Martin posted a couple charts last week about how good trends were on US500. He compared a trend that was running on the US500 to a choppy EURUSD trend that wormed its way down. I thought WOW, what a great EURUSD trend, there is 3 easy low risk trade entry's on that chart. I must of been the only trader to think that.
I bit my tongue but as I am bored, I will offer my opinion.
A trend that goes straight up or down is a terrible trend that can collapse at any moment, wiping out all my winnings.
Check out the last EURJPY chart, if you were to enter Sell orders at these locations which are all Low Risk, the winnings would have totaled 400+ pips if you kept all orders opened.
Trading that one terrible trend would be worth maybe 100 pips at best and high risk.
So my description of a good trend is a " price movement that stops to accumulate orders within a structure of higher highs or Lower lows.
Please disagree if you wish.
