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For many years, I have been pondering a simple but important thing for every trader.
What is a trend? It seems the answer is obvious, but when you dig deeper, you realize that most people in the market don't even know the exact definition.
Encyclopedias say something vague about the general movement of development, but that doesn't help.
I found a clearer explanation in the theory of True Yin and True Yang.
It's simple there: after true Yang comes an upward trend, after true Yin — a downward one.
That’s more concrete.
A trend is not just a price movement, but a clearly defined direction that follows certain signals.
That's why many traders catch trends but don't see the real trend — they follow unclear signals instead of waiting for confirmation.
I remember when one well-known trader started popularizing this theory, he was literally attacked by critics.
It's funny because people are ready to criticize any stranger, even if he's telling the truth.
But the point isn't criticism — the point is that a trend is a tool that needs to be understood and applied correctly.
I personally use this logic in practice.
The main rule: wait for a true signal, don't rush to enter.
Recently, I analyzed positions with a deposit of $300, and it was clear how those who waited for trend confirmation made money, while those who jumped at every move lost.
This confirms that understanding what a trend is constitutes half the success in the market.
If you have objections — share your opinion.
Discussion helps everyone better understand the market.