Safe Haven Volume-Weighted Cross-Asset Correlation Insights1. Introduction
Safe-haven assets, such as Gold, Treasuries, and the Japanese Yen, are vital components in diversified portfolios, especially during periods of market uncertainty. These assets tend to attract capital in times of economic distress, serving as hedges against risk. While traditional price correlation analyses have long been used to assess relationships between assets, they often fail to account for the nuances introduced by trading volume and liquidity.
In this article, we delve into volume-weighted returns, a metric that incorporates trading volume into correlation analysis. This approach reveals deeper insights into the interplay between safe-haven assets and broader market dynamics. By examining how volume-weighted correlations evolve across daily, weekly, and monthly timeframes, traders can uncover actionable patterns and refine their strategies.
The aim is to provide a fresh perspective on the dynamics of safe-haven assets, bridging the gap between traditional price-based correlations and liquidity-driven metrics to empower traders with more comprehensive insights.
2. The Role of Volume in Correlation Analysis
Volume-weighted returns account for the magnitude of trading activity, offering a nuanced view of asset relationships. For safe-haven assets, this is particularly important, as periods of high trading volume often coincide with heightened market stress or major economic events. By integrating volume into return calculations, traders can better understand how liquidity flows shape market trends.
3. Heatmap Analysis: Key Insights
The heatmaps of volume-weighted return correlations across daily, weekly, and monthly timeframes provide a wealth of insights into the behavior of safe-haven assets. Key observations include:
Gold (GC) and Treasuries (ZN): These assets exhibit stronger correlations over weekly and monthly timeframes. This alignment often reflects shared macroeconomic drivers, such as inflation expectations or central bank policy decisions, which influence safe-haven demand.
Daily
Weekly
Monthly
These findings highlight the evolving nature of cross-asset relationships and the role volume plays in amplifying or dampening correlations. By analyzing these trends, traders can gain a clearer understanding of the market forces at play.
4. Case Studies: Safe-Haven Dynamics
Gold vs. Treasuries (GC vs. ZN):
Gold and Treasuries are often considered classic safe-haven assets, attracting investor capital during periods of inflationary pressure or market turbulence. Volume-weighted return correlations between these two assets tend to strengthen in weekly and monthly timeframes.
For example:
During inflationary periods, both assets see heightened demand, reflected in higher trading volumes and stronger correlations.
Geopolitical uncertainties, such as trade wars or military conflicts, often lead to synchronized movements as investors seek safety.
The volume-weighted perspective adds depth, revealing how liquidity flows into these markets align during systemic risk episodes, providing traders with an additional layer of analysis for portfolio hedging.
5. Implications for Traders
Portfolio Diversification:
Volume-weighted correlations offer a unique way to assess diversification benefits. For example:
Weakening correlations between Gold and Treasuries during stable periods may signal opportunities to increase exposure to other uncorrelated assets.
Conversely, stronger correlations during market stress highlight the need to diversify beyond safe havens to reduce concentration risk.
Risk Management:
Tracking volume-weighted correlations helps traders detect shifts in safe-haven demand. For instance:
A sudden spike in the volume-weighted correlation between Treasuries and the Japanese Yen may indicate heightened risk aversion, suggesting a need to adjust portfolio exposure.
Declining correlations could signal the return of idiosyncratic drivers, providing opportunities to rebalance holdings.
Trade Timing:
Volume-weighted metrics can enhance timing strategies by confirming market trends:
Strengthening correlations between safe-haven assets can validate macroeconomic narratives, such as inflation fears or geopolitical instability, helping traders align their strategies accordingly.
Conversely, weakening correlations may signal the onset of new market regimes, offering early indications for tactical repositioning.
6. Limitations and Considerations
While volume-weighted return analysis offers valuable insights, it is essential to understand its limitations:
Influence of Extreme Events:
Significant market events, such as unexpected central bank announcements or geopolitical crises, can create anomalies in volume-weighted correlations. These events may temporarily distort the relationships between assets, leading to misleading signals for traders who rely solely on this metric.
