Trading is hard until you use these 2 concepts
Sham · 3,559 words · 18 min read · EN-ORIG

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In my 6 years of trading, I've realized that there's no trading strategy that can work without these two concepts, daily bias and entry confirmation. Now, you can use different models, you can trade different markets, and you can have a completely different style from me, but if your trading strategy doesn't answer these two things, it is
incomplete because a complete trading strategy needs two functions. First, it needs to tell you which direction you should be trading in, and second, it needs to tell you when that direction is actually valid enough to execute. And that is where daily bias and entry confirmation comes in. Daily bias solves the first problem. It helps you
determine whether you should be looking for longs, shorts, or whether you should stay neutral for the day. But, you know, direction alone isn't enough because just because you're bullish doesn't mean you can buy from anywhere. And just because you're bearish doesn't mean you can sell from anywhere. And that is where entry confirmation comes in. Entry
confirmation solves the execution problem. It gives you a justification for why you are entering here, why you are entering now, and why this specific setup is valid. Because you can have a correct bias and still lose money if you execute randomly. You can be right about the direction, but if your entry is not
confirmed, if your timing is poor, and your setup is invalid, you can still get stopped out before the actual move happens. So, these are the two important concepts, and once you understand these concepts properly, you can start building your own trading plan. So, the first concept, and really the first step of your trading plan, is
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