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Enhanced Parallel Channel Tool with Fib Levels - AVAX Example AVAX on the Rise with TradingView’s Enhanced Parallel Channel Tool 🎯🚀💹 Hey fellow traders! Today, I'm diving with excitement into AVAX and how TradingView's new Parallel Channel tool levels up my (our) analysis. TradingView continues to prove why it's the #1 platform for traders, with new features that keep us ahead of the game! For me personally this extra steps, updates and tools are Very important as they help me do better with analysis and trading. AVAX Example: Right now, AVAX is showing promising action within an ascending parallel channel, with strong support around $24.32 and a secondary layer at $22.97. This channel setup, now enhanced with additional levels on TradingView, is giving us a clearer picture of potential price movements. By activating these extra levels, we get a deeper, more nuanced view of the trend—ideal for pinpointing resistance and support points with precision. The new option to add my favorite Fib 0,618 level is AMAZING! To enable these new levels on your chart: Open the Parallel Channel settings. Go to the Style tab. Check the boxes to activate more levels, allowing you to customize coefficients, colors, thickness, and line styles. With this upgraded tool, I will be targeting $31.79 as the next key resistance level for AVAX. If bullish momentum holds, we could see a push up to the $40 mark at the top of the channel. It’s a promising setup, and I'll be entering this trade with excitement! FXPROFESSOR 202: Personally i have added 0.618 level (on both sides) and you can see how well the chart works. Keep in mind that for this structure (parallel channel) the 0.50 level remains the Key Level on drawing the channel: There is no valid channel unless the middle level does not have a confirmation acting as S/R/S or R/S/R. A massive shoutout to the TradingView team for continually refining these tools, setting industry standards, and empowering us to perform better analysis. This is why TradingView remains the best choice for serious traders everywhere. I am proud to be part of this community, right here and always. One Love, The FXPROFESSOR 💙 Explore TradingView’s Latest Channel Tool Update: www.tradingview.com
Education
by FX_Professor
1
Moving average crossover strategy by Cripto SolutionsI have been working with the crossover strategy for some time, I have been doing backtesting and I have been surprised by the level of success that they leave me with when it comes to putting it into practice. It is simply based on looking for where we have moving average crossovers, which are areas where The price ALWAYS has a reaction no matter how the movement comes. If it is going up it reacts downwards, if it is falling it reacts downwards. I have an operation precision level of more than 97% and with SL that does not exceed 1%, reducing unnecessary risks. The ideal is to identify the crossings from highest to lowest temporality, (Weekly, daily and 4H) smaller temporalities to polish the entries well. Put it into practice, you will never use an indicator other than the EMAs (5,20,200)
Editors' picks
Education
by CriptoSolutions
4
#Finnifty LevelsI’ve created a chart highlighting the key support and resistance levels for Finnifty, designed to help traders make informed decisions. These levels provide critical insights for understanding potential price movements, enabling traders to identify ideal entry and exit points. Use these levels to gain a clearer perspective on Finnifty’s trends and optimize your trades with greater confidence. Remember, these levels serve as guidance, so always combine them with your own analysis and risk management.
NSE:FINNIFTY1!Education
by Prabhu2020
1
Recognize the problems that you have..Trading is a complex venture that involves understanding financial instruments, charts, patterns, market conditions, risk management and other factors. Becoming a successful trader requires more than technical knowledge. You also need to develop the right mindset to navigate the psychological intricacies of trading. Human emotion, instinct, and behavior can profoundly impact your decision-making process. That’s why it’s important to understand trading psychology. ~ OGwavetrader
Education
by OGwavetrader
Transitioning from Successful Demo Trading to Live TradingHow to Avoid Choking Your Live Account The journey from demo trading to live trading is often more challenging than most traders anticipate. The image you’ve shared captures the key steps of this transition—from mastering a demo account to navigating the psychological hurdles of live trading. While demo trading is an essential part of a trader’s education, live trading introduces emotional and psychological challenges that many traders find difficult to manage. Let’s dive into the key stages and explore how to transition successfully without choking your live account. 1. Successful Demo Trading At the start, many traders achieve consistent results in demo trading. In a demo environment, there’s no real money at stake, which allows for calm, calculated decisions and plenty of room for mistakes. It’s here that you develop and fine-tune your strategy without the fear of financial loss. However, the ease of success in a demo account can create a false sense of security about your readiness for live trading. 2. Transition to Live Trading Moving from demo to live trading is a crucial moment. Many traders believe that because they are profitable in demo trading, they are automatically ready to replicate that success in a live account. However, the difference between the two is the introduction of real money and real emotions. The fear of loss and the pressure to protect your capital can interfere with the clear thinking that guided you in the demo environment. 3. Overthinking Begins In live trading, overthinking is a common problem that often creeps in early. Unlike demo trading, where decisions flow effortlessly, live trading introduces hesitation. Traders tend to question their strategies, second-guess their analysis, and get caught up in minute details that don’t necessarily matter. The fear of making a wrong decision becomes amplified when real money is on the line, often causing traders to overanalyze market movements. 4. Paralysis by Analysis As overthinking intensifies, traders can fall into what is known as paralysis by analysis. This happens when you analyze the market so extensively that you become too hesitant to make any trading decisions. Constantly doubting your entry points, second-guessing signals, or being afraid of missing out can lead to missed opportunities and a lack of trading action. At this stage, fear dominates logic, and traders may either overtrade or avoid trading altogether. 5. Trading Failure Inevitably, if you allow overthinking and paralysis to take control, it can lead to trading failure. This failure isn’t necessarily about blowing your account—it’s about failing to follow your trading plan, succumbing to emotional decisions, and deviating from the strategy that made you successful in demo trading. Fear of losing, coupled with poor decision-making, can lead to a downward spiral. 6. Need for Strategy When traders hit a rough patch, they realize the importance of sticking to a well-defined strategy. A consistent strategy should not only outline entry and exit points but also incorporate risk management, stop-loss placement, and clear goals. At this stage, traders must revisit their demo strategies and adapt them to the emotional reality of live trading. Importantly, the need for strategy isn’t just about the technical side—it’s about managing emotions and sticking to the plan under pressure. 