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Strong Bulls, Weak Bears, Strong Bears, Weak BullsStrong Bulls are always looking to buy. Strong Bears are always looking to sell. Weak Bulls and Weak Bears are usually indecisive and wait until its too late, entering at the worst possible time. In general, Strong Bulls sell to Weak Bears, and Strong Bears buy from Weak Bulls. When both Strong Bulls and Strong Bears sell (strong bulls to take profits, and strong bears to initiate shorts), there is only one direction for the market to go. This is when leads to strong moves in the markets. When prices are in a strong bull trend Strong Bulls buy at any price, including a high price. This strong trend can be in the form of a spike or a tight bull channel . The Strong Bulls are aware prices are in a strong trend, and therefore are willing to buy high. This buying prevents a pullback and instead prices continue to rally. Strong bears see this and are not willing to sell yet, and so the lack of selling pressure creates a vacuum and also prevents a pullback. The same is true for Strong Bears in a strong bear trend. When prices are in a weaker bull trend, such as a broad bull channel , bulls who buy high tend to get trapped and are either forced to exit and buy lower, or scale into their position at a lower price. This is also refereed to as "averaging in to a position." When strong bulls see that bulls who buy high are getting trapped, they will only look to buy at a discount, or a pullback and will sell to take profits when prices reach near the highs. This is what feeds the bull channel , which is a form of a slanted trading range. When prices are in a trading range, both Strong Bulls and Strong Bears will only look to buy low and sell high. Most will also scale into their position if prices go against them, and they tend to take smaller profits like 1X risk. What about Weak Bulls and Weak Bears? Weak bulls and Weak bears tend to flip flop in their positions. In other words, they see a bear leg and assume prices are going lower and sell low in the bear leg, just before a rally begins. This is most obvious when prices are in some form of trading range or weak channel where there is heavy two sided trading. Weak bulls also buy high in a bull channel , or high in a trading range. They buy from strong bears who are selling high prices. They are then forced to exit or scale in, and contribute to the selling if they exit. Then when prices are near the bottom of the channel, they become convinced the market is now selling off, and sell low. This repeats over and over as they hope for a breakout and fail to realize what is occurring. A major key in learning to become a profitable trader is the ability to understand what the institutions (strong bulls and strong bears) are doing at any given time. This is how you follow "smart money." If you do not understand what prices are telling you; you are more likely to act as a Weak Bull and Weak Bear, and contribute to the market. To learn more about how to understand institutions and price tendencies, see below. If you found this helpful please like! Feel free to comment or ask questions.
by tradersmentality
1
How to connect your indicator with the Trade ManagerHi everyone On Today's tutorial, I wanted to highlight how you can upgrade your own indicator to work with the Trade Manager Let's take the dummy example of the double MM cross Step 1 - Update your indicator Somewhere in the code you'll have a LONG and a SHORT condition. If not, please go back to study trading for noobs (I'm kidding !!!) So it should look to something similar macrossover = crossover(MA1, MA2) macrossunder = crossunder(MA1, MA2) What you will need to add at the very end of your script is a Signal plot that will be captured by the Trade Manager. This will give us : // Signal plot to be used as external // if crossover, sends 1, otherwise sends -1 Signal = macrossover ? 1 : macrossunder ? -1 : na plot(Signal, title="Signal") The Trade Manager engines expects to receive 1 for a bullishg signal and -1 for bearish . Step 2 - Add the Trade Manager to your chart and select the right Data Source I feel the questions coming so I prefer to anticipate :) When you add the Trade Manager to your chart, nothing will be displayed. THIS IS NORMAL because you'll have to select the Data Source to be "Signal" Remember our Signal variable from the Two MM Cross from before, now we'll capture it and.....drumb rolll...... that's from that moment that your life became even more AWESOME The Engine will capture the last signal from the MM cross or any indicator actually and will update the Stop Loss, Take Profit levels based on the parameters you set on the Trade Manager I worked the whole weekend on it because I wanted to challenge myself and give you something that I will certainly use in my own trading Please send me some feedback or questions if any Enjoy Dave
BITSTAMP:BTCUSDEducation
by Daveatt
19
GBPJPY Short With 5-to-1 Reward!A short signal just triggered on the GBPJPY. Our swing trading system will target a 5-to-1 reward for the risk taken with this trade! These sort of setups don't happen too often but when they do they make all the difference between a profitable and money-rolling-in trading month. We will be taking 50% profits at the first target area as illustrated on the chart and then ride the last 50% of the position out, going along with the momentum from the current and all higher timeframes. Updates to follow. Protect your capital and be safe!