Short-Term Noise:
Volume-weighted correlations over shorter timeframes, such as daily windows, are more susceptible to market noise. Sudden spikes in trading volume driven by speculative activity or high-frequency trading can obscure meaningful trends.
Interpretation Challenges:
Understanding the drivers behind changes in volume-weighted correlations requires a strong grasp of macroeconomic forces and market structure. Without context, traders risk misinterpreting these dynamics, potentially leading to suboptimal decisions.
By recognizing these limitations, traders can use volume-weighted correlations as a complementary tool rather than a standalone solution, combining it with other forms of analysis for more robust decision-making.
7. Conclusion
Volume-weighted return analysis provides a fresh lens for understanding the complex dynamics of safe-haven assets. By integrating trading volume into correlation metrics, this approach uncovers liquidity-driven relationships that are often missed in traditional price-based analyses.
Key takeaways from this study include:
Safe-haven assets such as Gold, Treasuries, and the Japanese Yen exhibit stronger volume-weighted correlations over longer timeframes, driven by shared macroeconomic forces.
For traders, the practical applications are clear: volume-weighted correlations can potentially enhance portfolio diversification, refine risk management strategies, and improve market timing. By incorporating this type of methodology into their workflow, market participants can adapt to shifting market conditions with greater precision.
When charting futures, the data provided could be delayed. Traders working with the ticker symbols discussed in this idea may prefer to use CME Group real-time data plan on TradingView: www.tradingview.com - This consideration is particularly important for shorter-term traders, whereas it may be less critical for those focused on longer-term trading strategies.
General Disclaimer:
The trade ideas presented herein are solely for illustrative purposes forming a part of a case study intended to demonstrate key principles in risk management within the context of the specific market scenarios discussed. These ideas are not to be interpreted as investment recommendations or financial advice. They do not endorse or promote any specific trading strategies, financial products, or services. The information provided is based on data believed to be reliable; however, its accuracy or completeness cannot be guaranteed. Trading in financial markets involves risks, including the potential loss of principal. Each individual should conduct their own research and consult with professional financial advisors before making any investment decisions. The author or publisher of this content bears no responsibility for any actions taken based on the information provided or for any resultant financial or other losses.
Chart Patterns
Candlestick Analyzes - Part OneThe Weakest Candle
A Spinning Top/Bottom (a candle with the same sized upper and lower shadow) is the weakest and the most important candle for us. Note that the body size of the candle is not important. We analyze it like this:
1. if it appears in the middle of a trend, we expect the trend to continue, as a medium-sized candle in the direction of the trend. otherwise, most likely we will get into range or reversal.
2. If it appears at a key level, until observing the next candle, we cannot analyze what could happen. If there is at least a medium-sized candle in whatever direction, we expect the price to continue in that direction, otherwise, it's a range!
Let's look at the chart:
- Candle #1 is in the middle of a trend, but after it, we see a bearish candle. So, it's a range or reversal.
- After seeing candle #1, we draw the box for the MC candle. So, candle #2 is shaped at the support of it. We have to wait to see what will come after it. Because the next candle is a bearish one, we expect the bearish movement to continue, and it continues.
- Candle #3 shaped after a strong breakout. If trends tend to continue, we expect at least a medium-sized candle in the direction of the trend. Otherwise, it'll be a range or reversal coming.
XAUUSD multi timeframe Analysis M1 and w1 are indicating the bearish trend if only the last lower support 2620-2630 area is broken then market will create and M pattern on w1 to proper retest of 0.382 FIB level Which will be 2680.
on the other hand H4 & D1 it been more than 2 weeks market is in consolidation from 2630-2660 area.
if the market break the 2630 them our eyes will be at 2580 first however same as break of 2660 resistance area first target will be 2680 which I 'm expecting first .