7. Implementing Strategies Having a solid strategy is one thing, but implementing it consistently in live trading is a different challenge. This stage is where traders must learn to trust their strategy, let go of the fear of losses, and maintain emotional discipline. It’s crucial to trade small positions at the beginning to minimize the emotional impact of any losses. Gradually scaling up as confidence grows allows for emotional adjustment without the added pressure of large financial risk. 8. Successful Live Trading The final stage is successful live trading, where traders have mastered not just the technical aspects of their strategy but the emotional and psychological elements as well. Success in live trading is marked by consistent execution of a plan, disciplined risk management, and the ability to stay calm during market fluctuations. At this point, you’ve learned to manage your emotions, handle losses gracefully, and take profits when the time is right. Tips to Avoid Choking Your Live Account Start Small: When transitioning from demo to live trading, start with a small account. Even if you’re profitable in demo trading, your psychological state will change when real money is at stake. Trade with smaller positions until you feel comfortable managing your emotions in a live setting. Have a Trading Plan: Stick to the same strategies that worked in your demo account. A well-defined trading plan will give you clear guidelines to follow, even when emotions run high. Make sure your plan includes risk management and contingency plans for when trades don’t go your way. Control Emotions: Live trading introduces a range of emotions—fear, greed, anxiety, and excitement. The key to success is emotional discipline. Set your stop losses and take profits before entering a trade and avoid changing your plan mid-trade based on emotion. Risk Management: Risking too much on a single trade is one of the fastest ways to lose your live account. Never risk more than 1-2% of your total account balance on any trade. This will help you stay calm and reduce the emotional pressure to win every trade. Accept Losses: Losing trades are part of the game. Even professional traders have losing trades, but they manage those losses with proper risk management and emotional control. Accept that losses are a part of trading and avoid chasing the market or trying to win back losses impulsively. Regular Reflection: After each trading session, take time to reflect on your trades. What went well? What could have been improved? This reflection will help you adjust and improve your strategy over time. Conclusion Transitioning from demo trading to live trading is more about managing emotions than it is about mastering the technical aspects of trading. While the technical skills you develop in demo trading are essential, emotional discipline is what separates successful live traders from those who struggle. By starting small, sticking to your strategy, and managing your risk, you can avoid choking your live account and set yourself up for long-term success in the markets.
FX:XAUUSDEducation
by pow_removetheguesswork
MATH - This is how you REALLY use Elliott WaveThis is a great example of a beautiful setup and how to lay out a low risk, high reward trade, especially for those that are still learning and wondering how to apply Elliott Wave. Or maybe you are unfamiliar with Elliott Wave or someone who thinks it's nonsense. Well let me show you how I do it and hopefully help you learn the best technical strategy. These are the setups I salivate on. And I don't care if I lose 8 out of 10, because the 2 that hit will more than pay off the losers. Support box is clear. Below the September low and I'd be out as we'd be below the reliable 61.8% retracement. Breaking that fib retracement level means that it can do anything from bullish, to diagonal, to sideways, to bearish moves. And we don't want to waste our time with stocks that aren't trending. Nothing is reliable anymore - therefore, we don't want to trade it below that. Toss it away. Move on to the next one. For this play, you could accumulate shares under $2.25 which is the previous high. I have it labeled as a Wave (1) but it could easily just be an (A) wave. As a quick refresher, trending impulsive moves happen in 5-wave moves. Since we don't know for 100% certainty that this will become that, we have to prepare for the other likely scenarios. We are already protected from significant downside with our stop below the 61.8% retracement, so I just don't care what might happen in a bearish count. So for bullish, I want to accumulate under the last high and catch the breakout. Once broken out, minimum target is $4.25. That's the 100% extension of (1) from the bottom of (2), the first resistance. If this ends up being a 3-wave (A)(B)(C), it would top out there at the 100%, so we want to make sure we have all of our money back by then. A full bullish follow through could take it anywhere between $12 (161.8% fib) and $22.50 (200% fib, which is where a standard impulsive 5-wave rally is expected to end with no extensions). If you buy a stock like this with stop below the 61.8%, you can go net free (return of original equity) by selling however many shares are needed to get your original money back at the previous high around $2.25 which should reject at first try (as it is the most likely landing spot for Wave 1 inside of Wave (3). Once a higher low forms from there (Wave 2 of (3)) between $1.20 and $1.75, you could go in even harder, buying more shares, and moving your stop on all shares to that higher low, providing a very low risk scenario. By the time $4.25 is hit, you should be completely net free with plenty of shares left and maybe even take some good profits. Remember, this is an outline NOT A PREDICTION. That's why we have a stop, a plan, and multiple targets. As it plays out, we gain more clarity and update our outline. Probably even find a trend channel. This is Elliott Wave. This is Fibonacci Pinball (the creation of Avi Gilburt at elliottwavetrader,net). It's not telling you what's going to happen. It's telling you what could happen, laying out the most probable path, limiting your risk, and telling you when it might be wrong and how to pivot. And don't go thinking this will happen all at once. Keep good notes of your entry and all sales. This likely takes 1-3 years. Standard disclosures: 1. This is 100% my idea. It was not sourced from any other avenue. 2. I am not invested in this company, though I am likely buying shares soon. 3. I am not paid to post content nor do I receive any contributions of any kind. 4. While this is outlining a potential profitable setup, this article is not investment advice. You should do your own due diligence on any company you invest in and apply your own trading strategies. 5. I know nothing about the fundamentals of this company. I suggest doing your due diligence if fundamentals are important to you. 6. Readers should always remember that markets are their own creature made up of millions of individuals and institutions each following some combo of inherent bullishness, inherent bearishness, fundamentals, technicals, stupidity, and pure emotion. Elliott Wave, and specifically Fibonacci Pinball (developed by Avi Gilburt at elliottwavetrader.net and prominent Seeking Alpha author), merely provide a framework based on the observed price action to date. 7. I know that while my wave outline is based on years and years of data and application from not only me, but some of the best in the game, I also know that markets do not follow a set path and that sentiment can remain irrational far longer than I can remain rational. That is why you MUST consider the alternatives and manage risk appropriately. Know the pivot zones that could lead to the primary path failing. I warrant that the information created and published by me on TradingView is not prohibited, doesn't constitute investment advice, and isn't created solely for qualified investors. My analysis is not a recommendation for a specific trade. My analysis outlines a potential scenario and provides risk assessments for multiple alternate scenarios. My analysis is purely educational.
