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Currency Correlation You Should Know Before Enter Forex MarketHave you ever noticed that when a certain currency pair rises, another currency pair falls? Or how about when that same currency pair falls, another currency pair seems to copy it and falls also? Currency Correlation Example If the answer is “yes,” you’ve just witnessed currency correlation in action! If you answered “no,” you need to stop doing less important things like sleeping, eating, playing Super Mario Run or Pokemon GO, and instead spend more time watching charts. But no worries because we’re going to start with the basics and break it down yo… Currency. Correlation. The first half… easy. Currency. No explanation needed. The second half. Still easy. Correlation: a relationship between two things. What is Currency Correlation? In the financial world, correlation is a statistical measure of how two securities move in relation to each other. Currency correlation, then, tells us whether two currency pairs move in the same, opposite, or totally random direction, over some period of time. When trading currencies, it’s important to remember that since currencies are traded in pairs, that no single currency pair is ever totally isolated. (Did we just confuse you with our “currencies” tongue-twister sentence there?) Unless you plan on trading just one pair at a time, it’s crucial that you understand how different currency pairs move in relation to each other. ESPECIALLY if you’re not familiar with how currency correlations can affect the amount of risk you’re exposing your trading account to. If you don’t know what the heck you’re doing when trading multiple pairs simultaneously in your trading account, you can get KILLED! Murdefied! Destroyed! We can’t stress this enough. Currency Correlation Ignorance Do NOT be ignorant about correlations. Correlation Coefficient Currency Correlation Calculator Correlation is computed into what is known as the correlation coefficient, which ranges between -1 and +1. Perfect positive correlation (a correlation coefficient of +1) implies that the two currency pairs will move in the same direction 100% of the time. Perfect negative correlation (a correlation coefficient of -1) means that the two currency pairs will move in the opposite direction 100% of the time. If the correlation is 0, the movements between two currency pairs are said to have uh ZERO or NO correlation, they are completely independent and random from each other. We have no idea how one pair will move in relation to the other. Correlation Coefficient In this lesson, you’ll learn what currency correlation is and how you can use it to help you become a smarter trader and make more responsible risk management decisions.
Editors' picks
BITSTAMP:BTCUSD
by GoldenEngine
40
🎓 EDUCATION 1: What Does It Take to Become a Successful Trader?EDU 1: What Does It Take to Become a Profitable Trader? Hello traders. With this post, I am starting an educational series on TradingView unlike any other. We’ll go through all the aspects and nuances of becoming a professional, consistently profitable, and successful trader. Now, those are big words. You have likely heard them from various other sources that claimed to teach you the holy grail of trading or that offered some sorts of “secret indicators” that would pave the way to financial freedom. The truth is, nothing is secretive about successful trading. Thousands of professional traders are consistently profitable, and large institutional traders manage to beat the markets, year over year. The key is learning how to trade the correct way. That’s my trading approach as well: Institutional trading for the retail trader. I have been fascinated by the markets since the early 2000s. I am not only a self-taught trader, but also have an academic background that has helped me tremendously in understanding market forces and applying them in my daily trading. I enrolled at the Faculty of Economics in 2008, finished my undergraduate degree in technical analysis and my Master’s degree in fundamental analysis in the FX market. Since then, I have been following markets daily, created various trading strategies, backtested them, and chose the ones that work best for me. Alright, now it’s time to finally start the educational part. What does it take to become a successful trader? A successful trader is an analyst , trader , and (risk and psychology) manager – all at once. The analyst side of a trader generates trading ideas, the trader side executes the trades, and the manager side manages both the risk and psychological aspects of trading. We’ll go through each of them in this educational series. Trading is not about following technicals all day long. Professional traders and large players in this market don’t buy EUR/USD (or any other pair) when a Moving Average crosses above or below another Moving Average, or when the RSI shows overbought or oversold levels. Forget about trendlines and wedge patterns for a moment (how many times did you catch a fake breakout trading them?) and open your mind to a trading approach that combines: Fundamentals Intermarket analysis Sentiment analysis ...and (the correct) technical tools Those disciplines form the cornerstone of what I like to call the FIST analysis. We’ll use technicals only to enter into a trade after we already have a direction derived from the other types of analyses. So, this educational series will start with your analyst side (FIST), continue with your trader side (process/strategy/execution), and finish with your manager side (managing risks, managing yourself, position-sizing, scaling in and out of positions, etc.). By the end of the series, you’ll hopefully get a completely different picture of trading than you had before. If you find this trading educational series useful, please follow and hit the “LIKE” button. Have questions? Post them in the comment section below. Coming Up: Why Technicals Alone Are Not Enough?
