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Fibonaccianalysis

NASDAQ 100 Futures update on 4/111. The price hasn't taken out the prior high (level X) at 13740 on a larger picture. So, technically, CME_MINI:NQ1! is still in a downtrend. 2. However, it's clear to see that the market is forming an up trend on the bottom now (higher high and higher low). 3. We can do a 100% symmetry projection of the prior swing from A to B, projected from C. --> The short-term target price will be the level of D. And do notice the big prior high (level X) could be a possible strong resistance. 4. What makes this up-trend "N" swing constructive? --> The level of 0.5 retracements from A to B is very close to the level of C, making a symmetry here. --> There is a "resistance turned support" on the level of B. 5. What if the price comes below the level of B? --> The price is likely to go sideway. It's better to wait for a more and clear signal to enter a trade. **Not Financial Advice** The information contained in this article is not intended as, and should not be understood as financial advice. You should take independent financial advice from a professional who is aware of the facts and circumstances of your individual situation.
CME_MINI:NQ1!Long
by stock_adelie
BNB/USDT 1DInterval Targets and StoplossHello everyone, let's look at the 1D BNB to USDT chart as you can see that the price is moving below the local downtrend line. Let's start by setting goals for the near future that we can take into account: T1 = $317.4 T2 = $322.8 T3 = $328.3 T4 = $336.1 AND T5 = $346.5 Now let's move on to the stop loss in case the market goes down further: SL1 = $305.9 SL2 = $396.1 SL3 = $282.8 AND SL4 = $265.1 Looking at the CHOP indicator, we see that there is still a lot of energy on the 1D interval, while the MACD indicator indicates that it will remain in a downtrend. The RSI indicates that it is trying to break out of a downtrend at the top.
by cryptodailyuk
USDRUB updateUR has reached strong fibo level. It seems like it will continue to rise(big bullish candle). But I wouldn't be surprise if it start to revers now. Why? Firstly it has touched strong resistance level that was holding price almost for 6 years. So its a strong level even though it was broken in February 2022. Secondly. If you look at dollar index (green line) which represents strength of a dollar you will see that it's strongly bearish. As you can see from correlation UR and DI has positive correlation (if dollar falls ruble falls also) but with some delays. For example DI started to rise in May 2021 when UR had made big pish up only in November 2021. I still see UR in sell zone. But April will be deciding month for Russian ruble (and most currencies). If price will continue to rise next key levels are 87-89 and 90 rubles per 1 dollar. First target as I have mentioned in my previous analysis is 50 rub/dollar and max target is 30 rubles per dollar. Let see how it'll go. Good luck:)
Short
by margarita_morozova
4
Silver set to explode. According to my Elliott wave analysis, Silver is in the early stages of a third impulsive wave, which is part of a larger third impulsive wave. This is the most explosive wave, with significant price gains expected. The recent breakthrough of a crucial Fibonacci resistance level at $24.66 confirms this outlook. With this level breached, silver now has a clear path to reach $45 in the coming months, with a potential fifth impulse wave pushing it to around $83. Brace for some serious excitement in the coming months!
