In trading, timing is more important than direction
I guess a lot of people may disagree with this but I honestly think that timing is more important than direction when trading any markets be it forex , stocks, commodities etc. I beleive if you enter the market at the right time, you catch the trend in its infant stages, set a small stop loss and stay away from all the noise that follows later on. Opposing views are welcome, feel free to contribute.
Every market opens with an auction and most times this auction sets the direction of the market. So timing is more important because if you enter at the start of the session you can easily predict the direction for that session
Some traders may think that just because it is the New York session (or any session) then it means you can enter it at any time and get the same results, no!. Sessions are U-shaped the most activity is at the start and end of the session.
Direction is more important than timing for me in trading.
If you consistently predict the wrong direction,
→ no amount of perfect timing will save the trade.
Example:
If you buy thinking EUR/USD will go up but it actually trends down, timing doesn’t matter — the idea was wrong.
So direction has slightly more long-term importance because it reflects your analysis.
Direction = more important for long-term success
Timing = very important for risk and consistency
A good way to remember it:
Direction tells you what to do.
Timing tells you when to do it.
Risk management tells you if you’ll survive long enough to learn both.
Direction = more important for long-term success
Timing = very important for risk and consistency
A good way to remember it:
Direction tells you what to do.
Timing tells you when to do it.
Risk management tells you if you’ll survive long enough to learn both.
I agree with @headies, you know how they say wait for a river so start flowing then just follow its direction.
I agree with @headies, you know how they say wait for a river so start flowing then just follow its direction.
Wow, I love this analogy