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HOW TO INCREASE YOUR OVERALL WIN RATE BY 10%+
Hi again everyone As promised, once a week I'll be bringing simple yet comprehensive guides to improve your over all trading! Here's your next MAGNIFICENT gift! I wasn't gonna do this topic but based on what I have been seeing among a bunch of traders.....this is DEFINITELY NEEDED . As always i really appreciate the support and upvote if you like the weekly posts so far and want more! Let's get right into it!
1. Understand that above all else, market structure (MS) always always always reigns supreme. Not fundamentals. Not news. Not "financial instutions" (that one cracks me up), but MARKET STRUCTURE. All of the other things mentioned above play their ROLES in market structure, but they do not MAKE market structure.
P.S. Of course major red folders like FOMC, NFP, CPI, etc etc will affect it, but that does not change the facts of #1.
Zoom out to gain overall perspective and bias direction, Zoom in to get the details needed within that bias to start finding confluence and begin creating that entry situation to come.
2. DO NOT, and i do repeat, DO NOT get in the habit of changing your bias mid day or multiple times a day/week, UNLESS the market calls for it. (mainly through major points in structure being broken, but there are various ways to determine this with indicators amongst other things like candlestick structure and trendlines, fibs, and other tools.)
I see so many traders lose on a day they would CAKED on had they just stuck to their bias. Trusting in your bias is not only needed, but it is a super power and shows your conviction in your strategy.
3. Stop listening to randoms not just here, but on any platform, and develop YOUR OWN EDGE in the market based on your understanding..... OR..... find a extremely talented and trustworthy mentor to guide you. Regardless, good luck on your own if your ego does not allow you to learn. I trade far better than the vast majority of people and I remain in contact with my mentor so no excuses .
4. Master candlestick analysis. You know how I catch big moves in the market???? Well, its certainly not by ignoring candlestick analysis. Candlesticks will always tell you where breakouts will occur on lower timeframes, and they'll always tell you how wide the range of the market is as well as show you with the wicks which side is getting weaker, but on the higher timeframe.
reread that ^. Literally gave you guys my sauce to interpreting candlesticks on top of posting this for you guys.
5. Control your emotions, king,
6. Trail your stop loss after 25-30 pips gained, everytime. especially in the beginning, since the winners won't come as often, you need to capitalize on winning trades. Any trade that ends in NET positive profit is a winner. point, blank, period. Even if it hits your trailing stop loss, study it! Even if it hits your take profit, study it! Feedback leads to growth.... always.
7. Backtest, backtest, backtest. Make the $15 USD investment and study your edge. study study study notate and improve! innovate and grow!!!! Backtesting is where you test what you know, look your L's and W's in the face and make that committment to see more W's than L's.
HONESTLY, this should increase your win rate by 20% if you're already coming in with some experience. For the newer guys, you're welcome. your trading skill is about to skyrocket, if YOU decide to put that work in. I promise that god wants you to win, if you do!!! GOODLUCK Gs
HOW TO TRADE USING CHOCH IN ICT SMART MONEY CONCEPTHere in this video i show you how you can trade using choch . I explain how change of character work and how it can be applied using indicator also . Understanding Choch can make you a better trader if you use well so try to mark out break of strusture (BOS) then find out were the price unable to respect that in other to get CHOCH.
Higher time frame frameworks and set upIn this video, we explore a high-level analysis of monthly and weekly trading frameworks, showcasing how TSA—Time, Space, Algorithms, and Tradings—leverages Confluence to identify asymmetrical opportunities in the market. While this isn’t the full strategy, it introduces key elements that empower traders to achieve precision and clarity.
We dive into the power of Confluence as a core component, integrating insights from markets like the VIX to enhance feasibility and comparison. Starting from the monthly and weekly frameworks, we refine our approach to a 1-hour and 4-hour perspective, identifying high-probability setups. From there, we scale down to 15-minute and 5-minute charts, applying the same Confluence-based principles to manage trades effectively.
