Entry criteria.
I get SO many questions about the best support, moving average, trendline, or area to enter a position at.
First things first tho...the obsession with the "perfect entry" or entries in general is a net negative.
There's never a perfect entry...and if you think yours is, then you're bound to get emotional/egotistical about it.
My philosophy is: exposure to leaders > perfect entry
Here's part of my response to a message I got:
"i’m trying to harp on this point about entries because I think most people overcomplicate them. Everyone is worried about finding the perfect entry at support, on an EMA, or at some exact line on the chart.
But in a bullish/trending environment, it’s more about progressively building exposure to leaders + the best companies. If you miss the "perfect" bottom tick entry, it's FINE, that's why we trade common stock, not short-term options. We have flexibility/buffer to accumulate positions.
I’m simply looking for weakness within a strong uptrend. Higher highs, higher lows, relative strength, and a catalyst. Most of my adds happen on higher lows within the trend, not because a stock touched a specific moving average".
I rarely have perfect entries because I’m willing to pay a premium for exposure to leadership...in strong trends/environments, exposure matters more than perfection.
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