Education
by MujkanovicFX
BUDGET TO FINANCIAL FREE DOOM / 7 Steps To Paying Of Your Debt All You Need To Know About Managing Money Wisely October 3, 2016 by National Debt Relief managing moneyManaging money wisely is not as complicated as you think – but it can be quite tedious. Maintaining a healthy level of finances is the same as keeping yourself physically fit. Just because you achieved your ideal weight, you will cease making an effort to live a healthy lifestyle. It is a continuous endeavor that will never stop. Of course, once you have reached your goal, maintaining it will not be as difficult as the effort you had to exert previously. But the bottom line is, you still need to exert effort. Some people have used financial management as a way out of debt. Most people have used it to improve their financial situation. The reason for managing money wisely is not really important as long as you are doing it. Regardless of your situation in life, it will help you take your money to the next level. According to an article from MarketWatch.com, consumers are starting to feel more confident about their money. Data reveal that they are beginning to increase their spending in non-essential expenses like entertainment and travel. While there is nothing wrong with feeling confident about your money, it should be approached with caution. The increase in spending should be done with money management in mind. Although consumers may be more financially abundant, they should increase their spending in accordance with their knowledge of their financial position. Without financial management, this would be hard to determine. The danger lies in spending too much and getting used to it. When your income is suddenly compromised, you might find yourself unable to cope with the changes that you need to implement to keep your finances from sinking. Three concepts you should know to manage your money well The key to keeping your finances in top shape is to manage it smartly. According to an article published on USAToday.com, making more money is the key to having a high credit score. A credit score is one of the indications of a strong financial position. Earning more is not the way to improve it. The best way is to start managing money wisely. Some people feel overwhelmed by this task. However, it is actually not complicated. It can be tedious to maintain a good financial position but it is not a complex concept to understand. In fact, there are only a couple of financial thoughts that you need to master in order to manage your finances well. Here are three of the most important. Interest. Admittedly, this is one of the most confusing for most consumers. For a beginner, it seems complicated but once you get a general idea, it can help you make smart decisions about your money. The interest is important on two financial fronts. One is your debt. You need to understand how this affects the amount of debt that you owe. If you have a high-interest debt like a credit card, you might end up paying a lot more than what you actually used the credit for – just because of the interest. The interest is also something that you can use to your advantage – specifically when investing is involved. Investing is the best way to make your money work for you. When you place your money in profitable investments, it earns compound interest. That means the amount you invested earns interest and even the accumulated interest will help you earn more. If you choose the right investments, that can really help you grow your finances – even without doing anything! Budgeting. The next concept that you need to master is budgeting. This is probably the most direct tool that will help in managing money wisely. In fact, if you want to achieve financial independence, this is one of the first habits that you should learn. A budget plan monitors your income and the various expenses that it funds. It allows you to control and manage where your income will be spent. If you need to add an expense, you can easily see the current categories that you are spending on. A budget plan will allow you to identify what expenses to sacrifice in order to make way for a new one. Current numbers. Finally, you need to master your own financial position. No matter how sophisticated your budget plan is and even if you perfectly understand the concept of interest rates, it will be for nothing if you do not know your finances. You need to keep your financial knowledge current so you can update your budget plan. Not only that, you can use this knowledge to help you decide if you can afford to get new credit or not. It will also allow you to make the right decisions about your investments. The current numbers involve not just your own financial number but also that of the market. You do not have to be a financial expert but you should at least know when the interest goes up or down. That way, you can take advantage of it. For instance, late last year, it was reported that the Federal Reserve will raise interest rates. That means the rest of the financial institutions will follow. If you have this knowledge, you should start to be aggressive in paying off your high-interest debts. These three are the important concepts that you need to consider while managing money wisely. There may be