One day, Dr. David Paul was asked how he made his market entry decisions 📊. His answer was simple but full of common sense.

« I am a trend follower, but I have three rules. »

✅First rule: The right trend is always difficult to follow.

A trend that rises or falls too easily attracts the crowd, and the crowd is often wrong. A true trend always puts traders to the test.

✅Second rule: I prefer to trade against the small trend of the moment, but in the direction of the big trend.

Before the market really moves in one direction, it often makes a small reverse movement. For example, in the morning, before rising strongly, it tends to drop a bit. This is called a "stop hunt": the big players in the market take advantage of these movements to accumulate their positions while others panic.

✅Third rule: I place my entries where the majority places their stops.

Most traders put their stops in the same places. Just above or just below the last peak or trough. And guess what? The market knows that. It often goes after these areas before taking off again.

So instead of buying or selling where everyone else does, Dr. David Paul prefers to enter exactly where others are exiting the market.

And he concluded by saying:

« The next time you want to place a trade, think carefully: where would you place your stop?
And now, imagine entering at that spot. You will see how much the market loves to pass through there. »

And you, be honest, do you place your entries before, after, or right on the stops of others ❓$ETH