Hexagram 36 “Darkness”

Navigating Loss

Yin-Yang Symbol with I Ching hexagram 36

Earth(☷) above, Fire(☲) below

In losing streaks, protect capital—ego heals, accounts don’t.

Hexagram 36 in the I Ching represents Darkening of the Light or Crisis. It symbolizes a time of adversity, challenges, and the need to navigate through difficult circumstances with wisdom and resilience.

Examples of how Hexagram 36 can appear in four-hour charts:

Forex CHFJPY 4H chart mirroring Hexagram 36’s Yin and Yang lines—trading momentum with Taoist discipline.
Forex EURJPY 4H chart mirroring Hexagram 36’s Yin and Yang lines—trading momentum with Taoist discipline.

In the context of forex trading, this hexagram can be interpreted as follows:

Key Themes of Hexagram 36 in Forex:

Adversity and Challenges:
Hexagram 36 suggests a period of adversity and challenges in the market. In forex, this could mean high volatility, unexpected reversals, or a market that is difficult to predict.

Traders should be prepared for potential losses and be cautious in their trading decisions.

Caution and Prudence:
The hexagram highlights the need for caution and prudence. In forex, this means being careful with your trading decisions, especially during periods of high volatility or uncertainty.

Avoid taking unnecessary risks or making impulsive trades based on incomplete or ambiguous information.

Resilience and Perseverance:
Hexagram 36 underscores the importance of resilience and perseverance. In forex, this means staying committed to your trading plan and maintaining a disciplined approach, even in the face of challenges.

Focus on preserving your capital and making incremental gains rather than seeking quick, large profits.

Risk Management:
While the hexagram emphasizes caution, it also highlights the importance of managing risk. In forex, this means setting stop-loss orders, managing position sizes, and avoiding overleveraging.

Be prepared for potential market volatility and ensure that your risk management strategy is robust.

Learning from Challenges:
The hexagram encourages learning from challenges and using them as opportunities for growth. In forex, this means analyzing your losing trades to understand what went wrong and how to avoid similar mistakes in the future.

Keep a trading journal to document your trades, including the rationale behind each decision and the outcome.

Practical Forex Interpretation:
High Volatility: Be prepared for high volatility and unpredictable price movements. Focus on identifying key levels and waiting for clearer signals before entering trades.

Caution and Prudence: Be cautious with your trading decisions, especially during periods of high volatility or uncertainty. Avoid taking unnecessary risks or making impulsive trades.

Resilience and Perseverance: Stay committed to your trading plan and maintain a disciplined approach, even in the face of challenges. Focus on preserving your capital and making incremental gains.

Risk Management: Prioritize risk management by setting stop-loss orders and managing position sizes to protect your capital during volatile market conditions.

Learning from Challenges: Analyze your losing trades to understand what went wrong and how to avoid similar mistakes in the future. Keep a trading journal to document your trades and learn from your experiences.

Cautionary Note:
Hexagram 36 warns against recklessness and the dangers of taking on excessive risk. In forex, this means avoiding the temptation to deviate from your trading plan or chase after uncertain setups. Stay disciplined and ensure that your trades are based on solid analysis and reasoning.

In summary, Hexagram 36 in the context of forex trading suggests a period of adversity, challenges, and the need for caution and resilience. It encourages traders to be cautious, manage risk effectively, and learn from challenges. By maintaining a disciplined approach and focusing on preserving capital, traders can navigate the difficulties of this phase and position themselves for future opportunities.

Affirmation: "Even in darkness, I carry an inner torch."