other important financial ideas to learn but that would depend on your own financial goals. Why is it important to manage your finances It is important to manage your money well because you use it on practically everything. While we do not want to be materialistic, your finances play an important role in this consumerist society. This is the main reason why you need to manage it well. Here are the specific reasons why you need to boost your financial management efforts. It helps you make smart decisions. Financial management involves a lot of decision-making. The more informed decisions you make, the better the outcome. Having a direct hand in managing your finances makes it easier for you to make informed and smart decisions precisely because you know your financial situation. When you know how much you have in your budget after sending out your monthly payments, you will know how much you can allot for your financial goals. It gives you an idea about the amount that you need to set aside for your retirement fund, reserves and even for your annual vacation. It allows you to avoid borrowing too much debt. According to the data from ValuePenguin.com, the average American Household Debt is currently as $16,048 – if you only include the households that are in debt. If you include all the households in the country, the average debt is $5,700. The current outstanding debt is $3.4 trillion with $929 billion specifically borrowed through revolving credit – the most common being credit card debt. 38.1% of households have some form of credit card debt and this high-interest debt is what can pull you down. If you fail in managing money wisely, all of these debts might go unnoticed. Not only that, poor financial management usually ends up compromising your savings. When you do not have savings, one emergency can push your finances over the edge and into a lot of debt. It lowers the risk of living from paycheck to paycheck. If you learn how to manage your money well, you can also avoid living from one paycheck to the other. You can budget your money well so you are not living up to your income limit. It is wise to live below your means because that leaves you with extra money to use on your financial goals or even emergencies. It keeps financial stress from ruining your life. When you are managing money wisely, that means you are in full control of your money. Being in full control will help eliminate or at least lower financial stress. Sometimes, we are stressed about something because we are uncertain about how it will end up. Having a full knowledge of your finances and being in full control will help you lower this uncertainty. It builds financial confidence. Apart from lowering stress, you will also feel more confident about your finances. This is a great trait to have when you are investing your money. It allows you to be braver in taking high-risk investments that will get you bigger returns. All of these make managing money wisely very important. You can significantly increase the opportunities for financial growth because you have a firm understanding of your finances. Common questions about managing money Question: What does managing money mean? Answer: This means you understand your financial position and you are organized in all your financial transactions. This keeps you from falling short on your budget and assures that important expenses are met. You are aware of every transaction and you are making smart financial decisions about it. Question: How should I manage money while self-employed? Answer: Managing your finances while self-employed is tougher because of your irregular income. The danger is budgeting for the lean months – which is usually the period when you do not have a high income coming in. To keep your household running, it might be best to base your budget on the income you get from the lean months. It is also best to give your emergency fund a boost to sustain your expenses when the income is quite low. Question: Why is managing money an important skill? Answer: This will help you avoid a lot of financial problems like wrong investment or credit decisions. It helps you reach your financial goals. More importantly, it helps you avoid incurring too much debt. Question: How can I start managing money wisely? Answer: You need to start by getting the tools that will help you keep track of your finances. A budget plan is a great way to start. Soon, you can add a spending plan, retirement plan, and a portfolio. These should cover the important aspects of your finances that you need to monitor. Question: Where can I learn to manage money? Answer: There are actually a lot of articles and self-help books that can give you the basic knowledge of managing money wisely. The challenge is in identifying which of them suits your purposes. It is best to know your financial goals first so you can choose the right advice that will help you reach your goals.
BITSTAMP:BTCUSDEducation
by GoldenEngine
8
