravitating towards trend-following for quite a while. So happens that the hiatus I took last year signifies the change. Reviews of my past trading performances are prompting me to ditch short-term set-ups that I sometimes see as “get in and out, and make a quick buck”. This is not to say that all of the short-term set-ups I showed on this site over the years are redundant. Some of them proved successful, some did not. For what they are worth, they contributed to my trading experience and knowledge, and to my account too. I believe that I will still highlight non-trend-following set-ups but my heart will be with the trends. To put it in a better way, my money is on trend-following.
In some regards, trend-following is not that alien to what I have been preaching on this site. I have always been a firm believer that the trend is your friend, and I think trend-following counts money management as a close partner. However, there are certain changes that I will make when analysing charts and trading the set-ups identified.
With this post, I officially end my hiatus. Here is to wishing everyone a blessed New Year.