This video is designed to bring the trading community together—FED traders, ICT traders, and those who combine fundamentals with technical analysis. Let’s collaborate to uncover powerful Confluences that sharpen our edge in the markets.
This is just the beginning—join us as we build a thriving community of traders!
The Cascade Effect: A Force for Success or Self-Sabotage
The path to successful trading can sometimes feel overwhelming. The reality is daunting, with numerous small and often psychologically challenging biases that need to be overcome daily. However, an awareness of certain chain reactions—like the "Cascade Effect"—can make the mountain top feel within reach.
By harnessing this effect, traders can set in motion a sequence of positive actions that build on each other, creating momentum and growth. On the flip side, if neglected, these small actions can spark a downward spiral, triggered by seemingly insignificant missteps.
Understanding the Cascade Effect: From Fitness to Finance
The Cascade Effect is a concept well-documented in fields like fitness and psychology, where small, consistent actions lead to either upward or downward trajectories in well-being. This principle is not new; research has shown how even one positive action can trigger a chain of beneficial events.
For example, a study exploring the daily impact of exercise found that participants who engaged in physical activity experienced more positive social interactions and achieved more goals, both on the same day and even the next. The researchers concluded, "Exercise creates a positive cascade, increasing positive social and achievement events experienced on the same day and positive social events on the following day." In essence, a simple action like exercising acts as a powerful catalyst, initiating a cycle of rewarding behaviours that reinforce one another and drive overall well-being.
In trading, this concept applies in a similar way. A small, disciplined action—such as a daily review of market conditions—can serve as the foundation for more deliberate decision-making throughout the day.
The Positive Cascade Effect in Trading
The positive Cascade Effect in trading begins with small, intentional actions. For instance, starting the day with a dedicated market review—whether analysing charts, tracking news, or identifying key levels—creates a sense of preparedness. This act of preparation forms the bedrock for disciplined trading decisions throughout the day. These small actions can set off a chain of events that builds mental momentum. As the trader continuously follows these routines, they not only feel more grounded in their approach but also less vulnerable to impulsive decisions or emotional trading.
A powerful example of this positive cascade is the practice of trade journaling. By regularly reviewing each trade and assessing what went well or could be improved, traders gain valuable insight into their unique strengths and weaknesses. This reflection process reinforces positive behaviours while shedding light on areas that need refinement. With each small improvement, traders feel a sense of progress and growth. As this momentum accumulates, their approach becomes more disciplined, which over time can yield more consistent, positive results. This continuous loop of reflection, adjustment, and improvement leads to a more robust trading strategy, underpinned by both mental and emotional resilience.
The Negative Cascade Effect in Trading
Unfortunately, the Cascade Effect can work in the opposite direction, leading to a negative spiral that can be just as powerful, if not more so. Missing a pre-trade routine or skipping chart analysis may seem inconsequential at first, but these small lapses can gradually erode a trader’s discipline. For example, a trader who skips their market prep one day might find it easier to do the same the next day, creating a chain reaction that leads to increasingly haphazard trades. These small oversights compound over time, causing habits to deteriorate and weakening the foundation of a trader’s strategy. As these small mistakes pile up, the trader’s decisions become more reactive rather than proactive, and the trading process feels less grounded and more erratic.
The impact of impulsive decisions can also amplify the negative Cascade Effect. For example, after a loss triggered by an impulsive trade, the trader may feel frustrated, leading them to chase losses or engage in revenge trading. This emotional response worsens the situation, compounding the original mistake. The resulting cycle of frustration and hasty decisions chips away at the trader’s confidence and increases mental strain. Over time, this pattern not only harms trading performance but also makes it more difficult to break free from the cycle. It’s crucial to recognise these small slips early on to prevent them from spiralling into bigger problems that can ultimately undermine your entire approach.
