Vernal, Utah is world famous. Seriously it is. It is world famous for dinosaur bones. There is a higher concentration of dinosaur bones there than in any other place in the world. A few years back I took my 5 and 3 year old at the time to the dinosaur quarry to see some dinosaur bones. It is, needless to say, quite an amazing site. You can’t put your hand on the quarry with out touching two dinosaur bones. There is also a small nature hike that you can take and see dinosaur bones that are jutting out of the mountains that are there. After chasing the kids around the visitor center for a while I decided that they needed to burn off some energy. So I decided to take them on the hike.
The guide was telling me before the hike that you can see bones all over the place on this hike. Now along this hike we were getting near the end, and up to this point I was not able to point out to my son a single dinosaur bone. I was looking and looking but, for the life of me, I could not find a single one. Finally in my frustration I turned to the guide and asked him where all of these so called “dino bones” were. He laughed a good laugh, said they are everywhere, and pointed to the ground, and not two feet from where I was standing was a dinosaur bone embedded in the rock.
I have since thought back on that experience and have wondered “how was it he could spot a bone so easily?” It wasn’t until one day where I was showing a trader a head and shoulders pattern on chart. I was seeing the turning points in the market that formed the pattern on chart. I surely knew what was coming next, but the trader could not see the chart patterns. Then it dawned on me. The guide on the hike had trained his eye. He knew the patterns in the rock. He had trained his eye such that when the pattern of the rock went from speckled to smooth, he knew he was seeing a dinosaur bone. We as traders also have to train ourselves to see the pivot points, the turning points in the market, and read it as chart patterns. As you train your eyes to read chart patterns, you will be able to see the opportunities that are all around you. If you don’t train your eye to read the chart, you may be the person who goes on a hike with dinosaur bones all around you and never see one!