Understanding government policy, central bank interest rates, and inflation cycles.
Sperandeo emphasizes identifying market reversals, specifically when a market tries to make a new high or low but fails.
An ensures that:
Traders must see the market as it is, not as they want it to be. Stubbornness and pride are the fastest routes to bankruptcy.
It tricks traders into thinking a breakout is happening. Stubbornness and pride are the fastest routes to bankruptcy
These are his most copied yet most violated rules:
Trader Vic heavily focuses on central bank policy. He argues that government intervention and Federal Reserve monetary policy (interest rates and money supply) are the primary drivers of long-term bull and bear markets. He argues that government intervention and Federal Reserve
The price rallies back up, breaks the previous high slightly, but immediately loses momentum and closes back below that previous high.
Vic emphasizes that central bank interventions and credit expansion dictate the boom-and-bust cycles of the stock market. breaks the previous high slightly
Unlocking the Wisdom of "Trader Vic: Methods of a Wall Street Master" by Victor Sperandeo