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Trading Terms

Trend-Following

As we delve into the world of finance, it's important to understand the concept of trend following. This refers to the practice of aligning one's investment decisions with the direction of the prevailing price movement. Essentially, it involves identifying the trend and then capitalizing on it. This strategy can be effective in mitigating risk and maximizing potential returns. So, let's explore this concept further and see how it can be applied in the world of finance.
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