III.6. Choosing an entry point.

The most pressing question since the inception of the exchange: where to enter the market? This question is the most difficult – every trader bears the risk himself. The correct answer is that each trader has his own entry point.

By and large, having determined the levels, you are free to build your entrance based on the following scenarios of further developing events:

– the price immediately starts moving against you, taking your money to the grave – there was a rebound from the level. Options: set a stop loss, sit out the drawdown. Immediately note that the drawdown can be very long, and you must either not have credit shoulders, or have enough free funds in the account (up to 70% of the transaction amount for a number of situations);

– the price immediately starts to make a profit – the entry point was chosen successfully.

For example, in Fig. 102, successful points for entering the long will be points at the level of $ 30,000 for long-term investments, at the levels of $ 35,000, $ 40,000 for medium-term, and the price of $ 47,000 is very successful for entering the short. For example, in Fig.101, the price of $ 0.08 is very good for entering the short.

Fig. 103. LUKOIL’s share.

In Fig. 103, the level of 6000 rubles was a good entry point for the Lukoil stock, and the level of 7000 rubles was a good entry point for the short. The trend continued from March 2021 to March 2022.

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