TVC:SILVERLong
by joerivdpol
GBP / USD - DOES IT NEED A CORRECTION?GBP / USD - DOES IT NEED A HEALTHY CORRECTION? My analysis today deals with how the further course of our popular Forex pair "GBP / USD" could look. > The technical analysis and selected indicators, confirm the thesis of an imminent sell-off. = Why, that I explain after the introduction. The DXY / USD has a non-negligible impact on GBP / USD, as the whole economy depends on its behavior, and it directly competes in composition. > Meanwhile, this seems to take a run-up, for a final upswing, which could put the currency pair under massive selling pressure. > Regardless of these selling pressures coming from the USD, GBP / USD has arrived at a very strong support, which suggests a rising price. In the following, the analysis goes into detail, so that the significant levels and areas are known to you. For this purpose, I have performed a "MULTI-TIME-FRAME" analysis, which refers to the higher time units (month & week) and thus makes the big picture visible. Normally all time units below "1h" are called noise, but even a - 1h-4h - analysis is of no use to you, if the knowledge about the big and whole is missing. > We traders know that no one can predict the future, and that is exactly why you have to be prepared for all initial situations. > If the DXY should rise again, that means "BLOOD" for the traditional and crypto markets. > This creates dangers, but also opportunities - it is important to look at the big picture. > Which levels are RELEVANT, I have explained in detail in the following pages. Table of contents 1st part = INTRODUCTION 2nd part = TECHNICAL ANALYSIS = Monthly - Time frame = Weekly - Time frame 3rd part = CONCLUSION PART ONE "INTRODUCTION" After "GBP/USD" tried to break out of its previously existing downtrend in May|2021, a strong sell-off was subsequently unleashed. > This sell-off extended to September|2022, where we formed our currently existing low. > After this significant low of 1.03565 USD (lowest exchange rate since the existence of the GBP), investors' fears subsided a bit and a massive buying of 20.19%, to 1.21534 USD occurred (in less than 2 months). > Due to this extreme upward movement, we can assume that a correction is overdue. This is needed so that a healthy recapture, an acceptable exchange rate can arise. > In recent weeks, the strong upward movement has stalled a bit, making the correction I expect more and more likely. CONTRA | SELL-OFF = Despite the strong reasons for a sell-off, the price can approach the not yet tested downtrend line, which would be at approx. 1.28 USD. = In addition, the price has regained a sideways trend channel and has respected it so far. PRO | SELL-OFF = The significant Fibonacci level of 0.65 (of the previous upward movement) was reached and tried to be broken twice without success. = The "DAILY" - MACD + RSI - both show divergences, which further strengthens the correction thesis. > Once you look at the DXY (USD index) at the higher time levels, the further sell-off in the traditional markets becomes even more likely. (My DXY analysis is linked below this post, for confirmation purposes). SECOND PART TECHNICAL ANALYSIS For the analysis of the higher time levels, I proceed according to the onion-skin principle. > MONTH - level > WEEK - level > DAY - level These are divided into > SUMMARY > CHARTS The charts are presented in logarithmic scaling, as the given information can be visually presented in a more harmonious way. (This also refers to Fibonacci levels.) 1st MONTH – Time frame SUMMARY The trend channel shown in the chart, in turquoise, finds its root in 1972 and has been able to maintain itself as a legitimate trend channel since then. Its mid-trend line showed reactions when confronted and was respected by the market. > The price is in the area below the mean line and had unsuccessfully challenged it in 2021. The trend channel shown in the chart, in purple, formed since 1976 and represented a hidden sideways channel. > The price is far from the channel and will not provoke a confrontation in the coming months. The trend line drawn in the chart, golden, has its origin in 2007 and proved to be a very strong resistance. > The price challenged this between "early 2021 - to early 2022" unsuccessfully and subsequently experienced its strong sell-off. As we go into more detail about the "SUPPLY & DEMAND" zones, you can take a closer look at the following "DEMAND" + "SUPPLY" zones on the chart. > The "DEMAND" zone 1, is STRONG = Played a role in the last bottom formation. > The "DEMAND" zone 2, is VERY STRONG = Played a role in the last bottoming out. > The "SUPPLY" zone 1, is STRONG = followed a strong move + it goes along with the mid-trend line of the largest trend channel (origin | 1972) The Fibonacci retracements should serve us as additional confirmation, and have been taken into account in past movements (last decades). > FIB 1 | will serve as resistance should the price attempt another run-up. > FIB 2 | represents all relevant levels, for a possible sell-off. Past highs and lows usually serve as resistance/support, one of which we have. > OLD LOW | 03/2020 > OLDEST LOW | 1985 Some levels of interest are in front of us, which in the last months + years, played a strong role for the market. > The most relevant at the moment - POIs are (1.20 + 1.185 USD) - and have been an important mark since the year 1984. In addition, they currently take a very strong support role. > The other POIs are by no means negligible and will play a role in the price development in the coming days, weeks and months. (Therefore, take your time and transfer the ones that are relevant for you into your chart). OVERVIEW CURRENT RELEVANT CHARTS Overall picture without POIs + without FIBONACCI Overall picture without POIs Overall picture without FIBONACCI ATTENTION In the following time levels, I will only deal with the NEW, added elements. . 