The most Important graph of your life!

The most Important graph of your life!

The most important graph of your life!

Main Stages in a Bubble

==== Even if you are a New or a veteran trader, this is the most important graph of your life —– it is our bible pattern! It repeats so many times that it’s even laughable.

‘Laser tattoo’ this graph in to your mind. It appears and reappears in different time frames ,in the nano and macro price scale.

‘Tatoo it into your mind’

We have Three types of ‘Players—->

  • Smart Money
  • Institutional investors
  • Public

Four types of Phases——->

Stealth

In simple terms : People who do their homework or people who have “inside info”

Awareness

In simple terms : Other people who do their homework or people who have “inside info”

………….M—–A—–N—–I—–A………..

In simple terms : 

Winners – The stealth and Aware people who do their homework or have “inside info”-  EXIT & Get PAID  

Lossers – or people who “Didnt do their Homework” and/or “buy into the hype at the top”

Blow off Phase

 In simple terms : People who do their homework or people who have “inside info” start selling and make money off the fact that people didnt do their homework.

There are so Many examples that I just had time to show you one, the most hyped one! in recent memory. You guessed? yes, Facebook look for yourself:

BEFORE GOING PUBLIC 

FACEBOOK before going Public

 

AFTER GOING PUBLIC

Facebook Bubble

“In markets just as in life, we all tend to return to the mean” Dimitri F.


Definitions – Trader

´Back 2 Basics´

Definitions – Trader 

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Definition of ‘Trader’

An individual who engages in the transfer of financial assets in any financial market, either for themselves, or on behalf of a someone else. The main difference between a trader and an investor is the duration for which the person holds the asset. Investors tend to have a longer term time horizon, whereas traders tend to hold assets for shorter periods of time in order to capitalize on short-term trends.

Investopedia explains ‘Trader’

One main problem with engaging in short-term trading is commission costs. Because traders frequently engage in short-term trading strategies to chase after profit; they often rack up large commission fees. However, an increasing number of highly competitive discount brokerages has made this cost less of an issue.

SOURCE: Investopedia