Educational Themes of Intermediate and Advanced Complexity. In this section, we include all that is needed to master technical analysis such as complete coverage of price action themes: Support-resistance, volume, volatility, breakouts, reversals, trend and range trading, candlestick and chart patterns and formations, Elliott wave and Fibonacci retracements and extensions, and harmonic patterns. It includes also a section covering all indicators from simple moving averages to the complexity of Ehlels Filters. Another sub-section is dedicated to trading systems desing.
Forex and all other markets surge with volatility during the US elections. Many promote this event as an opportunity to earn quick money although, in the end, it is the promoter who wins in some way. Traders who have an understanding of how we approach uncontrollable risk coming out from election events know we choose to avoid rather than to bet. The plan we put in place for such occasions is adequate for those who follow our trading ways and systems, however, the tips we are about to present are for everyone. Traders should take these recommendations as they fit, they are just a part of one technical prop trader group researching an experience. One is certain, only when we have a plan or rulebook we also reduce the risk of completely busting our accounts during elections. In our case completely protected since such uncontrollable risk is avoided by simply not trading. We will tackle different markets where buy and hold strategies are applied and a plan for all major 8 currencies regarding elections or other significant events such as Brexit.
Becoming a full-time trader is something that a lot of people aim for, it is the main goal for a lot of people, to get rid of that 9-5 job, to get out from under that boss from hell, but a lot of people who eat it, are not fully prepared for what is actually involved in it. Going full time is a huge step and it can put you under a lot of pressure, the pressure that you didn't have as a part-time trader due to having other sources of income or not needing to rely on it.
In today’s lesson, we are going to demonstrate an H1 chart offering an entry by using intraday support/resistance. To go with it, Fibonacci levels are used to spot out the stop-loss and take-profit levels. Let us now get started.
Stress and pressure is an unfortunate part of trading, and it is one of those things that is inevitable and impossible to avoid completely....
NZD/USD Exogenous Analysis
The EURNZD cross is seen consolidating near the extreme bearish sentiment zone backed by the strength of the New Zealand dollar. This consolidation suggests a pause of the downward sequence that began on August 20th and ended heavily oversold after its latest decline that drove it to 1.69472.
Fibonacci traders are to find out a good move, followed by a price correction. They keep their eyes on the 61.8% level with extreme attention. If the level of 61.8% produces a reversal candle, traders trigger for entry. Usually, the price goes up to the level of 161.8% if the price trends from 61.8%. This allows an excellent risk-reward to the traders as well. In today’s article, we are going to demonstrate an example of how the golden ratio of 61.8% plays such an important role in moving the market towards the trend. Let us get started.
Introduction to Cash Reserve Ratio
The Crab Pattern The crab pattern is another of Carney’s harmonic patterns and one of the first that he discovered. The essential condition of this pattern is the
Fibonacci levels are obtained by using higher highs or lower lows. A chart may have many higher highs/lower lows. Thus, Fibonacci levels can be obtained at different levels. A trader may find it difficult to spot out the levels where the price may react. In today’s lesson, we are going to see how different higher highs may lead us to having Fibonacci levels where the price does not react.
In today’s lesson, we are going to demonstrate an example of a breakout at a weekly high. The price consolidates afterward but fails to make a breakout at consolidation resistance. Thus, the price does not head towards the North. Let us find out how that happens and what lesson it holds for us.
Until now, we have defined two kinds of waves, motive and corrective. In this article, we will introduce the concept of "degree," which will help us in the process
The third basic corrective formation is the triangle. This pattern follows a 3-3-3-3-3 sequence. In this educational article, we will unfold the main characteristics of this Elliott Wave pattern. The
In today’s lesson, we are going to demonstrate the formation of a down-trending Trendline. A trendline can be formed with a double top or double bottom as well. However, double top’s resistance or double bottom’s support may not be horizontal. Let us find out how they may look in the chart.
In today’s lesson, we are going to demonstrate an intraday chart that ends up offering an entry. Intraday trading can be prolific if it is done in the right way. In today’s example, the price heads towards the North by making a good bullish move. It seems that the bull is in control. However, the price gets bearish later and ends up offering entry to the sellers. Let us find out how that happens.
Although the currency market is the largest market in the world, there are still many traders who have no idea how it works. So,...
