Every price up is because there is a “force” bought at the lower price & wish to make profit at the higher price. Stock prices will not mark up higher if there isn't huge demand & this demand needs to be consistent to maintain the price at the high side. It can’t be like us retail investors that are disorganised to provide consistent demand. Most of us will buy shares at different timing & most of the time averaging down our cost. We never see retail investors’ grouping power is significant enough to maintain the stock price at the high side. 

*Example : look at the time when r/BursaBet tried to copy the r/wallstreetbet GAMESTOP. Indeed the price was up after on 29th Jan 2021 in the morning, but it can only hold at the high price for 2 days then it starts falling until today. Which created the opportunity for the big boys to open more short selling orders at the high price for free money.  But I agree that retail investors can have huge influence power to move the stock price when we are in a group. But it is not easy to manage humans, especially the trust in the group. But most importantly, we don’t have enough shares in hand to play the game. Having money alone won’t make you the big boys In the stock market, having control of the shares is the power to move the share price. Hope those who followed have learned from their naive move & understand more before you commit. Also, please remember that this kind of behaviour can be a form of market manipulation, don’t try to challenge it.

You Must Know The “Must-Go-Against” When Investing

Many retail investors always think they are the lucky one. Unfortunately, investing in the stock market or financial market is not about how confident you are or the analysis. But how well can you follow & react to the big boys expectation? 

As a trader & investor, our job is not to prove our analysis is right, that’s the analyst job. Our job is to identify the market cycle/ trend (the big boys direction) & take advantage of it. It is more than not to go against the trend, because we hear too much of it. Often we put ourselves in the middle of the trend or enter at the peak of the trend even though we didn’t go against the trend. Because the existing analysis doesn't teach us how to spot the price peak, it only shows the “confirmation” of price reversal after the price falls from the peak. This causes many investors to miss the best timing to exit at the high side, which can only cut loss at the lower price.  

***confirmation of reversal chart pattern always late, causing trader to miss out the potential RM 3.07 profit at the peak**

For example : Chart pattern breakout with high volume is the common entry signal for many technical analysis traders. But we never know whether the chart pattern breakout will be successful before our entry. We only realised it when the price fell to our cut loss point. Some traders want to avoid getting caught in the fail breakout, they will wait for the price to pull back for the entry. But where is the bottom after the price pulls back? Sometimes the price can go below the resistance turned support or any form of support indicators.  **** chart pattern breakout fail **** The analysis most of us can learn from is inconsistent & uncertain. This is because the signals are too systematic, teaching retail investors to trade blindly by following trade signals. Without understanding the reason behind all these price movements. It is guessing the next price with historical movement. The big boys see this profit opportunity & take advantage of it to attract retail investors by creating the buy signals, chart pattern breakout. This is the reason why many resistance breakout fails, because the big boys are selling their shares to everyone who park their buy orders at the lower buy price.

Chart pattern formation often appears near the price peak, usually stock price will fall & wipe out the previous gains in the uptrend after the chart pattern is formed. This is because the big boys are trying to distribute their remaining shares for profits by attracting buyers in by creating technical signals that we always look at, the chart pattern breakout. 

Investors always have the perception that chart pattern breakout is more reliable than many other technical signals. This is because of the “successful” examples that we have seen from the past & also “textbook”. That’s what the big boys want, they create chart patterns the retail investors believe in. So that they can attract investors to buy, for profit-taking action. 

If you don’t want to make losses by entering into these failed trades, going against the technical buy signal will solve your problem. 

Identify & resolve, boost your probability & profitability

We can identify the problems with traditional technical analysis from above. 

1. Entry at the price peak after the big boys markup the price

2. Analysis is can’t tell us where is the price peak

3. Late cut loss & losing the potential profit that you can take at the price peak.

As long as you can solve the above problems, you can achieve higher probability in your stock selection. Enter when the big boys are ready to mark the price up, take profit when the big boys are about to sell the shares to the retail investors who are late into the stock. 

By solving this, you can time every rebound & price peak accurately like how we did. [ see our analysis result in our tradingview page : https://www.tradingview.com/u/ROUNDnSURGE89/ ]

For retail investors like us, to achieve higher probability & profitability in the stock market is to follow the big boys' timing to markup & sell shares. Learn this method in details in our YouTube channel :
KLSE Trading | How big boys make profit by selling at lower price

More educational videos & blogs on our website :

Blogs : https://www.roundnsurge.com/news

Videos : https://www.roundnsurge.com/register [Register to access all free learning videos]

WEBINAR : Trading Plans That Will Helps You To Outperform KLSE in 2023

Description : 

To make profit in the stock market can be simple if you know how to follow the big boys. You can achieve returns that can easily beat the market indices with the understanding of simple price & volume analysis and good trade management.

Day 1 : Understanding the big boys manipulation

Day 2 : How to identify trend changes with simple price & volume.

Day 3 : Types of trading method for different trend

Date : 

11 DEC | SUNDAY 7:30PM

12 DEC | MONDAY 8:30PM

14 DEC | WEDNESDAY 8:30PM

Registration link : https://www.roundnsurge.com/events

Disclaimer :

This blog is for sharing our point of view about the market movement and stocks only. The opinions and information herein are based on available data believed to be reliable and shall not be construed as an offer, invitation or solicitation to buy or sell any securities. Round & Surge and/or its associated persons do not warrant, represent, and/or guarantee the accuracy of any opinions and information herein in any manner whatsoever. No reliance upon any parts thereof by anyone shall give rise to any claim whatsoever against Round & Surge. It is not advice or recommendation to buy or sell any financial instrument. Viewers and readers are responsible for their own trading decisions. The author of this blog is not liable for any losses incurred from any investment or trading.