The financial markets, like many other things in life, go through cycles. One of the challenges in trading is choosing the appropriate trading method for the current market cycle/condition. For example, a trend following method works well in a trending market, but performs poorly in a range/irregular market. Similarly, a method based on S/R levels work very well in range/irregular market and performs poorly in a vertically trending market. So basically, you need to have a set of tools (aka trading methods) in your toolbox, and choose the right tool for the right market condition. I usually start by identifying the market cycle/condition before choosing the right trading approach.
I am including the current EU chart as an example.
I am including the current EU chart as an example.
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