Wedges Pattern by Rocket Bomb 🚀💣Hello, my dear friends! As I promised, today we are talking about Wedges Patterns! Link on a good view👇🏻 Wedges are some of the main classical figures in technical analysis . There are two types of wedges: - Rising Wedge pattern - both sides of the figure are directed up; - Falling Wedge pattern - both sides of the figure are directed down. ✔A rising wedge pattern is formed when price increases slow and a tapering pattern forms. Price can't go longer rise further, but at the same time, as if they continue to gradually update local highs. That's suggests, that the pressure of sellers (bears) is gradually increasing in the market. ✔A downward wedge pattern is formed when price decline slows down and a tapering pattern is formed, and volume indicators gradually decrease. Prices are no longer able to decline further, but at the same time, as if they continue to gradually update local lows. That's suggests, that the pressure of buyers (bulls) is gradually increasing in the market. 💡My picture shows, that the “Wedge” directed 👇🏻 down is a bullish 🐃 model, since the trend is up and the price has broken the resistance line (went up). And the “Wedge” directed up ☝🏻is a bearish 🐻 model, as the trend is directed down and the price has broken through the support line (went down). These signals are strong and YOU can trade on them. 💣But if the price in both cases would go in the opposite direction (the opposite direction to the trend), then this would be a weak signal. Trading in this case is not recommended, as it's too risky. 🙅🏻‍♀️ Guys, thanks for reading me!🙏🏻 Subscribe and stay with me forever🧡 I'm appreciate Your support🥰 Your Rocket Bomb🚀💣 PS : 👇🏻👇🏻👇🏻Below I put links on my previous ideas 👇🏻👇🏻👇🏻
BITSTAMP:BTCUSDEducation
by RocketBomb
8
Harmonic Patterns With Advanced Explanations Check It OutHarmonic price patterns are those that take geometric price patterns to the next level by utilizing Fibonacci numbers to define precise turning points. Unlike other more common trading methods, harmonic trading attempts to predict future movements. Let's look at some examples of how harmonic price patterns are used to trade currencies in the forex market. ----------- KEY TAKEAWAYS Harmonic trading refers to the idea that trends are harmonic phenomena, meaning they can subdivided into smaller or larger waves that may predict price direction. Harmonic trading relies on Fibonacci numbers, which are used to create technical indicators. The Fibonacci sequence of numbers, starting with zero and one, is created by adding the previous two numbers: 0, 1, 1, 2, 3, 5, 8, 13, 21, 34, 55, 89, 144, etc. This sequence can then be broken down into ratios which some believe provide clues as to where a given financial market will move to. The Gartley, bat, and crab are among the most popular harmonic patterns available to technical traders. ---------- Geometry and Fibonacci Numbers Harmonic trading combines patterns and math into a trading method that is precise and based on the premise that patterns repeat themselves. At the root of the methodology is the primary ratio, or some derivative of it (0.618 or 1.618). Complementing ratios include: 0.382, 0.50, 1.41, 2.0, 2.24, 2.618, 3.14 and 3.618. The primary ratio is found in almost all natural and environmental structures and events; it is also found in man-made structures. Since the pattern repeats throughout nature and within society, the ratio is also seen in the financial markets By finding patterns of varying lengths and magnitudes, the trader can then apply Fibonacci ratios to the patterns and try to predict future movements. The trading method is largely attributed to Scott Carney although others have contributed or found patterns and levels that enhance performance. Issues with Harmonics Harmonic price patterns are precise, requiring the pattern to show movements of a particular magnitude in order for the unfolding of the pattern to provide an accurate reversal point. A trader may often see a pattern that looks like a harmonic pattern, but the Fibonacci levels will not align in the pattern, thus rendering the pattern unreliable in terms of the harmonic approach. This can be an advantage, as it requires the trader to be patient and wait for ideal set-ups. Harmonic patterns can gauge how long current moves will last, but they can also be used to isolate reversal points. The danger occurs when a trader takes a position in the reversal area and the pattern fails. When this happens, the trader can be caught in a trade where the trend rapidly extends against him. Therefore, as with all trading strategies, risk must be controlled. It is important to note that patterns may exist within other patterns, and it is also possible that non-harmonic patterns may (and likely will) exist within the context of harmonic patterns. These can be used to aid in the effectiveness of the harmonic pattern and enhance entry and exit performance. Several price waves may also exist within a single harmonic wave (for instance, a CD wave or AB wave). Prices are constantly gyrating; therefore, it is important to focus on the bigger picture of the time frame being traded. The fractal nature of the markets allows the theory to be applied from the smallest to largest time frames. To use the method, a trader will benefit from a chart platform that allows him to plot multiple Fibonacci retracements to measure each wave. Types of Harmonic Patterns There is quite an assortment of harmonic patterns, although there are four that seem most popular. These are the Gartley, butterfly, bat, and crab patterns.
