Trading against the majority

trading with the majority or trading against the majority will make absolutely no difference if you don't have the money management skills. You can make money just as easily as you can lose money in following a trend. You can make money just as easily as you can lose money in going against a trend. People focus too much on how to time the perfect entries and exits. People need to focus more on money management which is crucial to success.

I find the trades that I'm most uncomfortable with are often my biggest winners. You could say the counter-intuitive trades are the most profitable. Example, "This market can't go higher" - it almost always does. Or how about "Whoa, this thing is flying, I better get long now" - and subsequently crashes. I guess that may be why the media get it wrong so often - they represent the "psychologically easy" view.

I hope Darkstar makes an appearance at FF sometime soon, it's just not the same around here...

95% of traders who fail usually all decide to trade against the Majority at the same time thus becoming the Majority again. Then they keep repeating the process until they eventually understand that the difference that makes the difference is to have the discipline to trade your rules and MM.

Happy trading
MM

Similar thread here....

Thread starter is advocating trading against the speculator faction of the CBOT futures for certain pairs.... Might be worth a look.

http://www.forexfactory.com/showthread.php?t=43990