Trading on the same side as The Trend

Trading with the trend is the best way to make a great return in the stock market. Regardless of what your strategy is trading on the same side as the overall trend can improve your winning streak.nnTrend trading has 3 major advantages.nn1. Trends are likely to continue for a whilennA trend is more likely to continue then it is to reverse all of a sudden. History has shown this many times in the stock market as prices tend to fluctuate greatly. I have not seen many stocks that stay flat at their true value and do not move any higher or lower.nn2. Following Big MoneynnIt is very hard to know everything you could ever possibly know about a company fundamentally. Even if you research your stock before hand there is always news coming out, and there will always be news that you have never heard of.nnIt is impossible to keep track of everything. So what can you do? Well you can follow the big money. Big companies can afford to hire many people to keep track of everything, and when they get in they help create trends. So by following the trends you are able to use the same knowledge that the big companies have, only having it simplified. (going up means good, going down means bad)nn3. Easy to ExitnnIt is easy to exit a momentum investment. If a stock stops going up, that is your warning signal to get out. Having stops in place can really help you avoid getting hurt when a trend finally does stop. It seems over simplified, but it is amazing how many people do not get it. nnFor more on trend trading visit http://www.stocks-simplified.com/Momentum_Investing.html nnFor some stock tips visit http://www.stocks-simplified.com/stock_tips.htmln