The contrarian path
- Korbinian Koller
- Mar 26, 2023
- 1 min read

The contrarian path is in the group of market approaches that promise vast returns. Unfortunately, it is also one of the most challenging ways to make money.
The complexity of this way of trying to extract money from the markets doesn't lie in its basic approach. That's the relatively easy part.
One either watches a mainstream TV channel covering markets, and when they scream "bullish" from the rooftops, you start shorting the market and vice versa; when all comments are doom and gloom, it is time to go long.
Or one follows the COT (Commitment of traders) data
https://insider-week.com/en/cot/
and compares money flow weekly from institutional money versus average investors' money flow and finds one's contrarian point amidst the extremes.
One more way to find guidance for this approach is to use specific data that specific phone apps provide or simply view sentiment-focused websites like:
https://alternative.me/crypto/fear-and-greed-index/
https://www.cnn.com/markets/fear-and-greed
It isn't the trade setup that is challenging for the contrarian trader but rather the timing of entries.
Stepping in front of the train and taking the other side has, more often than not, wiped out trades and astute ones too.
And it isn't just timing that's an issue but also a required skillset to take trades where your inner voice screams for avoiding such positions since the contrarian approach in trading is going against ones deeply engrained typical instinctual reactions.
Our quad exit approach helps massively with its near-instant risk mitigation and partial profit-taking. We have found a way to cut prismatically through turning points where more and less ideal entry positions can be identified in an anticipatory way, and as such, time becomes more refined and, most of all, rule-based.
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