Editors' picks
NASDAQ:MATHEducation
by mazag08
1
TONCOIN high potential and next targets (educational) Hello and greetings to all the crypto enthusiasts, ✌ 🧨 summary: 🧨 Toncoin is gaining recognition in the crypto space, supported by a strong community and increasing adoption across platforms. Despite facing short-term challenges, its potential for explosive growth remains promising, especially if it can stabilize around key support levels. 📚💣 Toncoin is a cryptocurrency that has become increasingly well-known among active participants in the crypto space, establishing itself as a significant player in the market. It enjoys robust community support, which manifests through one of the largest and most engaged groups on social media platforms. This active community not only generates discussions around Toncoin but also plays a crucial role in its promotion and utilization. Various channels are continuously and dynamically used to advocate for the coin, making it an influential entity in the cryptocurrency ecosystem. 📚🔥 The widespread use of Toncoin across multiple platforms over the years has been instrumental in its rise to prominence. As more users and investors discover its unique features and capabilities, the adoption rate of this token is likely to increase, further enhancing its market presence. This growing awareness can lead to more substantial investment inflows, creating a positive feedback loop that fuels its growth. I firmly believe in the incredible potential of Toncoin and anticipate significant upward movement in its value in the near future. 📚✔ However, to better understand the current situation, we must analyze the technical aspects of Toncoin. The present technical chart suggests that the token is traversing a downward channel, indicating that the short-term price action may face challenges. The first key support level to watch closely is $4.50. This level is pivotal because if Toncoin cannot maintain its position above this threshold, we may see further declines in its value. Should the price break below this level, the next significant support area we would need to monitor is $2.80. This price point serves as a crucial buffer for the token’s stability and market sentiment. 📚🎇 If Toncoin does decline to the $2.80 level and fails to rebound quickly, it could lead to a prolonged bearish phase, which may discourage some investors. However, it’s important to recognize that the cryptocurrency market operates in cycles of accumulation and distribution. Often, after a price drop, savvy investors, particularly market whales and major stakeholders, look for opportunities to buy in at lower prices. This phenomenon can create a strong base for recovery, as these larger players accumulate tokens at attractive valuations. 📚💡 Once Toncoin reaches this critical support level of $2.80, we might witness a significant accumulation phase. The involvement of institutional investors and market whales can act as a catalyst for price recovery. These entities often have the resources and strategic insights to navigate the market effectively, and their participation can enhance overall market confidence in Toncoin. As these investors buy up tokens, they can create upward pressure on the price, leading to renewed interest from retail investors. 📚🙌 Historically, when cryptocurrencies experience substantial accumulation at key support levels, they often bounce back with remarkable intensity. This pattern can lead to explosive price movements, particularly when the market sentiment shifts in favor of the asset. Given Toncoin’s strong community backing, innovative use cases, and potential for real-world applications, it stands to reason that the coin could be poised for impressive growth in the coming months. 📚✨ Furthermore, the broader context of the cryptocurrency market plays a significant role in Toncoin's potential trajectory. As more investors seek diversification and exposure to emerging projects, Toncoin could benefit from the general market trends. Additionally, if other major cryptocurrencies experience positive price action, it often creates a favorable environment for altcoins like Toncoin to gain traction and attract new investors. 📚✌ Thank you for your attention. If you have any questions or comments, I’m here to respond to you. 🐋💡
Education
by MadWhale
1
What Is a Parabolic Arc Pattern, and How Can You Trade It?What Is a Parabolic Arc Pattern, and How Can You Trade It? The parabolic arc pattern is a significant formation in technical analysis, showcasing rapid, exponential price movements that signal significant bullish momentum followed by sharp reversals. This article delves into identifying, trading, and managing the risks associated with parabolic arcs. Understanding the Parabolic Arc Pattern The parabolic arc or parabolic curve is a technical chart pattern that signals a potential reversal. It is characterised by a steep, exponential rise in asset prices, followed by a sharp decline. Characteristics of the Parabolic Arc Pattern - Gradual Start: Initially, prices rise slowly and steadily. - Acceleration Phase: The price movement becomes more rapid, often driven by increasing speculation and market excitement. - Exhaustion Phase: Prices reach a peak where the upward momentum cannot be maintained, leading to a sharp downturn. This pattern can be seen across various markets, including stocks, forex, cryptocurrencies*, and commodities. It often occurs during speculative bubbles when market sentiment becomes overly optimistic. The pattern's unique shape makes it identifiable, but it requires careful analysis to distinguish it from other formations. The parabolic arc chart pattern has been observed in numerous historical market events. Notable examples include the dot-com bubble of the late 1990s and the Bitcoin surge in 2017. However, they can occur across all timeframes. If you find a parabolic curve on a low timeframe, it may look like a long bullish candle, typically closing near the highs, on a higher timeframe. The parabolic arc trading pattern is unique in that, unlike the head and shoulders or double top patterns, which have more symmetrical and predictable formations, the parabolic arc is asymmetrical with a steeper rise and a sudden drop. This distinct shape can offer valuable insights into market psychology and potential future movements. To identify your own parabolic arc chart patterns, head over to FXOpen’s free TickTrader platform to explore a wide range of markets and trading tools. The Psychology Behind the Parabolic Arc Pattern The parabolic arc pattern is heavily influenced by market psychology, primarily driven by two emotional extremes: greed and fear. In the initial stages of the pattern, optimism and speculation dominate, causing prices to rise rapidly. This is often fueled by Fear of Missing Out (FOMO), where traders rush to buy, believing the price will continue to soar indefinitely. As prices climb steeply, the psychological effect intensifies, leading to more aggressive buying. This phase is characterised by euphoria, where rational analysis takes a back seat to the prevailing bullish sentiment. Investors and traders, seeing rapid gains, are convinced the rally is unbreakable, which propels prices even higher. Along the way, some traders will begin to take potential returns while others will enter short positions. This creates pullbacks or ranges within the bullish trend, sometimes called ‘bases,’ that move in a