The 1st approach is more aggressive approach & involves buying or selling immediately the moment the price touches the moving average & assuming the long term trend will continue.
The advantage is you get the best possible entry price if the trend is strong & immediate. However you risk catching a falling knife. This may lead to significant losses if the trend reverses.
The 2nd approach of waiting for confirmation is a more prudent approach. This strategy involves waiting for a signal. This could be a specific candlestick pattern or bounce in momentum indicators, before entering the trade.
This approach reduces the risk & filters out the fakeouts or trend reversals. However you may miss the initial part of the move or get a worse entry price.
I prefer waiting for confirmation as fakeouts and Bull traps are common. Patience pays off.
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- 1PC·2025-12-21TOP不错的分享😁第一个接近是神风特攻队[Chuckle]第二条路是给神风特攻队的，他在第一条路幸存下来，带着绷带回来了🤕[LOL]. @JC888 @Barcode @DiAngel @Shyon @Shernice轩嬣 2000 @Aqa2Report
- snappyz·2025-12-18TOPPatience is key. Confirmation avoids those nasty traps. Better safe than sorry! 💡1Report