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Invest in the Same Direction the Market is Headed

Trend trading is the most simple strategy to keep you on the right side of the stock market. The strategy attempts to capture gains through the analysis of the beginning of an uptrend or a downtrend.  Secular trend or the major trend is the dominated trend for investors to define his/her strategy. Never trade countertrend!

How to define an uptrend?

Price has to trade above the 20 days, 50 days and 200 days moving average

20 days moving average above the 50 days moving average

50 days moving average above the 200 days moving average

Price needs to make higher high and higher low within an uptrend.