Ensuring a Positive Cascade Effect: Cultivating Conscious Habits
To ensure that the Cascade Effect works in your favour, focus on routines that reinforce discipline and mindfulness. By cultivating awareness and consistency, you can leverage the Cascade Effect to build positive momentum in your trading. Here are a few practices that can help:
• Morning Pre-Trade Routine: Start each day with a consistent market analysis session. Reviewing news, technical setups, and key levels not only prepares you mentally but also sets a positive tone for the day.
• Post-Trade Journaling: After each trade, take the time to reflect on your decisions, emotions, and outcomes. This habit keeps you aware of your decision-making process and allows for continuous learning.
• Mindfulness and Meditation: Incorporating a few minutes of meditation each day can help you stay centred, reducing emotional reactions and fostering awareness of your thoughts and actions.
These habits create a solid foundation for discipline and self-awareness, empowering you to harness the Cascade Effect in a way that can keep the forces of momentum working for you.
Disclaimer: This is for information and learning purposes only. The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance. Social media channels are not relevant for UK residents.
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Silver Bullet Strategy EURUSD AUDUSD | 03/12/2024Trading the Silver Bullet strategy was tough yesterday. While many may only discuss the wins associated with their trading strategies, we encountered some losses yesterday. We entered two trades on two major currency pairs (EURUSD, AUDUSD) and aim to walk you through what happened during our trading session using the Silver Bullet strategy.
At 10:00 EST, we began scouting for potential trading setups, as this marks the beginning of the Silver Bullet window, which concludes at 11:00 EST. By 10:20 EST, a Fair Value Gap (FVG) had formed on the EURUSD currency pair, presenting us with a sell bias and directing our attention to potential selling opportunities in EURUSD for the current trading session. Upon reviewing AUDUSD, we observed that an FVG had also formed at 10:20 EST, further indicating a sell bias for the currency pair.
Once we establish a bias, we typically wait for a retracement into the formed FVG and only execute the trade after the candle that enters the FVG has closed. This step is crucial on our checklist because our backtesting revealed scenarios where the candle entering the FVG could proceed to hit the stop loss. This check helps us avoid entering trades under such conditions. Meanwhile, those who use limit orders may find themselves at a disadvantage in these situations. After a 20-minute wait following the formation of the FVG, we identified a trade on EURUSD that satisfied all the criteria on our checklist, and without hesitation, we proceeded to execute the trade.
In this trade, since the high of candle number 1 from the entry price is approximately 7 pips, which does not satisfy the minimum stop loss requirement, we adjust it to a 10 pips stop loss, our minimum threshold. This rule ensures the trade has sufficient room to fluctuate. Immediately after executing the EURUSD trade, we identified another opportunity with AUDUSD that met all the criteria on our checklist. As it fulfilled the necessary requirements, we proceeded without hesitation to execute the trade.
Please be aware that we risk 1% of our trading account on each trade. This level of risk is acceptable for us, as it's an amount we're comfortable with potentially losing, thus preventing emotional attachment to the trades. Ten minutes after initiating a sell position on EURUSD, our trade reached the stop loss, resulting in a 1% loss for the day. Consequently, we are left with our sell position on AUDUSD.
After incurring a loss on EURUSD, we examined the AUDUSD position and found that this trade was also facing a drawdown. Did we experience any emotions upon realizing we might lose 2% that day? No, because we had already accepted the risk and were prepared for any outcome, whether it was a win or a loss. We were aware that the strategy's win rate was around 48%, indicating that losses are a part of the process. However, with a positive risk-to-reward ratio, our wins are expected to outweigh the losses.
While awaiting the outcome of the AUDUSD trade, we noticed a setup on USDCAD where a Fair Value Gap (FVG) had formed. However, upon closer inspection, we realized it materialized exactly at 11:00 EST. This timing meant we couldn't engage in the trade, as our checklist mandates that trades must be executed before 11:00 EST, thus invalidating this setup. It's important to note our discipline here; despite the temptation, we didn't enter another trade out of revenge. Instead, we let it pass because it failed to meet certain criteria on our checklist. Discipline is a crucial quality of a successful trader and should never be underestimated.
