Each time you take a position in the market in the direction of the main trend, you should do it with the assumption that the market has substantial profit potential. As a result, you’ll be more likely to stick with the trade and avoid making any speculative moves.
According to your analysis, you should maintain all of your current with-the-trend positions while waiting for the major move. As you are grounded in reality, you know that most transactions are not intended for the big move. It is best to treat every trade in the direction of the trend as though it has the potential to be the “big one,” and to let your stop losses close out the trades that don’t pan out, since you can’t predict which trade will be wildly successful in advance but you can predict that some of them will be.
Financial history is rich with instances of markets that seemed to be moving slowly at first, but eventually exploded into massive swings. As the market continued to advance quite considerably, but without them, most of the initial players who may have been on board at the very beginning of the move jumped off at the first profit chance.