Editors' picks
BITSTAMP:BTCUSDEducation
by GoldenEngine
122
Break out trend line. HOW TO BUILD A TREND LINEBreakout of the trend line Good day to all readers of my blog and colleagues! Today we will consider such a phenomenon as a trend line breakdown, taking into consideration the analysis of traded volumes. What are trend lines drawn for, what are their application variants and what characteristics make a breakout or rebound possible - we will consider all these questions today. The trend line is probably the most popular tool for any kind of technical analysis, which can give an idea of the possible price behavior both in the short term and in the long term. WHY BUILD A TREND LINE Typically, the trend line is used to indicate the direction in which the market is moving. Also, it can be used to identify support and resistance not only at the moment, but also in the future. If the price has reached the trend line but has not broken it, it means the effort was not enough and in the future it will return to it. Old (broken) trend lines can still be used in the analysis, along with the current ones. The places where these lines intersect form fairly strong points of resistance or support. Breaking the trend line with a strong movement, gives a signal that the current trend has changed and the price is changing its direction. HOW TO BUILD A TREND LINE In order to draw a trend line, it is necessary to draw a straight line through two price extremums on the chart. For the growing market, the minimum extrema are considered important, because when the support is broken, the direction of the price changes. And for the descending movement, the maximum values are important, when breaking through which everything can change. The line can go far into the future because the price, as a rule, if it does not break through it, certainly returns to it. TREND CHANNEL A trend channel can be built using a trend line corresponding to the market direction and a parallel line passing through the opposite extremum. Quite often the price moves inside such a channel, bouncing periodically from its borders, which can be used for profitable trading. VOLUME ANALYSIS NEAR TREND LINES Analyzing the traded volumes, when the price approaches the trend line, it is possible to understand the possible further market movement with a high degree of probability. In order to overcome the resistance or support of the trend lines, it is necessary to make an effort, which is expressed in large volume and a large spread (candle or bar of large size). If a small candle is formed when the price approaches the trend line, and the volume is below average, then this effort will not be enough to break the line. Professional traders and market makers have no interest in seeing price move in that direction. Even if price does break through the trend line, without the big players ("smart money"), such a move will not last long and price will return inside the channel again. If there is increased volume as price approaches the trend line, it is likely that resistance or support will be broken. BREAKING THE TREND LINE. In order to break the trend line, as written above, an effort is required. If the candle that broke the trend line of a large size, it really is a break of the previous trend. If a gap is formed, which broke through the trend line and formed a candle with a long body and a large traded volume, then it is also a true breakout.
TVC:GOLDEducation
by Yuriy_Bishko
8
2am/8am GBP pairs significance I put together this educational post due to my poor analysis on some GBP pairs last night. Presented pair is GBPUSD. It is important to backtrack and figure out a future solution for a losing trade. This is an extremely informative and effective time frame strategy especially for this currency. I have presented the major GBP pairs and results from the 2 am and 8 am marks. 2am is a universal pullback time depending on what the trend is. In the case of GBP pairs last night we were in a strong downtrend. As you can observe from the charts, when in a downtrend you can confirm a pullback into continuation by observing the pullback trend prior too 2 am. If we see a consolidating pullback with a 1 am candle that does not sentiment towards a trend reversal you can almost %100 confirm downward trend continuation at 2am. Now if we are in a strong uptrend, reverse the strategy and expect a pullback at at 2am. * Important Rule: Whether the trend is bullish or bearish, if there is no consolidation prior to the 2 am mark we gauge a continuation to the next major rejection off support/rejection or in the case of GBP pairs, 8 am when the index opens. (I mapped this rule out on GBPUSD chart) 8 am is significant with GBP pairs due to gbpusd index opening. We may see a pullback against the trend depending on the strength of the index which will confirm a continuation or pivot. This strategy can be used nightly offering safer trading by following the trend pattern from these time points. The following charts are results from other GBP pairs. GBPCAD GBPNZD GBPJPY GBPCHF
by Pika7993
3
+15% profit (SAF) = Set and forget trade ( ͡° ͜ʖ ͡°)So , here is the trade i took a month ago (Along with my students ) . Made nice profit in that stock . More-over, At a time , Everyone was having " We'r all gonna die moment " but i stood up and said "NO" We'r going up and we did ! . Good luck everyone , keep learning until you become humble but please don't become broke , this business is great . Take it slowly or get an education there is no shame on asking for help . If you think it's shame to get help and education then you are another arrogant human being and the stock-market will take care of your EGO :) . #Trade_small #Stay_safe .