Upon reviewing the AUDUSD trade once more, we observed that it was no longer in a drawdown; instead, the trade had returned to our entry price. Consequently, there was no action required other than to allow the trade to proceed as it will
After being in the trade for an hour and 10 minutes, the AUDUSD position hit the stop loss, putting us down 2% for the day. Indeed, we took two losses and it's likely we'll face more, as that is the nature of trading. It's normal to encounter multiple losses throughout your trading career, and it's crucial not to let them discourage you. Ensure that any strategy you use has been thoroughly backtested and has the data to support its long-term profitability. Also, make certain that your wins consistently exceed your losses, so that during a losing streak, just a few wins can compensate for the losses.
Dow Jones Futures Typical Movements StudyI have been going over average movements for awhile now and this is just a snippet of the last month. I have noticed there are four main movements.
Small movements of 250 ticks, used in small pullbacks and retracements
Medium movements of 375 ticks, used in slightly deeper pullbacks and retracements
Large movements of 625 ticks, used in expansion moves, either to the upside or to the downside
X-Large movements of 750 ticks, used in more substantial moves, either to the upside or to the downside
Out of the four, small 250 moves and Large 625 tick moves are the most frequent.
One of the ways I am using this information is where to take profits. I know I won't catch the bottom or the top of the move and so, if I can capture the middle 50% then I can use these average movements and cut them in half. If a large expansion move is on average 625 ticks, then 50% of this will be 312 ticks. Therefore, I could expect a pause or pullback at/ around that area.
Top Crypto Gainers This Week So FarTop Crypto Gainers This Week
AIOZ Network (AIOZ) - Up 35.40%
Theta Network (THETA) - Up 23.80%
Brett (Based) (BRETT) - Up 21.20%
Helium (HNT) - Up 19.67%
Tezos (XTZ) - Up 17.98%
Potential Good Investments
AIOZ Network (AIOZ): With a whopping 35.40% gain, AIOZ Network is on a roll. Keep an eye on this one for potential growth.
Theta Network (THETA): Up 23.80%, Theta is making waves with its innovative approach to decentralized video streaming. Could be a solid long-term bet.
Helium (HNT): Gained 19.67% and is building a decentralized wireless network. Definitely worth considering.
Tezos (XTZ): With a 17.98% rise, Tezos offers a self-amending blockchain that’s catching attention. Might be a good addition to your portfolio.
Mindful of Risk
Remember, while these cryptos are showing strong gains, the market can be pretty volatile. Always do your own technical analysis and research before jumping in. Understand the fundamentals, market trends, and potential risks. Never invest more than you can afford to lose. Consider chatting with a financial advisor for personalized advice.
I’d love to hear your thoughts on these picks! If you have any questions or are looking for a little advice, feel free to ask. Let’s discuss and make informed decisions together!.
Key Insights into Bitcoin’s Halving Cycles (updated)1. Halving Cycle Structure
This chart leverages Bitcoin's logarithmic scale to illustrate its price behavior across halving cycles, providing a clearer perspective on exponential growth and diminishing returns.
Key Takeaways from Bitcoin's Halving Cycles
1. Halving Cycle Structure
Cycle Length: Each cycle spans 1432 days (approximately 4 years), divided into:
Bull Market Phase (1064 days): Gradual accumulation followed by accelerated growth.
Bear Market Phase (365 days): Sharp corrections and consolidation before recovery.
Historically, bull markets account for the majority of price growth, with bear markets serving as cooling-off periods.
2. Historical Price Performance
Cycle 1 (2012 Halving):
Entire Cycle move: 11644%
Pre-Halving having: +390%
Post halving +2947%
96.65% of the entire move was after the Halving.