stair-stepping fashion. Generally speaking, there are often three or four bases in a parabolic trend, though there can be fewer or more. The break in the uptrend often prompts a new wave of euphoric buying, leading to another surge higher. However, this fast growth is unsustainable. Eventually, it reaches a tipping point where the exhaustion phase kicks in as early investors start to take potential returns, leading to a shift in sentiment. Fear sets in as prices begin to reverse sharply. The same emotional drivers that fueled the ascent—greed and FOMO—now contribute to panic selling and rapid price declines. In the same way a positive feedback loop drives euphoric buying, this negative feedback loop can cause traders to scramble for the exit door and prompt a sharp reversal almost as steep or steeper as the initial ascent. Identifying the Parabolic Arc Pattern Identifying the parabolic arc pattern in trading involves recognising a distinct, exponentially rising price trajectory. This pattern typically follows a period of sideways accumulation, where prices move horizontally with minimal fluctuation. The transition from this phase to a parabolic rise marks the start of the pattern. Key Characteristics A curved line can be drawn connecting the successive higher lows of the price action. This line's slope increases at an almost exponential rate, visually representing the accelerating price movement. The steepening of this curve is a hallmark of the parabolic arc, indicating increasing buying momentum. Volume Analysis Volume can play a critical role in identifying and confirming the parabolic arc pattern. As prices begin their rapid ascent, trading volume often surges, reflecting heightened market interest and speculative buying. The constant increase in volume is crucial for validating the strength and sustainability of the pattern. A significant rise in volume during the parabolic phase suggests strong participation from traders, further driving prices upward. Technical Indicators The Parabolic SAR indicator is a valuable tool for identifying parabolic arc patterns. This indicator places dots above or below the price, signalling potential reversal points. During a parabolic rise, the Parabolic SAR dots will trail below the price, confirming the uptrend. While short-term corrections in the parabolic ascent will plot dots above the price, there will typically be fewer dots vs those below the price. As the pattern approaches its peak and the price movement starts to decelerate, dots will also begin to appear above the price, indicating a potential correction. However, while there may have been only a few dots above the price during the parabolic movement, there will likely be a greater number of dots above the price as the trend begins to cool, as seen in the chart above. It’s important to note that this can be a visual cue that the parabolic trend is ending, but the lagging nature of the Parabolic SAR indicator means that it comes with a significant delay. It’s best used as confirmation of a parabolic trend or reversal rather than a sole indicator of a parabolic ascent. Trading the Parabolic Curve Chart Pattern The parabolic curve chart pattern is a powerful yet risky formation. As buyers are in complete control, leading to a strong bullish trend, it’s unclear when the trend reverses as traditional momentum indicators like RSI can indicate overbought conditions, often giving false signals. A parabolic curve trading strategy involves two main focal points: buying the uptrend and shorting the reversal. Buying the Uptrend Trading the uptrend of a parabolic arc can be highly rewarding, but it's also fraught with risk. The bullish trend is strong, and buyers dominate the market, making it challenging to determine an optimal entry point. Therefore, traders often use shorter timeframes. Typically, the risk-reward payoff might not be favourable as traders are effectively buying high with the aim of selling higher. According to the theory, it’s best to avoid entering trades when the ascent is near vertical due to the high probability of a sharp reversal. This is a shorter timeframe of the Carvana stock. Early Entry Points Traders often look to get involved in the early stages of the parabolic arc, typically after a breakout from a sideways accumulation phase. During this phase, the price may follow a stair-stepping pattern, making it more probable the uptrend will continue. Waiting for a Pullback Another strategy involves waiting for a pullback in the strong trend. Traders might look for such signals as the price reaching a previous resistance point that now acts as support or the RSI on a lower timeframe showing oversold conditions. Setting a buy stop at the high of the pullback with a stop loss below the low allows traders to participate in the breakout and subsequent legs higher. Taking Profits Taking profits during a parabolic arc can be challenging. Traders could scale out, closing portions of their position at set intervals or risk-reward ratios. Another method is using significant resistance areas or round numbers as targets. Additionally, trailing a stop below the lows that form along the way can help in capturing gains while potentially protecting against a sudden reversal​. Shorting the Reversal Shorting a parabolic arc requires waiting for clear signs that the trend is reversing. This approach can be more effective but also demands precision and patience. Identifying Reversal Signals Key signals for a trend reversal include the price beginning to move near-vertically before closing below the parabolic curve trendline. Other indicators are long bearish wicks, gaps down (mostly in the case of a parabolic stock pattern), and lower lows being created. Monitoring market sentiment can also provide clues; for instance, Alternative.me’s crypto* fear and greed index and CNN's stock fear and greed index can indicate an impending reversal in these assets when they show extreme greed. However, a close outside the curve’s trendline is ultimately seen as the key signal. Once traders suspect a reversal, they typically enter a short position with a market order, setting a stop loss above the recent high. Taking Profits According to theory, profit-taking strategies for short positions include targeting significant support areas that previously acted as resistance. Fibonacci retracement levels, typically the 0.382 to 0.786 levels, are commonly used for setting profit targets. Specifically, parabolic ascents usually precede a sharp reversal, meaning they often correct beyond 0.5 (i.e., a 50% correction), falling between 0.618 and 0.786. Similar to long positions, trailing the stop may help capture more of the downward move. Challenges and Risks Associated with Parabolic Curve Trading Trading parabolic curves comes with significant challenges and risks. The primary risk is the high probability of a sharp reversal, as the pattern's near-vertical ascent is unsustainable. This can lead to substantial losses if traders enter the market late or fail to manage their risk properly. Volatility Parabolic arcs are marked by extreme volatility. Rapid price increases can be followed by equally swift declines, making it difficult for traders to react timely. This volatility can lead to significant slippage, where orders are executed at prices different from those expected, especially if the catalyst is a notable news event. False Signals Indicators like the RSI, Stochastic, and MACD can