NYSE:AON
by K-alonzi
1
Orderzones Explained : A form of Support & ResistanceHello traders! In this educational idea im going to be going over the 5 different main types of Order Zones on Crypto Charts & how i identify and draw these zones, aswell as what they are used for. Orderzones are a way of marking on the chart historically significant areas where price had strong reactions to. The price tends to come back to these areas and have strong reactions, the Order Zones act as a form of Support & Resistance. For those who are new to Technical Analysis ; "Support" is a area on the chart price and demand (buying pressure) increases from, with "Resistance" being the opposite, with price decreasing and sell orders (Supply of asset) increasing from the latter. Why do i use Order Zones? -Reduces risk & increases probability of potential trades -Trying to trade with; not against larger size traders such as institutions that use similar price levels due to historic signifcance -Providing clear entry and exit points to calculate Risk:Reward Ratio (R:R) -Providing reference points to capitalize on historical areas of market volatility -Allows us to reduce clutter and find key areas as the volatility on Crypto makes it difficult to chart We have 5 main types: -Supply Clusters -Demand Clusters -Single Candle Supply -Single Candle Demand -Orderblocks Supply Clusters & Demand Clusters First we must find areas on the chart that look similar to a tightly squeezed together rectangle . Price should then make a "thrust" (major increase, or decrease in value) from this rectangular area. We use the Rectangle Tool to draw a zone across these areas. In the below image you can click for a in depth explanation of how to use these clusters in your trades. Single Candle Supply & Single Candle Demand To draw and identify the Zones first we must find areas on the chart where a strong reversal occurs, at the start of the trend reversal, or at swing points we can find larger then normal "wicks": (wicks are the thin, needle points at the end of the candlesticks ) as you can see in the above and below images.) Click the below image for a in depth explanation of how to use these zones in your trades. Orderblocks Orderblocks are the small square shaped candle bodies, usually found in between significant price moments. They are small "pauses" before the next move. We use the Rectangle Tool to draw a zone across these areas. In the below image you can click for a in depth explanation of how to use Orderblocks in your trades. If you take some time to go back over your charts (especially on the Monthly, Weekly & Daily timeframes) and test out some of these Order Zones, you will see more then often price comes back to these areas before reversing like a magnet towards the next closest Order Zone so they become a useful tool in any traders arsenal. If you found the idea informative show your support by Liking & Commenting thank you!
Education
by Worth_The_Ri5k
4
Market Psychology and Market TopsSuccessful traders are cognizant of the three phases of a market cycle, namely accumulation, public participation, and distribution. The first stage of a bull run is the accumulation phase – this is where the smart money is buying. After a large, long-term sell off, the market bottoms out and it starts moving sideways. This is when the successful investors buy. They recognize that the stocks or cryptos are on sale and it is time to buy. Successful traders are patient and don´t mind sitting on the sideline waiting for the right opportunity. They know it is impossible and dangerous to “chase the market.” They buy when the risk is low and the chance of future advance is very high. Baron Rothchild once said, “The time to buy is when there´s blood in the streets.” Unsuccessful traders get in when the market already has been advancing and the risk/reward ratio is not in their favor. They are greedy, ignorant, and most importantly: easily influenced by what they read and see in the media and on youtube. Rather than doing what is hard and necessary for long-term success, they are attracted to “get rich quick schemes” and alleged trading gurus. A quick check on YouTube reveals the following headlines: “EXTREME BITCOIN BREAKOUT IN LESS THAN 24 HOURS!!!!!!!!” “WHY Bitcoin Will Succeed And Make You Rich” “BITCOIN GOING TO $100,000 IN 2021, BUY NOW BEFORE IT'S TOO LATE!” “LAST CHANCE TO BUY BITCOIN UNDER $20,000! “ “NEW BITCOIN DATA: Bitcoin Following A Path To $100,000 ” “99.9% CHANCE BITCOIN GOES TO $1,000,000!!” “$350k BITCOIN IN 2021? ALTCOINS LIKE CARDANO & LITECOIN ON THEIR WAY TO $1 TRILLION MARKET CAP?” Smart money isn´t influenced by such hype, hysteria, and improbable predictions. It is also significant that the producers of these videos more often than not are trying to sell various products to the watchers and use obvious click-bate and deceptive titles to attract viewers, indicating that trading does not generate enough revenue for them. The next phase is the public participation phase. When it starts you want to be in the market. This is when the market advances. At this time, optimism begins to grow. Pessimism is at its lowest at around the accumulation phase. The last phase is the distribution phase. This is when smart money starts selling while the greedy, uninformed novices hold or buy and believe the stock or crypto will go to “the moon.” Optimism is at its highest at this point. A market top can roughly be predicted by gauging the hysteria vs. pessimism of a particular market. In regard to bitcoin, we see obvious signs of extreme optimism. This is a strong indication that the market has reached its apex or at least is very close to it. A market top is furthermore characterized by a decline in volume, a lack of momentum to push prices higher, sideways action, and higher selling than buying volume; the stock or crypto starts moving sideways and eventually “roll over.” My conclusion is simple: It is extremely unlikely that smart money is buying now – they are prepared to sell or is already selling. Buying now is extremely risky - bitcoin has increased from about $3800 to $20,000 in a short period of time, hysteria is evident, and the market has started to move sideways. Most likely, we are watching a market top and a sharp decline will soon happen.