2nd WEEK – Time frame SUMMARY IN ADDITION TO THE ALREADY ANNOUNCED TREND CHANNEL + TREND LINES, FURTHER VISIBLE. The trend channel shown in the chart, purple, finds its root in 2016 and since then has been able to maintain itself as a legitimate trend channel. Its mid-trend line showed reactions when confronted and was respected by the market. > The price is in the lowest area of the channel and had regained it. Despite the successful recapture, the price does not seem to be able to hold this position for much longer. The trend lines, drawn in the chart, have the following characteristics. > The - golden - older line served as an excellent support line in the past and was only temporarily broken in 2022 by a "fake-out". > The - golden - line with the shorter history is our current down-sale trendline and would come into play in case of a further rise. > The - turquoise - line will serve us as a "POI support line" during the following correction, as it represented a strongly contested area in the past. The monthly "SUPPLY & DEMAND" zones are joined by others from the weekly view that coincide with other resistance / support elements. > The "DEMAND" zone 1, is VERY STRONG = followed a strong move + was not tested by the price so far + is covered by a monthly demand zone > The "SUPPLY" zones 1+2+3, are WEAK = each followed a Weak move and do not receive additional overlap from a Monthly Supply Zone > The "SUPPLY" zones 4, is VERY STRONG = followed a very strong movement + is covered by a monthly supply zone As further Fibonacci additions, we have four more elements: > FIB 1 | will serve as support, but should not be of great relevance. > FIB 2 | represents a possible target level, for a possible sell-off. > FIB 3 | represents all possible correction levels, for a possible sell-off. > FIB 4 | represents all possible levels for a further price increase. CHARTS Overall picture Overall picture without FIBONACCI THIRD PART CONCLUSION "Is the pound losing its global position as one of the strongest currencies?" If you answered YES to this question, let's look into the reason. > Do you think this is only due to BREXIT, or is the reason a bit more complex? > Let me know in the comments what you think could be another reason and will be in the future. In summary, based on technical analysis, there are strong reasons for a correction. > Since the second attempt to break the 0.65 FIB, less and less strength is showing in the GBP. > A possible break of the resistance elements is not impossible, but highly unlikely. > The divergences in the daily RSI + MACD, suggest a bearish sell-off. For this reason, I assume a weak GBP exchange rate and a strong USD and an accompanying sell-off in the traditional and crypto markets. > Positioning after confirmation of this thesis = SHORT. If this idea and explanation has added value to you, I would be very happy to receive an evaluation of the idea. Thank you and happy trading! ZIEL IST DIE AUTARKIE | THE GOAL IS SELF-SUFFICIENCY
Short
by ZielIstDieAutarkie
5
UNI/USDT 4HInterval Targets and StoplossHello everyone, let's look at the 4H UNI to USDT chart as you can see that the price is moving above the local downtrend line. Let's start by setting goals for the near future that we can take into account: T1 = $6.11 T2 = $6.25 T3 = $6.45 AND T4 = $6.72 Now let's move on to the stop loss in case the market goes down further: SL1 = $5.99 SL2 = $5.89 SL3 = $5.82 AND SL4 = $5.75 Looking at the CHOP indicator, we see that there is still a lot of energy to move on the 4H interval, while the MACD indicator indicates entering a local uptrend. On the RSI, we can see an increase in the upper part of the range, despite the room for price increase, it is worth being careful.
by cryptodailyuk
LTC/USDT 4HInterval Resistance and SupportAs the second chart in today's review, we'll be looking at LTC against USDT, also on a four-hour timeframe. First of all, using the yellow line, we can mark the downtrend line from which the price went up, while locally, we can mark the uptrend channel in which the price is currently holding with blue lines. Now let's move on to marking the places of support. We will use the Fib Retracement tool to mark the support, and as you can see, we have the first support at $88.69, then we can mark the support zone from $86 to $84, however, when the price falls below this zone, we can see a drop around the support at $76.77. Looking the other way, we can also mark the places where the price should encounter resistance on the way to increases. And here, the first resistance that LTC is fighting is at $90.09, the next resistance is at $96.98, and then the third resistance at $105.58. The CHOP index indicates that the energy is slowly gaining strength. The MACD indicator indicates a local downtrend. On the other hand, on the RSI, after a slight rebound, we have room for growth, when the price breaks the current resistance, we can see an attack on the second resistance.
by cryptodailyuk
DOT/USDT 4HInterval Resistance and SupportHello everyone, I invite you to review the DOT chart in tandem with USDT on a four-hour interval. As we can see, the price has broken out of the local downtrend channel which we have marked with blue lines and is struggling to hold the price. Let's start by marking the support spots for the price and we see that we first have support at $6.06 just as we return to the descending channel, but if the price goes lower, we have another support at $5.92, then at $5.81. Looking the other way, we can similarly determine the places of resistance that the price has to face. And here we see that the price has now bounced off a strong resistance at $6.27, then we have a resistance at $6.35, a third resistance at $6.42, and then a fourth resistance at $6.48. The CHOP index indicates that there is some energy left for the next move, the MACD confirms the ongoing local uptrend, while the RSI has reached the upper part of the range after a nice price increase and now we have a healthy correction.
