GOLD BULL Move Explained - Why I THINK Traders Stay LOSING!
What's up folks, so this is an update video just to explain why I think gold did what it did. By no means is the the 100% only way and there are thousands of ways to approach this, but this is the way that works for me and I think it makes sense. I will continue to say Everything about what I think could be absolutely wrong which is completely fine with me but so far it seems to be working and has been doing so for approach 8 years now.
I think most traders simply do not think about their analysis long and hard enough, they don't try to understand why they see what they see. Even if they lose a trade they don't try to break down that loss and figure out what they could have done better or different. The Gold market loves traders like this as they are easy targets. Gold has no problem taking you for all that you have and then some more.
The signs that gold was going to continue to buy were as follows:
- Still a bull market overall (higher timeframe)
- Currently a bull market from Oct 6th 2023 (lower timeframe)
- The dealer would have been validating\inducing sellers on this recent move downward
- People for some reason would be convinced that the war would cause gold to sell (I really don't understand where this belief is coming from btw)
- Traders thinking because it is at a high that it has to drop (meaning liquidity from sellers would be injected)
- Multiple news events being released over the last few days making traders believe that that would be the catalyst to cause gold to drop (induction)
- Traders believing that they just need to go against the direction to get the best possible entry (this is conditioning that the dealer would have worked really hard for years and years to establish)
- Traders not understanding that a basic technical analysis is not enough to decipher what is actually happening causing them to see false moves that really aren't there
and I could probably go on and on.
But all in all I really want to drive home the idea that your analysis is supposed to give you complete faith in yourself. So much faith that you should be willing to back up your claim with your money and that is where executing the trade comes in. One thing you cannot do is be bouncing around from going bullish to bearish etc etc.
If you weren't solid on a direction gold probably would have dealt with you some time this week
But let me stop here.
Have a great day guys
:)
I think most traders simply do not think about their analysis long and hard enough, they don't try to understand why they see what they see. Even if they lose a trade they don't try to break down that loss and figure out what they could have done better or different. The Gold market loves traders like this as they are easy targets. Gold has no problem taking you for all that you have and then some more.
The signs that gold was going to continue to buy were as follows:
- Still a bull market overall (higher timeframe)
- Currently a bull market from Oct 6th 2023 (lower timeframe)
- The dealer would have been validating\inducing sellers on this recent move downward
- People for some reason would be convinced that the war would cause gold to sell (I really don't understand where this belief is coming from btw)
- Traders thinking because it is at a high that it has to drop (meaning liquidity from sellers would be injected)
- Multiple news events being released over the last few days making traders believe that that would be the catalyst to cause gold to drop (induction)
- Traders believing that they just need to go against the direction to get the best possible entry (this is conditioning that the dealer would have worked really hard for years and years to establish)
- Traders not understanding that a basic technical analysis is not enough to decipher what is actually happening causing them to see false moves that really aren't there
and I could probably go on and on.
But all in all I really want to drive home the idea that your analysis is supposed to give you complete faith in yourself. So much faith that you should be willing to back up your claim with your money and that is where executing the trade comes in. One thing you cannot do is be bouncing around from going bullish to bearish etc etc.
If you weren't solid on a direction gold probably would have dealt with you some time this week
But let me stop here.
Have a great day guys
:)
