Intelligence to Formulate a Trading strategy. To formulate a strategy in war, sharp Snipers 1st analyse their enemies stregenth and weaknesses-such as its ability to re-enforce, call for back up establish its forces and defend its position as necessary.
The best way to gather information you would agree is to get constant data from the field. Snap shots from a high attitude giving signs, feed back from the trenches. but they are only clues. For example a convoy of trucks is passing through but you don't know what they are carrying inside them. Is it weapons of mass destruction, troop for reinforcements, medical supplies, food or civilians?
As a trader you can review all know information to formuate a strategy. You can also get snap shots from a distance in the form of economic data released on an ongoing basis from all major economies around the world. These data are clues to the strength or weakness of an economy. However these are only clues piece of the puzzle they are not black and white. They measure specific economic elements collected in a specific way and calculated in a particular method for a period in time.
And because traders in my opinion are irrational and react to good news and bad news in all kinds of ways for all kinds of reason and assumptions. I therefore I find it beneficial to step back from my spy glass and react to the reaction using the news to back my technical Strategy. You cannot see the entire battlefield from your Sniper spy glass you need to take the higher ground and plan you're trades around the bigger picture.
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