Many traders often hear their peers discuss the term "market sense," or hear expressions like "I feel the market will continue to rise, I feel the bulls are weakening," which describe market sense. But what exactly is market sense? Is market sense reliable in trading? If it is reliable, how can traders train to improve their market sense? Today, this article will offer some suggestions on this issue.

Market sense is a kind of intuition that traders perceive in the process of watching the market, which will directly affect the traders' trading behavior, and this intuition is difficult to express in words. To put it professionally, the so-called market sense refers to the feeling that is perceived when analyzing K-line and other technical indicators in financial investment.

Investors who have reached the realm of market sense are like the masters in Jin Yong's martial arts novels, who have reached the state of "no moves are better than having moves." Traders with market sense can be keenly aware of price fluctuations, whether in a bull market or a bear market, and thus be invincible in most trades.

Traders who want to train and improve their market sense need to go through seven stages of training!

Stage One: Watch a lot of markets to find market sense

Traders can start with naked K-lines, and must master various types of K-lines, including single, combined, and classic patterns. Use historical market trends to repeatedly judge and simulate verification. This is a very hard process, which is also known as the saying: "The sharpness of a sword comes from sharpening, and the fragrance of plum blossoms comes from the bitter cold."

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Stage Two: Look for trading signals

Before any price change, the market will definitely show some unusual performances, which are operational signals. However, the formation time and form of the signals are different. Even a very successful trader who trains continuously every day may not be able to respond to some signals, let alone traders who do not train at all and only know how to operate every day. If traders can watch the market every day and calm down to train, dedicating an average of more than four or five hours a day, their own signals can be formed within a month. In this stage, traders should also avoid actual combat.Phase Three: Establishing a Trading Model

To prepare for real combat, it is essential to establish a trading model. This model includes entry points, stop-loss points, and profit-taking points. How to establish it? There is only one answer: become familiar with the trading instruments you operate.

How to become familiar? It is still through training. Moreover, the volume of training should be increased, using all available time. After that, you will have a general view on how to enter positions, set stop-losses, and take profits, and the model can be preliminarily established. But is it ready for real combat? After the model is established, further efforts are needed in entry, stop-loss, and profit-taking, because these three aspects will differ with different types of market conditions, and each must be tackled individually.

Phase Four: Initial Real Combat

After a trader has established one or two trading models and confirmed that the accuracy rate reaches 100%, they can engage in small-scale real combat. However, remember to only operate these two models, as they are your only weapons. After several months of real combat, you will have a deeper understanding of the practicality of the model. More importantly, the trader's psychology can directly affect the accuracy of the model. During these months, training must continue and cannot be reduced.

Phase Five and Six: In-depth Understanding

When the number of models begins to increase and the application becomes proficient, the trader's trading skills will rise rapidly, often feeling a transformation every month. At this stage, the trader's trading opportunities will increase significantly, but remember, it's only the trading opportunities that are increasing, not the actual trades. At this stage, the trader's trading psychology will be further honed. By this point, the axe is quite sharp, and it can officially start chopping trees.

Phase Seven: Continued Training

At this point, the training is a combination of post-market and real combat. The model can be said to have been developed to a large extent. This is the stage of accumulating wealth. Only the real growth of the account's funds can prove that the trader's level has truly improved. If this stage is reached, it means that training and real combat have become the most important work for the trader, as important as eating every day. At this step, traders will often be proud of their skills and the continuously growing account.

Market sense is beneficial for short-term trading, but it should not be blindly believed.For short-term trading, due to the significant differences in the intraday trend characteristics of each variety, and the fleeting nature of intraday opportunities that leave no time for contemplation, the trading system needs to be more compatible with the personality of the variety. Therefore, the trader's sense of the market for that particular variety will play a more refined and intangible role in improving the trading system.

Thus, short-term trading does not rely on market sense; relying on market sense can lead to painful losses, as this kind of inspiration is far less reliable and stable than systematic and scientific analysis. For medium to long-term trading, market sense is even less necessary, because for medium to long-term traders, there is ample time for contemplation and sufficient information gathering. At this point, using scientific and logical methods for deduction is more reliable than relying on market sense.