Efficient risk management is what makes a trader win over time! You win not by chasing a move, but by anticipating it!
Because anticipation enables you to find a fitting risk/reward setup for the current market situation. You don't let greed lead you nor do you let fear determine your actions.
The biggest issue with chasing a move is finding a suitable setup. Where is your stop loss going to be? A logical point would be somewhere slightly below a former resistance level.
But remember, when chasing a move it is already half done probably, so what is your risk to reward going to be? 1:1? 1:1.5? Certainly something far from optimal!
So timing your entries is an absolute necessity to survive in the currents of the market over the long term!
And anticipation is the only tool that enables us to do so!
STOP CHASING AND START TIMING!
An upvote would be very much appreciated. Thank you!