signal overbought conditions prematurely. In a parabolic trend, these false signals can mislead traders into exiting positions too early or entering short trades too soon​. Psychological Factors The intense fear of missing out (FOMO) can drive irrational buying, inflating the asset price to unsustainable levels. Conversely, panic selling during the reversal can exacerbate losses. Managing emotions and maintaining discipline is crucial but challenging during such volatile phases. Risk Management Effective risk management is essential but difficult to implement in real-time. Setting appropriate stop-loss orders and profit targets can be tricky due to the rapid price movements​. However, it’s important to predetermine an exit strategy and stick to it. The Bottom Line Understanding and trading the parabolic arc can offer substantial opportunities, but this pattern also comes with significant risks. By recognising the pattern early and employing effective strategies, traders can potentially enhance their trading performance. For a reliable trading experience, consider opening an FXOpen account, where you can access advanced tools and resources to navigate the complexities of parabolic arc trading. FAQs What Is a Parabolic Arc Pattern in Trading? A parabolic arc is a chart pattern characterised by a rapid, accelerating price movement that forms a parabolic shape on a chart. This pattern typically indicates strong bullish momentum followed by a sharp reversal. The steep ascent often results from speculative buying, driven by investor enthusiasm or fear of missing out (FOMO)​. How to Trade Parabolic Arcs? Trading parabolic arcs involves two main strategies: buying the uptrend early and shorting the reversal. Traders look for early signs of the pattern forming after a sideways accumulation phase and avoid entering when the ascent is near vertical. Shorting typically occurs when clear reversal signals appear, such as a break below the parabolic trendline or significant bearish indicators. What Is a Parabolic Arc Stock Pattern? A parabolic arc stock pattern is a specific formation observed in stock charts where the stock price rises steeply, forming a parabolic shape. This pattern often results from intense speculative buying and is followed by a dramatic price correction. It's common in high-momentum stocks and reflects significant shifts in market sentiment​. How to Use Parabolic SAR in Forex Trading? The Parabolic SAR (Stop and Reverse) is used in forex trading to identify potential reversals in the market. It places dots above or below the price to signal the direction of the trend. Traders use it to set trailing stop-losses and identify entry or exit points during strong trends. *At FXOpen UK, Cryptocurrency CFDs are only available for trading by those clients categorised as Professional clients under FCA Rules. They are not available for trading by Retail clients. This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
NYSE:CVNAEducation
by FXOpen
2
This is my setup !Those of you who are following me will know my logic! At the cost of being repetitive 1. Gold indicators need to cool down. No asset moves in a linear fashion (except the Zimbabwean Dollar) 2. Trump is a bit ahead in the presidential race and we all know republicans are known for their inflationary policies 3. Stellar ADP jobs numbers and today's unemployment claims reaffirmed that there is no 'hard landing' in the US economy 4. Easing Geopolitical tensions in the middle east 5. India's gold festival season shopping as ebbing out 6. Non commercial Institutions will go long at a lower level so more sellers will come into play. What are your views? Please share? Let us not trade in isolation. Thank you for reading!!
OANDA:XAUUSDEducation
by ccpudaism
Understanding Bitcoin ETFs: What They Are and Why They Matter?1. What is a Bitcoin ETF? A Bitcoin Exchange-Traded Fund (ETF) is a financial instrument that tracks the value of Bitcoin and allows investors to gain exposure to the cryptocurrency without directly owning it. Bitcoin ETFs operate similarly to traditional ETFs, which track the value of assets like stocks, commodities, or indices. Managed by financial institutions, Bitcoin ETFs are available on traditional stock exchanges, making it easier for investors to participate in Bitcoin’s price movements through regular brokerage accounts. There are two main types of Bitcoin ETFs: Spot Bitcoin ETFs: Track the current market price of Bitcoin, directly reflecting its value. Futures-based Bitcoin ETFs: Track the value of Bitcoin futures contracts, which are agreements to buy or sell Bitcoin at a predetermined price at a specified time in the future. In the U.S., Bitcoin futures ETFs have been approved and launched on major exchanges like the New York Stock Exchange (NYSE), while spot Bitcoin ETFs are still under regulatory review by the Securities and Exchange Commission (SEC). 2. How Does a Bitcoin ETF Differ from Buying Bitcoin Directly? While both Bitcoin ETFs and direct Bitcoin purchases provide exposure to Bitcoin’s value, they differ in several key ways: Ownership and Custody Bitcoin ETFs: Investors own shares in the ETF, but not the actual Bitcoin itself. The ETF provider holds the underlying Bitcoin or Bitcoin futures contracts, taking on the responsibility of secure custody. Direct Bitcoin Purchase: Investors who buy Bitcoin directly through cryptocurrency exchanges or wallets own the Bitcoin and have full control over it, including the responsibility for secure storage. Access and Regulatory Oversight Bitcoin ETFs: Are traded on traditional stock exchanges and are regulated by financial authorities. This oversight ensures investor protections that are not typically present in cryptocurrency markets. Direct Bitcoin Purchase: Involves buying from cryptocurrency exchanges, many of which are less regulated and may lack certain protections offered by traditional financial products. Trading Hours Bitcoin ETFs: Trade during standard market hours, typically from 9:30 AM to 4:00 PM EST. Investors can buy or sell shares only within these hours. Direct Bitcoin Purchase: Bitcoin can be traded 24/7, giving investors the flexibility to enter or exit positions at any time. Taxation and Fees Bitcoin ETFs: Investors are subject to capital gains taxes and may also incur management fees for ETF administration. Direct Bitcoin Purchase: Direct Bitcoin investors are also subject to capital gains taxes. However, they may face lower or no management fees, depending on how they store their Bitcoin. Use of Leverage and Derivatives Bitcoin Futures ETFs: These funds allow investors to speculate on Bitcoin’s future price movements without holding actual Bitcoin. However, futures-based ETFs can be more complex, as they rely on futures contracts rather than spot prices, which can introduce tracking errors. Direct Bitcoin Purchase: Investors buy Bitcoin directly, holding actual units of the asset without derivatives or leverage, providing a more straightforward exposure to its current market price. 3. Why is a Bitcoin ETF Important for the Cryptocurrency Market? The approval of a Bitcoin ETF is a significant milestone for the cryptocurrency market for several reasons: 1. Broader Accessibility Traditional Investors: A Bitcoin ETF opens the door to traditional investors, especially those who may not be comfortable using cryptocurrency exchanges. Investors can access Bitcoin exposure through familiar brokerage accounts without needing to learn about wallets or private keys. Institutional Interest: A Bitcoin ETF creates an easier path for institutional investors to participate in the Bitcoin market, bringing in large amounts of capital. As institutions enter the market, Bitcoin's market liquidity and price stability may improve. 