BULLS, BEARS and BIG PICTURE

One of the things I have learnt over the years is: always know what the big picture looks like. It is always easier to go with the trend than against it. Of course you have to know what is the RIGHT BIG PICTURE for your kind of trading.  Although 90% of all my trades is based on M1 I look at bigger time frames to find out who am I going to stand against.

Let's take a closer look at EURUSD pair. In a long run I am a bear but does it matter now? What matters now are only levels a the activity around them. Judging by these two factors I prefer to be more BULL than BEAR {lets say 70/30} as long as 3000 level holds {big picture}. Another key level is 3300 and after that 3200. Anything what happens between these levels is a range for me and I would like to see more action coming out of this zone. Above 3300 my BULL/BEAR ratio extends to {lets say 90/10} up to 3385 from which point I need to see more action and I am 50/50. I can carry on like this on and on.

What is my message? We have to have plan for our biases to stay above all the emotional mess which comes in while trading. Knowing ahead when our perception changes is a one of the advantages which can help us to stay on track. Everything have to come out of context so be ready to change your BIAS quickly if the price comes in a different phase than you expected and next time you look at your charts ask yourself – where are my ZONES and observe how quickly you can change them.