Tonight’s video from Michael Covel is all about probabilities. He explains how according to Larry Hite who was featured in ‘Market Wizards’ from Jack D. Schwager everything revolves about having an edge. If you have an edge and if you keep making good bets as opposed to bet on chance over time you will come out ahead.
What kind of an edge does a trend following trader have?
- The trend is your friend. The underlying trend accounts for a great percentage of a stock’s performance.
- If a stock has no overhead resistance and the trend of the underlying sector is up this increases your odds for potentially strong and explosive moves.
Stick to good bets where odds are on your side.
Have a great evening!