2. Increased Legitimacy The introduction of a Bitcoin ETF legitimizes Bitcoin as an asset class in the eyes of regulators, investors, and financial institutions. It signals recognition from regulatory bodies and increases trust in Bitcoin among mainstream investors. 3. Boost to Market Liquidity Bitcoin ETFs can increase liquidity in the market, as they provide a regulated and accessible means for both retail and institutional investors to gain Bitcoin exposure. Greater liquidity can reduce volatility, making the market more stable over time. 4. Potential for Price Appreciation With increased demand and accessibility, a Bitcoin ETF could lead to upward price pressure on Bitcoin. This is especially relevant for spot ETFs, which would require the fund to hold actual Bitcoin, thus increasing demand for the underlying asset. 5. Step Toward Broader Cryptocurrency ETF Adoption Approval of a Bitcoin ETF could pave the way for ETFs focused on other cryptocurrencies like Ethereum or Solana, expanding the options for crypto exposure within traditional markets. This could accelerate the overall growth of the cryptocurrency sector. 4. Pros and Cons of Bitcoin ETFs While Bitcoin ETFs offer numerous benefits, they also come with certain drawbacks. Advantages of Bitcoin ETFs Ease of Access: ETFs are easily accessible through traditional brokerage accounts, removing the need for new accounts on cryptocurrency exchanges. Regulatory Protections: ETFs are regulated by financial authorities, providing investors with protections that may be absent on cryptocurrency exchanges. Enhanced Liquidity: Increased market liquidity through ETF participation can reduce volatility and provide a more stable trading environment for Bitcoin. Professional Custody: ETF providers manage Bitcoin custody and security, making it easier for investors who do not want to worry about wallet security or private key management. Diversification Opportunities: Bitcoin ETFs can be included in retirement accounts or blended into traditional investment portfolios, broadening their appeal as a tool for diversification. Disadvantages of Bitcoin ETFs Limited Trading Hours: ETFs can only be traded during standard market hours, unlike Bitcoin, which is available 24/7 on cryptocurrency exchanges. Management Fees: Most Bitcoin ETFs come with annual management fees, which can reduce overall returns for investors. Potential for Tracking Errors: In futures-based ETFs, tracking errors may occur, meaning the ETF's performance may not accurately match Bitcoin’s actual price movements. No Direct Ownership of Bitcoin: ETF investors do not own Bitcoin itself, which means they miss out on the ability to use or transfer the asset directly. Market Dependency on Regulators: The introduction and ongoing success of Bitcoin ETFs depend on regulators’ willingness to approve and support crypto-based financial products, which may limit the ETF market’s expansion. 5. Outlook and Future of Bitcoin ETFs The potential approval of a spot Bitcoin ETF in the U.S. could be a game-changer. With increased institutional and retail access, the Bitcoin ETF market could drive greater adoption and legitimacy for cryptocurrencies overall. However, regulatory challenges remain, as the SEC has thus far resisted approving spot Bitcoin ETFs due to concerns about market manipulation and lack of robust investor protections. As regulatory clarity improves, we may see a broader array of crypto-based ETFs emerge, possibly including multi-asset ETFs that combine Bitcoin with other cryptocurrencies or assets, such as stocks or commodities. Furthermore, as institutional adoption grows, the role of ETFs in the financial ecosystem could increase, potentially influencing Bitcoin’s price dynamics and volatility as well. Conclusion Bitcoin ETFs represent a bridge between the traditional financial world and the emerging cryptocurrency market. While they offer unique advantages, such as regulatory protections and ease of access, they also come with limitations like management fees, limited trading hours, and the lack of direct ownership. For those who want exposure to Bitcoin within the security of a regulated investment product, Bitcoin ETFs provide a promising option. The success and potential of Bitcoin ETFs lie in their ability to draw both individual and institutional investors into the cryptocurrency market, making it a potentially transformative development for the financial world. As more countries consider ETF approval, and as the cryptocurrency industry matures, Bitcoin ETFs could play a pivotal role in the mainstream adoption and integration of digital assets. Hope you enjoyed the content I created, You can support with your likes and comments this idea so more people can watch! ✅Disclaimer: Please be aware of the risks involved in trading. This idea was made for educational purposes only not for financial Investment Purposes. --- • Look at my ideas about interesting altcoins in the related section down below ↓ • For more ideas please hit "Like" and "Follow"!
NASDAQ:IBITEducation
by Crypto4light
Enhancement of the SK SystemI developed an innovation for the SK system by integrating the Inducement concept from the ICT system. Traditionally, in SK, breaking the zero point is seen as a sign to abandon the sequence. However, with this innovation, I interpret the break as a liquidity trap rather than a signal to end the sequence. This development: 1. Enhances market predictability by helping to avoid potential price traps. 2. Improves liquidity utilization by treating the false break as a new entry opportunity. 3. Increases system flexibility and accuracy by using the break as a continuation signal. 4. Combines SK and ICT methodologies, adding a stronger analytical layer. This enhancement provides traders with a competitive advantage, marking an advanced step in liquidity and price trap analysis. Developed by Engineer Mohammed
OANDA:XAUUSDEducation
by Enginner82
Daily ATR 2 and 10 Percent Values indicator for stop lossThis indicator displays three values: the ATR value, a 2% value and a 10% value of the Daily ATR. After adding the indicator to your chart, follow these steps to view the values and labels on the right: 1. Right-click on the price level bar or click the gear icon at the bottom of the price bar. 2. Select "LABELS." 3. Check mark the boxes for the following options: - "INDICATORS AND FINANCIAL NAME LABELS" - "INDICATORS AND FINANCIAL VALUE LABELS." 4. Look for D-ATR % Value, click on the gear icon and verify these settings D-ATR Lenght = 14 ATR Lenght = 14 Smoothing = RMA Timeframe = 1 Day 5. Select Wait for timeframe closes 6. Click on Defaults, Save as default, and click ok. You can move the indicator to the top of your chart if preferred, by clicking on Move pane up. Please keep the following in mind: when you scroll to the left of the chart if the indicator appears transparent, as shown in this image, it means you are not viewing the most recent values, likely because you are not at the end of the chart. To obtain the latest data, either click this button or this other one to reset the chart view or scroll to the end of the chart.
