60 to 70% of effort or more in trading should go on anticipation as it is under your control and allows you to plan trade and risk more. You are in control of this process.
If you have anticipation based method or process you are focused on few opportunities you are aggressively watching and enter as soon as they trigger. This reduces risk and allows you to think your trade through.
Rest of the effort goes in to breakouts. Where risk is higher and you are at mercy of market. Many breakouts by their very nature are sudden events and often triggered by surprises. While some breakouts can be anticipated , not all can be anticipated.
Breakouts often require you to enter at unfavorable price or risk higher. That is the nature of the momentum burst phenomenon.
As your account grows and you start managing more and more money focus on anticipation become critical.
As your account grows and you start managing more and more money focus on anticipation become critical.
Some of the things to think of as a trader are:
What is your anticipation Strategy
What are your anticipation scans
What is your anticipation process
What stock do you have on anticipation watch today
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