BITSTAMP:BTCUSDEducation
by korsgaard
2
How to Invest in CRYPTOThis is our guide to investing into the CryptoCurrency Market. 1) Bitcoin Runs the show 2) Top Alt coins will produce massive gains if Bitcoin continues bullish momentum - Focus on the best ones with partnerships / tech / adoption / relevance 3) 99.9% of Cryptos will fail - A small few will see historic price action - Do your own due diligence 2) Dollar cost average into the dips (Highlighted in green) 3) Do not buy near the all time highs & be cautious selling too soon before a potential bull run 4) Take profit at appropriate levels and re-enter when appropriate. Look for Price / Technical analysis confirmations 5) Crypto is a high-risk investment class - treat it that way and do not invest your entire wealth. 6) This market is run by fear / greed / news 7) Do not be scared of high volatility 8) Day trading can be done but preferably on a separate smaller forex account with leverage. 9) Everyone is a Crypto expert in a bull run 10) Ask yourself if you would have been better off just holding or are you really making profits trading? 11) If Bitcoin goes to 100k will you care if bitcoin drops from 19k to 12k? We believe Crypto Currencies will continue to rise in the future & we will continue to take profit at the next ATH and re-enter when is appropriate. This market will make a few rich while others will be crushed. If you believe in Crypto in the future - Buy and HODL. We entered: XRP @ .19c - .3c - .4c ETH @ $100 - $200 - $400 BTC @ 4k - 6k - 8k - 10k Also entered other small CryptoCurrencies. *Currently we are not entering any more positions.
COINBASE:BTCUSDEducation
by GlobalHealthWealth
2
✔️ How To Convert 500 $ To 1000 $ In 1 Month With 0 Risk ✔️✔️ How To Convert 500 $ To 1000 $ In 1 Month With 0 Risk ✔️ 🏦 Account Size : 500$ 🏦 📱 Favorite Pairs To Work On : XAUUSD - EURUSD - GBPUSD - NZDUSD 📱 Lot Size For First Week : 0.05 & Profit Need For First Week : 10% 100 Pips With 0.05 -- 20 Pips Per Day 📍 Lot Size For Second Week : 0.07 : Profit Need For Second Week : 20% 160 Pips With 0.07 -- 32 Pips Per Day 📍 Lot Size For Third Week : 0.10 : Profit Need For Third Week : 40% 265 Pips With 0.10 -- 55 Pips Per Day 📍 Lot Size For Final Week : 0.10 : Profit Need For Final Week : 10% 95 Pips With 0.10 -- 20 Pips Per Day 📍 📍At End Of The Month Account Balance : 1016 $ 📍
OANDA:XAUUSDEducation
by Fx_Vanguard
2
EURUSD - 11 Steps to successfully place a Trade - with MTFA Hi Traders! The EURUSD is in an overall Uptrend. Firstly, let's find out what the 11 Steps are and why they're so important: We seperated the Steps into two categories, the "Outside the Watchlist" part and the "Analysing the pair" part. "Outside the Watchlist" --> This is the way of analysing. You should already have it in your mind. So, you don't want to trade just "anything", you have a specific setup for which you must have the rules. These rules contains the minimum Risk-to-Reward ratio, Market, Trending Stage, Timeframe, etc. A: Detect the Trend: If you don't know the trend, you don't know in which direction you want to trade. It's just trying to find a restaurant without opening your Map. You have to declare the direction before you start to drive. For declaring, you must analyse whether it is: - in a Trend - a Channel or - a Range. B: Do your MTFA You have to know at which situation you are in the big picture to know what to do wisely in the shortterm Timeframe. Imagine you hear a boy shouting: "I have an A+ in the last test!" Do you know whether he is a good or a bad student just by hearing this sentence? It could be his first A+ in this year or the ninth in a row. C: NEVER BREAK YOUR RULES There are hundreds and hundreds of Pro-Traders telling you exactly that. And the most of them are successful Traders. There must be a reason behind it. If you aren't convinced, go and try it on your own. We wouldn't recommend that. "Analysing the pair" --> Now after you understood the main points of the main structure, we can go deeper and start analysing the pair. 1: Find Structure Levels: Find Levels, which other Traders might consider too. Don't forget that there could be a reaction, both good and bad for you. In addition, it is important to reduce to the main things only to keep a clear view at the market situation. 2: Detect usual behavior: As mentioned before, you're looking for a specific trading setup. When you back-/fortested it enough times, you can identify certain patterns, behaviors and effects. For example, you noticed that after a Trend with a Trendline there is often a short Range with a Consolidation Box. And after the Consolidation Box it turns over and moves down. So, you wait for a Range after a Trendline-Break. 