What is the "Main Trading Strategy"

The "Main Trading Strategy"  is  a  combination of  Mechanical Trading Signals , "General Timing Model" and Logical Valuation. 

• Mechanical Trading Signals generated by Market Price Fluctuations. That is the most important part of the "Main Trading Strategy". That's a number of strict Rules "MUST to follow".  The Signals based on  modern Technical Analysis Methods. Has highest Priority to compare to "General Timing Model" and "Logical Valuation". The idea is: Market is always right.

• "General Timing Model" is a result of Market Modeling. The purpose of the "General Timing Model" is to find most probable Swings Performance Timing.

• Logical Valuation  appreciate General Trading Environment (Fundamental data, Stock Markets around the World, National Currency, Personal Experience etc.).

The purpose of the "Main Trading Strategy" in NOT to make  Profit as much as possible , but to reduce RISK as low as possible. When the RISK is high - to stay out of the Market, when the RISK is low -  to trade aggressive,  and when all the components of the "Main Trading Strategy" works the same direction - to trade very aggressive (Futures and Options).

Why the "Main Trading Strategy" was created

If You are experienced in Stock Market Trading You know that sometimes  Fundamental or  Classical Technical Analysis can be a reason of Big Losses in Trading. Why? 

1. Fundamental Analysis: It is a great Analytic Tool for long term Investments. But before Market will get its Fundamental Direction sometimes You can spend Months loosing Money.  It is a great Tool to choose a Company to buy from an Industrial Sector or from a group of Companies. Of course You should believe that Information and  Data about Company Financial Statement are truthful and accurate. In this case You have better result if You are inside this company or business. The same is important when we analyse  Balance of Payment of any County. And of course, to produce  high quality Fundamental Analysis it needs to be a part of a big, very experienced  Investment Bank Team. It is very difficult to get correct information in Time and to analyse it correct. Also such kind of materials are costs lots of  money. Do not try to buy "cheese inside mouse-trap".

2. Trading News: It is not a secret that one news (like Federal Reserve Interest Rate Hike decision) can turn Market in a long DownTrend or can turn Market in an UpTrend if Market participants decided that it was the last Interest Rate Hike this Year. There are lots of such examples.

3. Classical Technical Analysis: It is a great Analytic Tool to register a Market Condition using Mathematics Formulas. But Mathematic has nothing to do with Market. Why Market must reverse (or something) around 200 or 65 Days Moving Average ??? The only thing we can say that today Market cross below  its 65 (or 200) Days Moving Average. But what dos it mean? Statistical Examinations shows that it means nothing ! We already know that Market in a Down Trend. But for how long Time Market will continue to DownTrending? But  65 (or 200 or any period) Days Moving average giving us no answer. Same story with Oscillators and  Indicators. Attempts to test and Optimize Indicators and/or Oscillators to find the "correct parameter" (65 or 200 or any other value) are just self-delusion. Optimization is dangerous. 

4. Regarding to the Stock Market  there is Only One thing always the same - Human Behavior. And this is the subject of the Main Trading Strategy.  This is about how  to avoid mistakes (like to Trade against possible Trend Reverse). It is easy to say but it is sometimes very difficult to manage in a real live. Market will never repeat itself.

How to use the "Main Trading Strategy"

Of course You have your personal  Opinion about Market,  trading Ideas, Research and/or Strategy. Maybe You do not want to follow MTS  rules/signals.  But in any case in a Real Live Trading sometimes we are not confidence (or too much confidence) with our Opinion and Decisions. You could use MTS as a conformation of  your Trading Decisions:

P.S. Trading Stocks, Futures, Options involved Risk of losses. Do not trade loan capital. Past performance dos not guarantee future results.