Trading Lesson #503: "Just because you missed the first major portion of a new trend, do not let that keep you from trading with that trend."
This is a common mistake among swing traders and stock pickers. For some reason the trader misses the first part of a new, emerging trend and then he is unable to pull the trigger and get on board. Or worse still, the trader gets so angry about not being in the market that he starts to fade the trend by going against it.
I have seen this so many times, that I think this is one of the biggest mistakes that traders that are already in developed stages of their learning curves still make very often. Avoid that, do not be afraid to play a trend, even if you are not in from the very beginning. Most likely nobody is.
**this is an excerpt from my daily email based Newsletter.