NYSE:MAEducation
by TraderMrE
Low hanging fruit continuation setup taken with Gold and NASIn this video, I walk you through my entire thought process during today's trading session. You'll learn how I selected the pairs and executed three key trades: * Silver long scalp * Gold LHF Short * NAS LHF short I'll also provide a detailed explanation of the LHF setup, helping you understand how to apply this strategy in your own trading. LHF is one of my personal A+ playbook setups. Don't miss out on these valuable insights and tips!
OANDA:XAGUSDEducation
by TC888
Trading NZDUSD | Judas Swing Strategy 28/10/2024 Last week highlighted the importance of a risk management plan for all traders using the Judas swing strategy as a case study. The strategy produced two trades on FX:GBPUSD and one on $EURUSD. Despite facing two losses and securing only one win, proper risk management ensured that the single win offset the losses, allowing us to end the week at breakeven. With these results in hand, we were excited to see what the upcoming week would bring. We got to our trading desk at 8:25EST and started our day by demarcating our trading zones. Once we have demarcated our zones, we wait for the high or low of this zone to be swept, as this will assist us in determining our bias for the trading session. After 35 minutes, the high of the zone was swept, indicating that we should look for potential selling opportunities during this trading session. Next on our checklist is to wait for a Break of Structure (BOS) on the sell side. After an hour, we observed a BOS on the sell side, which resulted in a Fair Value Gap (FVG) being formed in the process We must wait for the price to retrace back into the Fair Value Gap (FVG). A trade can only be initiated once price has entered the FVG, and it is crucial to be patient and wait for the price to close before executing any trades. This waiting period acts as a filter to avoid scenarios where the candle entering the FVG proceeds to hit our stop-loss. The next five-minute candle entered the Fair Value Gap and closed, indicating that we can proceed with executing the trade The position experienced a drawdown shortly after the trade was executed, but this did not concern us as we had only risked 1% of our trading account, targeting a 2% gain. Additionally, we implemented a minimum 10 pip stop loss to allow the trade sufficient space to fluctuate without prematurely stopping us out and then proceeding in our anticipated direction. Upon checking the position later, we found it had shifted in our favor. However, we needed to remain composed since it had not yet reached our ultimate target. Our task was simply to be patient and wait for our targets to be achieved Upon reevaluating the position, we noticed that price had returned to the entry point. At such moments, individuals who have risked more than they can afford may start to panic. That's why we continually stress the importance of only risking what you can afford to lose, as it greatly diminishes the emotional investment in trades. We have encountered situations like this before and will likely face them again. However, what remains within our control is the decision to risk only an amount we are comfortable with losing, which in turn lessens the emotional attachment to the trades. According to our data, we can anticipate being in a position for an average of 11 hours, so the duration of this trade meeting our objective is not a concern we simply need to remain patient for it to occur. After 13 hours and 25 minutes, our patience was rewarded when our Take Profit (TP) was reached, resulting in a 2% gain on the OANDA:NZDUSD trade
Education
by CleoFinance
2 Day Anchored VWAP on ES futuresInitially you have to understand what the volume weighted average price (VWAP) is. Broadly it can be defined as: Total dollars traded divided by the total shares for the period studied Vwap= ∑(Price∙Volume)/∑(Volume) This means that VWAP is more responsive to volume than price and its calculation does not depend on the timeframe we are in. It is also the most common benchmark used to compute transaction costs. what is the anchored VWAP ? The AVWAP is an indication of the average transaction price of the participants for however long it’s plotted. Normally the VWAP resets everyday at the start of the trading session, but the anchored vwap will continue its calculations from the candle it was anchored until the present bar meaning no resets in that period. In an uptrend buyers will try to defend that average entry price when price comes back to it. in the uptrend when the AVWAP is below price that means that the average participant is making money, when price crosses under they start to lose money and that could lead them to try to exit and push price even lower. So the cross of the AVWAP can mark a change on the near term trend. It is very important to mark the AVWAP from significant price levels or catalysts, in this case we will analyze the 2 Day anchored VWAP (2DAVWAP) on CME_MINI:ES1! futures. Where do you anchor the 2DAVWAP ? For example, if it's a wednesday morning you want to anchor the VWAP at monday 5pm CME_MINI:ES1! futures open. An easy way of finding the right candle to anchor is checking the "session breaks" option in the chart settings so after your session break line shows the next candle (in any timeframe) that will be the one anchored so you can trade it at the next session. How to trade it ? 1. It is very important that CME_MINI:ES1! is in a clear and strong uptrend, this is a following the trend strategy. It can also be used in downtrends but backtesting it has proven to me that long setups are the best setups. If CME_MINI:ES1! has been uptrending and then starts consolidating but starts to move up from a good support level you can also enter a setup on that market context. 2. Anchor the VWAP from the session open and wait until next day. 3. Wait until price retraces to the 2DAVWAP the next day. It only works when the retracement happens the next day, don't trade that anchored VWAP further than that. 2. Watch the price action - Volume when it reaches the AVWAP. Price action and volume should Show an effort of buyers to continue the trend, Candle should reach the 2DAVWAP and form a hammer candlestick closing above the AVWAP in the 15 min TF (best entry point, wait for candle close). 3. Mark the 38.2% and 50% Fibonacci retracement levels from previous day low to the present day high. The lowest price can go for you to still consider entering the trade is the 50% retracement, lower than that you dismiss the trade. Go with confidence if there is a confluence between fib and the 2DAVWAP. 4. Set a Stop loss based on maximum adverse excursion (MAE) and the average true range (ATR) for that day (this risk management should be defined with backtest). A good tip is always try to enter the closest to were you would be wrong in a trade, which can be below the 50% retracement for example. 5. Set a Target profit based on maximum favorable excursion (MFE) and the average true range (ATR) for that day (this risk management should be defined with backtest). A good tip is try to exit at least at previous highs if there is volatility on the day. Finally, the entry could be at any time of the day, it could happen at 2 am EST or it could happen at 10 am EST, it really does not matter. Always take trading seriously, stay discipline and do your own backtesting and find what works the best for you. I will be posting more educational posts on AVWAP. This strategy has only been backtested in CME_MINI:ES1! futures.