by cryptodailyuk
Daily BTC 4HChart - resistance and supportHello everyone, I invite you to every Wednesday cryptocurrency review. Let's start by checking the current situation on the BTC pair to USDT, taking into account the four-hour interval. First, we will use blue lines to mark the local channel of the sideways trend, and using . Now we can move on to marking the places of support in the event of a correction. And here we see that we have the first support at the price of $28163, the second support at the level of $27853, the third support at the price of $27592, and then it is worth marking the support zone from $27347 to $26982. Looking the other way, in a similar way using the Fib Retracement tool, we can determine the places of resistance. First we have very strong resistance at $28,419, second resistance at $28,930 and third resistance at $30,427. Please pay attention to the CHOP index, which indicates that most of the energy has been used, but there is still some movement left, the MACD indicator indicates a local uptrend, while the RSI indicates entering the upper part of the range, which can give you a moment of breath or a slight rebound.
COINBASE:BTCUSD
by cryptodailyuk
1
How to use Fibonacci Retracements for Trading and InvestingIntroduction The Fibonacci sequence is a series of numbers that starts with 0 and 1, and each subsequent number is the sum of the two preceding numbers. The sequence goes like this: 0, 1, 1, 2, 3, 5, 8, 13, 21, 34, 55, 89, 144, 233, 377, and so on. The sequence is named after Leonardo of Pisa, an Italian mathematician from the Middle Ages who was also known as Fibonacci. He introduced the sequence to the Western world in his book Liber Abaci, which he wrote in 1202. However, the sequence had already been discovered by Indian mathematicians several centuries earlier. It was used in ancient Indian mathematics to solve problems related to the breeding of rabbits, which is why the sequence is sometimes called the "rabbit sequence". The Fibonacci sequence has since become a widely studied and applied concept in mathematics, science, and finance. It is used to model a wide range of natural phenomena, including the growth patterns of plants, the breeding habits of animals, and the structure of galaxies. In trading and investing, Fibonacci retracements are used to identify potential levels of support and resistance in a market or investment. These levels are based on the percentage of a previous price movement that has been retraced. For example, if a stock price has risen from $50 to $100, and then retraces 50% of that move, the 50% retracement level is considered a potential level of support. Understanding Fibonacci retracements To create Fibonacci retracement levels, traders use the high and low points of a previous price movement. For example, if a stock has recently traded from $50 to $100, the high point is $100 and the low point is $50. Traders then draw horizontal lines at various levels between the high and low points, based on the Fibonacci sequence. The most common retracement levels are 38.2%, 50%, and 61.8%, although some traders also use 23.6% and 78.6%. Calculating Fibonacci retracements is relatively simple. To calculate the 38.2% retracement level, for example, you take the difference between the high and low points and multiply it by 0.382. You then subtract this number from the high point to get the retracement level. For the 50% retracement level, you multiply the difference by 0.5, and for the 61.8% retracement level, you multiply by 0.618. Using Fibonacci retracements for trading Fibonacci retracements can be used to identify potential levels of support and resistance in a market. For example, if a stock price is in an uptrend and begins to pull back, traders may look for potential support levels based on Fibonacci retracements. If the price retraces to the 38.2% level, for example, this may be seen as a potential level of support. If the price continues to fall and reaches the 50% or 61.8% level, these levels may also be seen as potential support levels. Similarly, in a downtrend, traders may use Fibonacci retracements to identify potential resistance levels. If the price is in a downtrend and begins to rally, the 38.2%, 50%, and 61.8% retracement levels may be seen as potential levels of resistance. Fibonacci retracements can also be used in range-bound markets. If a stock price is moving sideways between a support and resistance level, traders may use Fibonacci retracements to identify potential levels within the range where the price may bounce. Another way to use Fibonacci retracements for trading is in range-bound markets. In this type of market, prices may move up and down within a specific range, with no clear trend. In these cases, Fibonacci retracements can be used to identify potential areas of support and resistance within the range. Traders can use Fibonacci retracements to identify buy and sell signals at these levels. It's important to note that Fibonacci retracements should not be used in isolation, as they can produce false signals. To confirm signals generated by Fibonacci retracements, traders often use other technical indicators, such as moving averages, momentum oscillators, or volume indicators. For example, if a trader sees a retracement to a Fibonacci level and the price is also above the 50-day moving average, this could confirm a bullish signal and increase the likelihood of a successful trade. Using Fibonacci retracements for longer-term investments In addition to trading, Fibonacci retracements