In an uptrend, prices will attempt to rally back toward the recent high but will fail to make a new high. This creates a lower high. In a downtrend, prices will sell off toward the recent low but fail to make a new low, creating a higher low. 3. The Break of the Previous Minor Extremum
Remember: Trading is not about being right. It’s about being right with minimal damage. As Trader Vic says, “The name of the game is to keep your losses small.” In an uptrend, prices will attempt to rally
Wait for the price to attempt to return to its old trend and fail. 3. Understanding Macroeconomics As Trader Vic says, “The name of the
: It captures the exhaustion of the dominant side and the first sign of control shifting. As Trader Vic says
If your total portfolio drawdown reaches 3% in a month, stop trading entirely for that month. This prevents revenge trading and emotional meltdowns.
In an uptrend, the price makes a new high and then pulls back.
The physical book is rare and often out of print. The Trader Vic Methods of a Wall Street Master by Victor Sperandeo PDF is the only accessible way for modern retail traders to get their hands on the original 1991 text without paying collector prices.