3: Mark up for an Entry Trigger: So, we already determined the usual behavior: It's the emergence of a Range. Now you mark up the characteristic Levels of the Range: Support and Resistance. Because you want to sell the market, you declare the Break of Support to your Entry Trigger. 4 & 5: Setting the TP and the SL After declaring the Entry Trigger, you must now where and when to exit before you even place the trade. For example: You get on the train. Do you think about getting off the train after you already entered? Hopefully not! And that's the same for Trading. 6: Put the TP & SL into a Position Size Calculator Now it is getting intresting. The first part was just theoretical. But we want to actually trade the price. No later than entering your trade after the Entry Trigger you have to set the Lot size. The problem is, that by not setting an equal Lotsize, the calculation of the Risk-to-Reward ratio cannot mean anything. If you risk more $ on one trade and than on the other and both have the same risk-to-reward ratio, you could still lose money. That's the failure of Money Management. 7: Wait for the Entry Trigger This is a point which many Educators doesn't mention. It is a big danger to trade the price before the market triggers the Entry Trigger. Because if you enter too early, chances are that the market moves against you, because it is still tending to other Direction. 8: Place the Trade Now you can be happy. You considered all the rules, you even waited for the Entry Trigger, you calculated your risk and finally you can place the Trade. Even if it hits your SL : Be happy that this trade did not break any of these rules and be proud of the preparation of it! These were the 11 Steps on how to successfully place a Trade. We hope we helped you and that you learned something new. If something is unclear, please don't hesitate to ask your question . When you want to give Feedback or critizise anything important, please do that too! Now we're going to share the screenshots of the MTFA. If you want to know more about anything, please let us know! The timeframes are: Weekly Timeframe, Daily Timeframe, H4-Timeframe and H1-Timeframe. Weekly: Daily: H4: H1: We recommend to trade the Break of the Trendline and the Range in combination with a candlestick pattern. Thanks and successful Trading :)!
by swissmoneymakers
3
Great Bullish Cycle In The Market + Secret's You Never Know 🗒 Just browsing through my analysis means a lot to me. —— Bullish Cycle in The Market ---------------- Pair Typical Stop Hunt Distance EUR/USD 25 - 50 PIP'S AUD/USD 25 - 50 PIP'S USD/CAD 25 - 50 PIP'S USD/CHF 25 - 50 PIP'S USD/JPY 25 - 50 PIP'S EUR/JPY 50 + PIP'S GBP/USD 50 + PIP'S GBP/CHF 50 + PIP'S GBP/JPY 75 + PIP'S ------------ Use The Bigger Picture ( 1 hr & 4hr Time Frame ) To Identify level' for Possible Enterer's At The Lowest level ( 15 min ) Take Trade's Only From The LOD/HOD A correct Second leg " Peak Formation " Entry Will Use The " Zone Shift " To lock in Profit The " Zone Shift " Is a Move Of 25 - 50 PIP'S Purposed to Trap The Trade Volume Entered at The Extreme of the Price Move The " Zone Shift " is Typically Followed By Two To Six Bars ( 30 - 90 Min ) Of Consolidation To Accumulate Additional order's The Stop Hunt " is Typically Three Drives That May occur in as little as one 15 min bar > three impulses will be noted on " live Candle The End of The " Stop Hunt " Result's in The Extreme ( LOD ) Of The Cycle And Gives The First Signal For Where The Reversal Will Occur A large Impulse Move During The Iridial Channel May Still be Worked By Resetting The Iridial Channel after The Move occurs and then looking For Stop Runs From The reset Channel The High And low Of The initial Channel is Called The " Market Maker Spread " This Is Typically 25 - 50 PIP'S in Hight ------------------------- important Note Additional level 1 Consolidation Note : The Length of The Consolidation after the Stop Hunt Drive To HOD / LOD Depends o The Accumulated Trapped Volume A ) The Previously Accumulated Volume May Be Largest Enough That No Consolidation is Needed And a V Bottom Occurs B ) Extra Time May Be Needed For Volume Accumulation And The Run May Be Direct From The Additional Time ( Half ) C ) Extra Time May Be Needed Followed By And Expected Second - Stop Hunt ( Wide W Pattern )
TVC:GOLDEducation
by GoldenEngine
11