THE CROSSHAIRS TRADER DICTIONARY: INTRODUCTION TO BATTLEFIELD TERRAIN

Learn how 10 is Greater Than 90 with The Crosshairs Trader's new eBook. Get your copy today!

THIS IS THE BEGINNING OF A SERIES OF POSTS WHEREIN THE CROSSHAIRS TRADER DEFINES AND EXPLAINS SEVERAL DIFFERENT MARKET CONDITIONS (BATTLEFIELDS), EACH WITH UNIQUE CHARACTERISTICS AND PROPOSED SUITABILITY FOR TRADING (COMBAT).

INTRODUCTION:

THE CROSSHAIRS TRADER makes trading decisions (i.e. decisions to enter the battlefield) based on several factors, one of which is the condition of the current market. According to THE CROSSHAIRS TRADER DICTIONARY, the current market condition is labeled and defined as follows:

BATTLEFIELD TERRAIN:  the current general market condition or market condition of a particular stock whose characteristics are defined by the charts and best described for us by SUN TZU in THE ART OF WAR-a very important text used extensively by THE CROSSHAIRS TRADER for its wisdom and insight into successful battlefield strategy.  There are six terrains (see Art of War, Chapter X), each with its own characteristics and suitability for trading. The six terrains are as follows: 

TYPE OF BATTLEFIELD:                 SUITABILITY FOR COMBAT:

ACCESSIBLE                                       FAVORABLE

PRECIPITOUS HEIGHTS                       FAVORABLE

TEMPORIZING                                    FAVORABLE

ENTANGLING                                     SNIPER/LEAST FAVORABLE

NARROW PASSES                              BEST TO AVOID

GREAT DISTANCES                             BEST TO AVOID

Over the course of the next few posts THE CROSSHAIRS TRADER will explain in detail the different terrains and how each one can best be traded or avoided, whatever the case may be.

What is important to understand from the outset is that THE CROSSHAIRS TRADER first looks at the current conditions of the battlefield to see if there are opportunities for attack or if it is best to stay encamped.  In other words, should a stock be traded or is cash best?  The BATTLEFIELD TERRAIN can help with our decision.   

TRADING IS WAR.  PREPARE YOUR WEAPONS.

Related posts:

1. THE ACCESSIBLE BATTLEFIELD TERRAIN: TRADING STOCKS AND OPTIONS IN A TRENDING MARKET This is PART ONE of our series on accessing THE...
2. THE OFFICIAL CROSSHAIRS TRADER DICTIONARY FOR STOCK AND OPTIONS TRADING 5 STAR GENERAL:  a well known, successful trader or a...
3. THE CROSSHAIRS TRADER DICTIONARY: COORDINATED ATTACK WHEN TRADING OPTIONS This is the latest entry in THE CROSSHAIRS TRADER DICTIONARY....
4. ENTANGLING GROUND: TRADING OPTIONS IN A CHOPPY MARKET This is PART FOUR of our series on accessing THE...
5. NARROW PASSES: TRADING OPTIONS IN A NARROW RANGE This is PART FIVE of our series on accessing...