can also be used for investing. Long-term investors can use Fibonacci retracements to identify potential entry and exit points for their investments. For example, if a stock has experienced a significant upward trend, and then pulls back to a Fibonacci level, this could indicate a potential buying opportunity. Conversely, if a stock has reached a resistance level at a Fibonacci retracement level, this could be a signal to sell. Conclusion ibonacci retracements are a popular technical analysis tool used by traders and investors to identify potential support and resistance levels. By understanding the Fibonacci sequence and how to calculate and plot retracement levels on a chart, traders and investors can use these levels to make more informed trading and investment decisions. However, it's important to remember that Fibonacci retracements should not be used in isolation and should be used in conjunction with other technical indicators and fundamental analysis. With a thorough understanding of how to use Fibonacci retracements, traders and investors can incorporate this tool into their overall strategy to increase the likelihood of successful trades and investments.
BITSTAMP:BTCUSDEducation
by JS_TechTrading
🔥 Arbitrum Fibonacci Reversal: Short-Term Gains ComingARB has been one the most hyped tokens of recent memory, with a full release on the biggest exchanges last week. After a small initial drop, it seems that ARB has found support on the 0.382 Fibonacci Retracement. Since ARB has now stopped with making lower-highs and lower-lows, I'd wager that there's more gains coming for this highly anticipated token. In the short-term, the blue lines are my targets. Over the long-term, it's anyone's guess where ATB can go. Either way, I think this token will fly once BTC can get a decent trend going.
Long
by FieryTrading
16
AUDJPY - The corrective structure will continueAUDJPY overview AUDJPY has broken the low created in December last year, which confirms that the most probable path is continuing the bearish corrective cycle WXY until reaching at least 81.455. This fact opens us the opportunity to look for shorting opportunities until we reach that level. We will not blindly enter to sell AUDJPY in any case. Only if we see clearly a corrective structure we identify and it provides us with a good Inflection Zone, we are going to sell it with a very high probability of having a profitable trade. AUDJPY is an asset to monitor, and we will keep you updated if the selling opportunity appears The market is constantly repeating the same type of defined structures. Learning them and being able to spot them on the charts will completely change the way you trade.
Short
by TradingtheRightSide
1
Daily ETH 1DChart - resistance and supportHello everyone, I invite you to review the chart of ETH in pair to USDT, on a one-day timeframe. We will start by marking with the yellow lines the uptrend channel in which the price is currently moving, at its upper border.. Now let's move on to marking the places of support. We will use the Fib Retracement tool to mark the supports, and as you can see, we have the first support at $1662, the second support at $1547, the third support at $11456, and then we have support at $1365. Looking the other way, we can also mark the places where the price should encounter resistance on the way to increases. And here we have the first very strong resistance at the price of $ 1827, from which the price is currently rebounding, but when we manage to overcome it and positively test it, we can see an attack on the resistance at the price of $ 2029. At this point, it is worth looking at the EMA Cross 50 and 200, which indicate that after a very long downtrend, it turned into an uptrend. The CHOP index indicates that the energy has been used. The MACD indicator indicates an uptrend. On the other hand, the RSI is moving around the upper limit. There is some room for growth, but it is worth bearing in mind the upcoming price recovery.
by cryptodailyuk
BTC/USDT 1DChart - Fundamental analysisNow let's move on to checking the current situation on the BTC to USDT pair, taking into account the longer perspective on the one-day timeframe. First, we will use the blue lines to mark the sideways trend channel from which the price has gone up. It is also worth marking with a yellow line the downtrend line that has been overcome. Now we can move on to marking the places of support in the event of a correction. And here we see that the first support is at $25745, below we have a return to the channel where it is worth marking the support zone from $23718 to $22191, however, when we fall below this zone, we can see a drop to around $20601. Looking the other way, in a similar way using the Fib Retracement tool, we can determine the places of resistance. And here we immediately see that the price is against a very important resistance at 0.786 Fib at $28832, while the next equally strong resistance is at $32474. At this point, it is worth looking at the EMA Cross 10 and 20, which nicely indicated the place of return to the uptrend, and what's more, when we turn on the EMA Cross 50 and 200, we see that they also indicate a return to the uptrend after a prolonged downtrend. Please pay attention to the CHOP index which indicates that the energy has been exhausted which can give a local sideways trend, the MACD indicator indicates an uptrend, while the RSI is at the upper limit of the range, the price may go higher but it is worth keeping in mind the upcoming rebound as after each increase.
