Reading music simile

If I were to liken trading to music, then the trade chart (entry) would be the sheet of music and the trade management would be the chosen instrument, tempo and volume.

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If we hide the next note then the probability that a musician could play a few follow-on notes, based on melody and rhythm, would be high.

The same is true of price action trading or raw chart reading. There is a context to the chart that could be considered similar to music. That is the trade entry.

How big an instrument we choose, drum or flute, and how much we bash or blow is representative of trade management.

Understanding the flow of the music is necessary (the trade entry), but if we are to stay for an encore, then the point above (the trade management simile) is more important.

One other consideration, however, if a trade chart were music then, more often than not, it would be acid jazz.

Published by Day Trader

I flew fast jets for 30 years of my life. I've traded full-time, more or less, for the last ten years, initially from fundamentals and over the last few years as a dedicated day trader. I live on the North Norfolk coast.

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