For many years, I have been asking myself what exactly a trend is in trading. Honestly, standard definitions from encyclopedias have never helped me. They are too vague, too general.



I prefer the approach from "The Theory of Yin and Yang Trading." Everything is clear there: after a true Yang comes a long position trend, after a true Yin — a short. A trend is not just a price movement; it is a movement with a clear direction that can be tracked and relied upon. Most traders follow the trend without understanding what it actually is.

This theory, by the way, although rooted in the classic teachings of Yin and Yang, is precisely a quantitative system. True Yin is a short position, true Yang is a long position. And most importantly — to know how to wait for the right moment.

I remember when a well-known trader started popularizing this theory, he was attacked from all sides. Apparently, in our culture, it is customary to attack anyone who offers a new perspective, even if their intentions are good. People prefer to criticize rather than understand the essence. But if you have specific objections — voice them. That’s a sign that you truly understand the subject.

Currently, I keep a portfolio of 300u and monitor how these principles work in practice. Understanding that a trend is not just a random movement, but a structured process, helps make more informed decisions.
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