CME_MINI:ES1!Education
by FTWTraders
How to Use Exponential Moving Averages?The Exponential Moving Average (EMA) is one of the most popular technical indicators for traders, known for its sensitivity to recent price changes and ability to reveal trends in real-time. This is certainly not a 100% grail or a super indicator! But I would recommend not to ignore EMA during backtests What is the Exponential Moving Average (EMA)? The EMA is a moving average that gives more weight to recent prices, allowing it to react faster to price changes compared to the SMA. This quality makes EMA especially valuable in volatile markets like cryptocurrencies, forex, and stocks. Typically, traders use the EMA to smooth price data, making it easier to spot trends and reversals. Key EMA Timeframes: Short-Term: 10-20 EMA (for quick trades and scalping) Medium-Term: 50 EMA (commonly used to gauge trend direction) Long-Term: 100-200 EMA (used to assess overall market sentiment) Why Use EMA in Trading? The EMA helps traders identify the trend direction, evaluate market momentum, and recognize possible reversal points. Because the EMA adjusts quickly to price changes, it is effective for day trading, intraday trading, and even longer-term investing. Its responsiveness is particularly useful for: Trend Confirmation: The EMA helps traders confirm if a trend is upward or downward. Multiple EMAs used in combination can highlight potential crossovers that signal trend shifts. Entry and Exit Signals: EMA crossovers and support/resistance levels can serve as effective entry and exit points. Momentum Assessment: Short-term EMAs provide insight into current momentum, while longer-term EMAs reveal broader market sentiment. Pros and Cons of Using EMA in Trading Pros: Reactiveness: EMA adjusts quickly to new price movements, helping identify trends sooner than SMA. Versatility: Suitable for various timeframes, from scalping to swing trading. Clear Signals: Effective in trending markets for capturing entry and exit points. Cons: Sensitivity to Noise: EMA is more susceptible to market “noise” or erratic price swings, leading to potential false signals in choppy markets. Not Ideal for Ranging Markets: EMA is less effective in sideways or consolidating markets. Tips for Trading with EMA Use EMA in Trending Markets: EMA performs best when there is a clear trend. In ranging markets, signals are less reliable. Combine EMA with Other Indicators: Use indicators like RSI or MACD to confirm EMA signals and reduce the chances of false breakouts. Stick to Risk Management Rules: EMAs, while effective, are not foolproof. Always set stop-loss levels and use proper position sizing to manage risk effectively. Hope you enjoyed the content I created, You can support with your likes and comments this idea so more people can watch! ✅Disclaimer: Please be aware of the risks involved in trading. This idea was made for educational purposes only not for financial Investment Purposes. --- • Look at my ideas about interesting altcoins in the related section down below ↓ • For more ideas please hit "Like" and "Follow"!
Education
by Crypto4light
2
8313-Rasan-Long BullishBuy-67-74.8 SL:- 65 DCB 1st Tgt-93 2Nd Tgt:99 Company posted Good result with Operating profit increase of 98% Disclaimer: The information posted on Trading View is for informative purposes and is not intended to constitute advice in any form, including but not limited to investment, accounting, tax, legal or regulatory advice. The information therefore has no regard to the specific investment objectives, financial situation or particular needs of any specific recipient. Opinions expressed are our current opinions as of the date appearing on Trading View only. All illustrations, forecasts or hypothetical data are for illustrative purposes only. The Society of Technical Analysts Ltd does not make representation that the information provided is appropriate for use in all jurisdictions or by all Investors or other potential Investors. Parties are therefore responsible for compliance with applicable local laws and regulations. The Society of Technical Analysts will not be held liable for any loss or damage resulting directly or indirectly from the use of any information on this site.
8Education
by khanrashid80
SHIB some educational point for investors (educational)Hello and greetings to all my valued followers and crypto enthusiasts. In this IDEA, I aim to provide some educational points and overview of the SHIBUSDT’s position. 🙌🐋 The SHIB token is one of the loudest tokens in the crypto market over the past few years, especially during the peak of the crypto market. It was a time when many investors flooded into the market, and this token experienced a significant explosive price increase. It had a large community and a very powerful tool known as media, which resulted in a massive influx of capital over a few months. Buyers at various levels and stages were purchasing this token, and their wallets saw beautiful positive green numbers, realizing substantial profits. However, before they could withdraw these profits, just like what happens to most of these upward explosions, they fell into doubt and uncertainty. This capital, like layers of sedimentary rocks formed at the bottom of the sea, became trapped and stagnant in the same purchased assets. As I mentioned, contrary to the potential this token has, it has fallen into a deep sleep, and to emerge from this slumber, a new influx of capital is needed. Nevertheless, it still holds great potential for growth. The point I want to emphasize today, or rather share from my personal experience, is to sometimes embrace the events that occur in life and give a new color to your path with this acceptance. Financial markets, much like life, embed the psychology of human beings in every layer. If you encounter failure or loss, stopping your losses at any moment is a golden win for you. I’ll keep my words short to have a deeper impact on you; just think carefully about my words and don’t repeat my past experiences. Now, I’ll provide a brief summary of the upcoming trend for the SHIB token: the price of this token is currently experiencing a range and calm cycle similar to most market trends, and with a new influx of capital, we can expect a good price increase. Summary: learn to accept your mistakes and cut the loss as soon as possible, don't steak to your pleasant moment happened in the past and respect this as well in crypto market too. Thank you for your attention. If you have any questions or comments, I’m here to respond to you. 🐋💡
Education
by MadWhale
4