Cycle 2 (2016 Halving):
Entire Cycle move: 2503%
Pre Halving: +213%
Post halving +703%
91.5% of the entire move was after the Halving
Cycle 3 (2020 Halving): Still going...
Hypothesis: 86% of the entire move was after the Halving.
Entire Cycle move: 1671.43%% based on my maths
Pre Halving: +234% so far
Post halving +92% so far
If the hypothesis is true then 905k is the projected price.
3. Upcoming 2024 Halving Predictions
Projected move: 270K USD peak if historical patterns persist and the Hypothesis holds.
Bear Market (2027–2028):
Based on prior cycles, corrections could range from -70% to -80%, leading to a consolidation
Trade safe
Tarder Leo
Key Insights into Bitcoin’s Halving Cycles1. Halving Cycle Structure
This chart leverages Bitcoin's logarithmic scale to illustrate its price behavior across halving cycles, providing a clearer perspective on exponential growth and diminishing returns.
Key Takeaways from Bitcoin's Halving Cycles
1. Halving Cycle Structure
Cycle Length: Each cycle spans 1432 days (approximately 4 years), divided into:
Bull Market Phase (1064 days): Gradual accumulation followed by accelerated growth.
Bear Market Phase (365 days): Sharp corrections and consolidation before recovery.
Historically, bull markets account for the majority of price growth, with bear markets serving as cooling-off periods.
2. Historical Price Performance
Cycle 1 (2012 Halving):
Entire Cycle move: 11644%
Pre-Halving having: +390%
Post halving +2947%
96.65% of the entire move was after the Halving.
Cycle 2 (2016 Halving):
Entire Cycle move: 2503%
Pre Halving: +213%
Post halving +703%
91.5% of the entire move was after the Halving
Cycle 3 (2020 Halving): Still going...
Hypothesis: 86% of the entire move was after the Halving.
Entire Cycle move: 1671.43%% based on my maths
Pre Halving: +234% so far
Post halving +92% so far
If the hypothesis is true then 905k is the projected price.
3. Upcoming 2024 Halving Predictions
Bull Market (2024–2027):
Projected move: 905K USD peak if historical patterns persist and the Hypothesis holds.
Bear Market (2027–2028):
Based on prior cycles, corrections could range from -70% to -80%, leading to a consolidation
Resistance Zones:
$250K, $500K, and $905K projected peaks based on logarithmic trends.
Trade safe
Tarder Leo
YOUR GUIDE TO CANDLESTICK ANALYSIS! What's up guys it's been a while! I know it's the holiday seasons, and that's the best time of year for me. Here is a wonderful present for you all, as a token of my appreciation. Thankful for the supportive and hateful people, not equally of course! 🤣 Anyways.... the things you must keep in mind when utilizing candlestick analysis in your trading are the following, Gs:
1) Understanding the anatomy of a candlestick - images.ctfassets.net
2) Candlestick color - The color of the candles individually matter in structure but also together they tell a story.... three inside down candle stick pattern at a lower high point in market structure for example.
3) Size of the candle - size of candle does matter as it indicates how volatile and wide reaching the market can be that day based on this data.
4) Volume - This one is obvious, Gs.
5) Timeframe of candlesticks being observed - understand candlesticks on higher timeframe hold more weight so they're more valid. (1h+) in consolidated structure on higher timeframe, lower timeframe candlestick structure is what you need to identify breakouts that'll be big on HTF.
6) Candlestick patterns - content.stockstotrade.com
7) Length of wicks on the candles - This is huge because wicks are a direct indication of exhaustion, which BASICALLY is buyer or seller weakness which directly aids me in basically every trade when finding that sniper entry i'm known for! Do not sleep on this step (or any, for that matter, I don't make these for FUN.)
8) Support/Resistance levels - I recommend going to lower time frames in these areas and using steps 2, 3, 6 mixed with timeframe correlation to make a sniper entry. GOODLUCK Gs!