Intuitive TradingFor many people, trading may be all about logic and timing. Studying the markets may play a big role in making sensible trading decisions that will earn better profits. But there are also times when trading may also rely on some bit of intuition.

Intuition is that sense one may have on certain things but may not be easily explained in rational terms. Intuition may be that ability to perceive something for no apparent reason. Some people refer to it as a feeling that they can’t quite justify or explain. For any rational thinking trader, intuition may be the last thing that trading decisions may be based on.

But in a sense, there are certain instances where intuition may be used in order to come up with decisions in various aspects of trading. Traders, for instance, may only be able to take in as many factors into account when making some decisions. Quite complex trading and investment situations may just be that- too complicated to muster working with all the indicators and data that may have an effect on the market.

Sometimes, some of the data that traders and investors are able to acquire may seem incomplete or quite lacking in order for them to make up definite decisions. Sometimes, received data might look a bit contradictory to what is expected or just may be something that is actually wrong. In such cases, using intuition may prove to be quite valuable.

In a market where uncertainty abounds, it may be quite difficult to figure out all the angles. It may be quite hard to predict how things will work out even if traders got all the data and shown all the indicators for them to base their predictions on. Aside from making a calculated guess, other instances may sometimes depend merely on "gut feel". One reason for this is that intuitive thinking usually does not depend on merely quantitative issues and measurable factors. There is sometimes that something in one’s mind that may lead the trader to think differently and feel strongly about a certain decision for no reason at all.

Using intuition in trading is something that should also be considered by even the serious traders. And like other abilities, it can also be improved through practice. Traders should try to become more conscious of how intuition is being used in some cases during trading. Monitoring how it is being used and the eventual results, whether good or bad, may be the best way to help develop intuitive thinking. Noting how intuition may have guided you to the correct decisions and which ones lead you to bad ones may give you a certain level of insight to how it can be used more effectively.

Before any traders totally rely on their intuition the next time the make their decisions, it is something that cannot entirely replace the need for the more conventional and rational processes to arriving at a decision. Instead, intuition should be something that can be used to either reinforce a certain decision made through rational means or used when any means to arrive at a decision is absent. It is important to note that facts and rational thinking still forms a very large part of any decision making. Intuition can only be added in order to provide a unique insight that may also offer certain possibilities.