How to Avoid Dumb Trades and Make Money While doing it 

How to Avoid Dumb Trades

and Make Money While doing it 

Everyone at heart wants to be a swing trader. This implies that human nature is to look to buy low and sell high but it is this tendency that leads to taking dumb trades.
This does not mean swing trading is not a profitable strategy but only when the stars align. Otherwise, it can lead to buying when you should be selling and selling when you should be buying and this is what I define a dumb trades.

So the question you should be asking is how do I get on the strong side of
the market and start making the right trades.
One way is to accept the principle that the forex market lives to run stops
and the strong side is the one where there are no stops to run. In other
words, if there are no stops to run on the upside then the strong side is to
sell. If there are no stops to run on the downside then the strong side is to
buy.

It sounds simple but in practice the farther the market moves from a key
level and stops, the harder it is to find a good level to enter a trade on the
right side with a reasonable stop. This leads many traders to take what
looks like the easy trade by buying when a currency looks cheap or vice
versa because it is hard to find an entry level with the trend where you can
place a reasonable stop. I call this a sucker bet.
So what looks like the hard (to find a good entry level) trade turns out to be
the right trade while the easy to enter trade turns out more often than not to
be the dumb trade.

This is not theory but reality. I have done it more times that I care to
remember so I am speaking from experience.

How did I overcome this?
The answer is by finding a system that takes the hard trade and makes it
the right trade by being able to identify a level to place a stop with the trend
when there might otherwise might not seem to be one close by.
I will show you how in a future article but for now, avoid dumb stops and
see he difference in your results.