When do you profit most in trading? Less volatile or volatile market time.
When do you profit most in trading? Less volatile or volatile market time.
Do you noticed that the market is less volatile these days? Although this could change at anytime. But did you know that short term traders will likely make money mostly during when the market is not too volatile? Except they know the trend and trading towards it.
As a trader, is this time of less volatility better or you prefer when the market is very volatile?
It is good to know that we should be careful because the market could change at anytime.
Based on my trading experience and strategy, I find that trading in stable or less volatile markets can be riskier for me. I only trade when I know the trend is up or down if the price remains stable with minimal fluctuation I stop trading because there’s no clear market trend.
If the market is more volatile you can get a quick result and potentially larger profit compared to trading on less volatile.
The only problem with trading in high volatility it is riskier than a less volatile market which is why you need to manage your risk.