Exclusive Insights: The Four Stages of Trends, Anchoring Profit Rhythm
Xiao Shiyi Lang discovered in long-term trading practice that the evolution of trends follows a fixed four-stage progression logic: Trend Brewing → Trend Confirmation → Trend Acceleration → Trend Turning.
These four stages correspond to typical market states: Narrow fluctuations signal the brewing of a trend, structural tests mark the entry into the confirmation stage, positive catalysts drive the trend to accelerate upward/downward, while emotional peaks are precursors to a trend turning.
It is pointed out that effective identification of each stage essentially involves an orderly disassembly of market structure. Structure is the core tool for profitability, allowing for more precise and clear entry and exit conditions, and helping traders anchor their direction. Only by tightly adhering to structure can one truly harvest the dividends of trends.