Forex trading is known to cause a rollercoaster of emotions – from excitement and self-fulfillment, to anxiety and bitter disappointment, along with every other emotion in between. Sometimes, the best thing to do is to step away and take a break from trading until you can get your emotions under control. However, many traders don’t want to miss out on opportunities, so taking a break from trading might be difficult. One of the best ways to get yourself more level-headed is to figure out a self-calming technique that works for you. Some of these can be practiced while trading, others might require you to step away for a short time. Either way, these techniques can help clear your mind so that you can get back to trading. Here are some popular calming techniques:
We are going to demonstrate an example of a trade setup on the H4 chart. The price, after breaches the last week’s low; it consolidates and produces a strong bearish reversal candle. It then heads towards the South with extreme bearish momentum. Let us find out how that happens.
Everybody knows Bollinger Bands, that kind of rivery thing surrounding prices. But almost nobody knows what to do with them. Maybe we can help a bit with that. 1
I see a lot of people approaching the financial markets as a way to get a second income or even be financially independent. The major part of them wants to invest in the financial markets but don't have the time or interest in mastering the needed skills to really succeed.
What is like to be a professional forex trader? Not long ago, we had an interview with a high-profile forex trader named Arnold, he was speaking about the motives and transitions he was going through, why he became a trader and how that decision affected his life. When we asked him how he discovered forex, he said that in his mid-twenties he worked as an assistant manager at Abercrombie & Fitch store in London, drinking around with his lads, and always struggling to support his living. One day on his way back home, he was in the metro sitting next to the nifty guy and noticed him playing some strange video game on his mobile phone. He was curious so he politely asked a guy about the game.
The MACD Fig 1- Chart with MACD. Click on it to enlarge The Moving Average Convergence Divergence (MACD) is probably one of the most popular and well-known oscillator indicators in
Candlestick Reversal patterns: An Overview
If you are reading this article, you must be serious about trading. Did you know that curiosity and eagerness to learn are the two...
Indicators are a tool that Forex’s technical analysis, traders, and statisticians use in financial markets to take a statistical approach rather than a subjective...
If you are trying with any kind of financial market for a significant period of time, you will start testing and forming some kind...
The USDCAD pair reveals a strong bearish movement that seems have found a short-term bottom. In this regard, the price could start a rally that could boost the price toward October's highs zone.
Biases can have an effect on anything in life, from the food you wat, the places you visit, and when we are looking at...
Except for elementary tasks, to do a job properly, it is commonly subdivided into several tasks or processes, each of them optimized to get the best results. To succeed in Forex trading, people need to think about trading as a job made up of several processes that the trader needs to do every day.
Trading addiction is a real problem, not unlike alcoholism or gambling addictions. Trading strongly stimulates the reward center in one’s brain and we become...
We have finished the section that covers advanced concepts of the Elliott Wave Principle. These concepts are unfolded, including the following aspects.
What is the Industrial Production Index?
Forex trading is a hard business. A trader has to work hard to learn the algorithm of it as well as psychologically strong enough to apply them when it comes
If you have been looking over the internet, at the various social meiosis sites, forums, and trading communities, you would have seen some of...
Japanese candlestick patterns are a popular forex trading tool but are they really useful or can they be more of a burden than an...
EUR/AUD Exogenous Analysis
You’re still using Fibonacci retracements incorrectly Like any discipline or field of study, Technical Analysis goes through changes. Old theories and approaches are rigorously utilized...
The Double Bottom is one of the strongest bullish reversal patterns. When the price gets its second bounce at the same level and makes a breakout at the last swing high, the pattern it produces is called the double bottom. In today’s lesson, we are going to demonstrate an example of a double bottom in the H1 chart. At the end of the wave, an interesting thing happens. Let us proceed and find out how the double bottom offers entry and what that interesting thing is.
Today in the Asian trading session, the AUD/JPY currency pair failed to keep its early-day bullish momentum and dropped well below the 76.00 level despite the upbeat market sentiment. However, the reason for the prevalent bearish sentiment around the currency pair could be associated with the RBA's announcement of no rate change, as well as, the RBA has a dovish view on the Australian economy, which could be considered as one of the key factors that undermine the Australian dollar and contributed to the currency pair losses. Across the pond, the currency pair declines were further bolstered after the US Secretary of State Mike Pompeo said Japan's Prime Minister (PM) Yoshihide Suga would strengthen the relationship with the US. Thus, the Japanese yen got impressed by the above comments, which adds further downside pressure around the AUD/JPY currency pair.
It may be an incredibly popular tool but not all forex traders are big fans of using Fibonacci, we’re here to take a look...
Chart Patterns: Start Here