by cryptodailyuk
Demonstration of the Wave principle in real life KRE If you want a demonstration of the Wave principle in real life look no longer than KRE. It is a textbook example of an impulse wave started on 23 March 20220. Wave almost 61.8% retracement of Wave 1 Extended 3rd wave with a 2.00 multiple of Wave 1 Wave 4 has almost 0.382 retracement of Wave 3. And the most important one: the entire impulse wave is divided perfectly into golden ratio. 0618/0382 This impulse wave finished on 19th January 2022. Since then the corrective phase has begun. We have 2 viable scenarios over here Scenario nr 1. An ABC zigzag We clearly have a minor impulse wave down finished in 5 waves that could be intermediate wave (A).-finished on 16th June 2022 Followed by a running flat ABC for wave B. notice the truncation of minor wave C of (B) warning us about the underlying selling pressure in KRE. And that's precisely what happened in wave (C). That is what an impulse wave 3 of (3) looks like. Fear response appropriate! The Fibonacci ratio for wave (B) is precisely 0.382 retracement of wave A . The most common one in a zigzag. Guideline of equality Waves (A) = Wave (C) at $42.65 normal in a zigzag. So with this interpretation probably one more minor wave down and everything will be roses in the regional banks. What is not normal in a zigzag is the slope of wave C should be less aggressive. So this brings me to an alternate count. Scenario nr 2 Because of the slope and severity of this late sale this makes it a wave 3. As I said before has all the marks of impulse wave 3 down in this case. So the whole correction becomes just waves 123 with waves 4 and 5 still to come to make just wave (A) of the decline. I will leave it up to you to decide which interpretation is most appropriate. Legal Disclaimer: The information presented in this analysis is solely for informational purposes and does not serve as financial advice.
AMEX:KRE
by WavesInvesting
1
Top 10 Technical Indicators for Successful TradingTop 10 technical indicators for successful trading Introduction: Technical indicators are essential tools for traders to analyze market trends, identify potential trading opportunities, and manage risk. These indicators are mathematical calculations based on past price and volume data that can help traders make informed decisions about buying or selling assets. In this article, we'll discuss the top technical indicators that traders can use to enhance their trading strategies. Moving Average: A moving average is a widely used technical indicator that helps traders identify market trends. A moving average is calculated by averaging the price of an asset over a specific period, such as 10 days or 50 days. This indicator smooths out the price data and makes it easier for traders to identify the direction of the trend. When the price is above the moving average, it's considered a bullish trend, and when the price is below the moving average, it's considered a bearish trend. Relative Strength Index (RSI): The Relative Strength Index (RSI) is a momentum oscillator that measures the strength of a price trend. The RSI is calculated by comparing the average gains and losses over a specific period, typically 14 days. The RSI value ranges from 0 to 100, with values above 70 indicating an overbought market, and values below 30 indicating an oversold market. Traders can use the RSI to identify potential trend reversals and overbought or oversold conditions in the market. Bollinger Bands: Bollinger Bands are another widely used technical indicator that helps traders identify potential trend reversals and price volatility. Bollinger Bands consist of three lines: a moving average in the center, and two outer bands that represent the standard deviation of the price data. When the price is within the bands, it's considered normal market volatility. However, when the price reaches the outer bands, it's considered an overbought or oversold condition, and a potential reversal may be imminent. MACD (Moving Average Convergence Divergence): The Moving Average Convergence Divergence (MACD) is a trend-following momentum indicator that helps traders identify changes in momentum and trend reversals. The MACD is calculated by subtracting the 26-day exponential moving average (EMA) from the 12-day EMA. A signal line, which is a 9-day EMA of the MACD, is also plotted on the chart. Traders can use the MACD to identify potential buy and sell signals, as well as divergences between the MACD and the price of the asset. Fibonacci Retracements: Fibonacci Retracements are a popular technical indicator that helps traders identify potential support and resistance levels. Fibonacci Retracements are based on the idea that prices tend to retrace a predictable portion of a move, after which they may continue in the original direction. Traders can use Fibonacci retracements to identify potential entry and exit points, as well as stop-loss levels. Stochastic Oscillator: The Stochastic Oscillator is another momentum oscillator that helps traders identify overbought and oversold conditions in the market. The Stochastic Oscillator is calculated by comparing the closing price of an asset to its price range over a specific period. The Stochastic Oscillator value ranges from 0 to 100, with values above 80 indicating an overbought market, and values below 20 indicating an oversold market. Traders can use the Stochastic Oscillator to identify potential trend reversals and overbought or oversold conditions in the market. Average True Range (ATR): Average True Range (ATR) is a technical indicator that measures the volatility of a stock or currency. Developed by J. Welles Wilder Jr., ATR calculates the average range of price movements over a specific period, taking into account gaps in price movements. ATR is typically calculated over a period of 14 days, but traders can adjust this period to fit their specific trading strategy. To calculate ATR, traders first calculate the true range (TR), which is the greatest of the following: Current high minus the current low Absolute value of the current high minus the previous close Absolute value of the current low minus the previous close Once the true range is calculated, traders can calculate the ATR by taking an average of the true range over a specific period. ATR can be used to measure volatility in the market, helping traders to identify potential trading opportunities. When ATR is high, it indicates that there is a lot of volatility in the market, which can present opportunities for traders to profit. Conversely, when ATR is low, it indicates that the market is relatively stable, and traders may want to avoid entering trades at that time. Ichimoku Cloud: The Ichimoku Cloud, also known as Ichimoku Kinko Hyo, is a technical indicator that provides a comprehensive view of potential support and resistance levels, trend direction, and momentum. The indicator was developed by Japanese journalist Goichi Hosoda in the late 1930s and has gained popularity among traders in recent years. The Ichimoku Cloud consists of five lines, each providing a different view of the market: Tenkan-Sen: This line represents the average of the highest high and the lowest low over the past nine periods. Kijun-Sen: This line represents the average of the highest high and the lowest low over the past 26 periods. Chikou Span: This line represents the current closing price shifted back 26 periods. Senkou Span A: This line represents the average of the Tenkan-Sen and Kijun-Sen, shifted forward 26 periods. Senkou Span B: This line represents the average of the highest high and the lowest low over the past 52 periods, shifted forward 26 periods. The area between Senkou Span A and Senkou Span B is referred to as the "cloud" and is used to identify potential support and resistance levels. When the price is above the cloud, it indicates a bullish trend, and when the price is below the cloud, it indicates a bearish trend. Traders can also use the Tenkan-Sen and Kijun-Sen lines to identify potential entry and exit points, with a bullish crossover of the Tenkan-Sen above the Kijun-Sen indicating a potential buying opportunity, and a bearish crossover of the Tenkan-Sen below the Kijun-Sen indicating a potential selling opportunity. Conclusion: In conclusion, technical indicators are valuable tools for traders in the financial markets. The Average True Range (ATR) can be used to measure volatility in the market, while the Ichimoku Cloud provides a comprehensive view of potential support and resistance levels, trend direction, and momentum. By using these indicators in combination with other technical analysis tools and market knowledge, traders can make informed trading decisions and improve their chances of success. It's important for traders to experiment with different indicators and find the ones that work best for their trading strategy.
BITSTAMP:BTCUSDEducation
by JS_TechTrading
XRP/USDT 1DInterval Resistance and SupportHello everyone, I invite you to review the chart of XRP in pair to USDT, on a one-day timeframe. First, we will use the yellow line to mark the downtrend line that the price is trying to overcome. Moving on, we can move on to marking support areas when we start a larger correction. And here, in the first place, we can mark the support zone from $ 0.37 to $ 0.35, when the zone does not hold the price, we have the next support at the level of $ 0.33 and further at the price of $ 0.30. Looking the other way, we see a strong resistance zone from $0.40 to $0.43, but before that we need to break the downtrend lines. The next resistance is at $0.46, followed by resistance at $0.50. Please look at the CHOP index, which indicates that we have a lot of energy for the upcoming move, the MACD is on the verge of entering an uptrend, while the RSI is moving in the lower part of the range, which gives room for increases.
by cryptodailyuk