Short
by FollowMyForex
1
HUGE OPPORTUNITY: DENT:BTC Might Earn You 126% Profit!DENT/BTC on Binance is looking good! We are inside an descending wedge (which is bullish), also we have an inverse Head And Shoulder Formation taking form and a low RSI, which makes is oversold. Remember always to use Risk-and Money Management and a good Risk Reward Ratio! That is something we teach our FAMILY MEMBERS, and why we are making money for them. We are ONE Unit! We Stand Together! We Are a FAMILY! ....And That is exactly what give us an ÆGDE! D4 PS. Please give a LIKE! Appreciated!
DLong
by D4rkEnergY
5
How Avoid Leaving Money on the Table“The art of life lies in a constant readjustment to our surroundings.” —Kakuzo Okakura The TradingVeiw community was all over the fact that BTC and other cryptos were on the verge of breaking out days if not weeks before Apr 19. It was obvious, so it is nothing to brag about. However, how many of us are still long BTC or LTC? What about those who traded QCOM? How do you feel when it is obvious you exited or even lightened a position too early? Whether in BTC or QCOM it is easy to feel frustrated at times when we leave money on the table. Why does this happen? Personal experience suggest there are three main reasons: Setup potential. For example QCOM out of the blue basically increased there EPS by $2, causing it to break out on volume. Thus this was a technical breakout based on fundamentals. Big news! While the major cryptos like BTC and LTC recent moves aren’t due to any significant change in fundamentals, the potential for a big move should of been obvious due to fact that traders using weekly and daily charts have been pointing to the consolidation and coiling under a major trendline for a long time now. And it was an obvious level where shorts were leaning on to hold. So when there is a major change in fundamentals or a break on volume of a major technical level we need to recognize the potential for more volatility. 2. Failure to adapt. We must recognize we are trading against computers and algos that are not only able to read headlines and see technical breakouts faster than us, but also not afraid to push prices to extremes. If there is a huge spike in volume in conjunction with a technical breakout and/or an unexpected change in fundamentals.then we should not be afraid to hold our position, but instead just let the momentum take over - shorts will have to cover, analyst will have adjust their models and raise their price targets, and the Johnny-come-latelies will chase because of FOMO. Failure to adapt will not only cause us to miss the opportunity let our winners run, but also make it much more likely that we will get stopped out prematurely due to the increase in volatility. 3. Tiredness and Fatigue. Fatigue is perhaps the biggest reason for missing a trades potential and not being able to adapt quickly. When i was younger trading stocks was so much easier. I didn’t have to worry about tweets or global news and pre and post market trading was almost non-existent. Now we are constantly being bombarded by news and we can trade almost any instrument 24-hrs a day on our phone. Unlike computers we need rest in order to concentrate and function properly. When I’m tired I tend to be more impulsive which leads to frustration and disappointment. Recognizing our limitations and surroundings will help use understand that missing out on a trade or leaving money on the table is just part of trading and nothing to get upset about. Furthermore, allowing ourselves to get enough rest will help us be able to focus so that we can recognize a setups potential and adapt to new volititly, thus avoiding unnecessary frustration and disappointment. Thoughts and comments always welcomed!
BITFINEX:BTCUSDLong
by SR618
Possible CAD/JPY short position!! SMP TRADING SELF DEVELOPMENT/METHODOLOGY/PSYCHOLOGY Chart time frame - H4 Timeframe - 4-12 Hrs Actions on - A – Activating Event Market will meet resistance in zone @82.68 - .... and fall to the 82.200. In order to enter, the pair MUST be in line with my Entry Procedure.... B – Beliefs Market move towards the first Target 1 level @ 82.200 FX:CADJPY Trade Management Entered @ ..... Stop Loss @ ..... Target 1 @ 82.200 Target 2 @ .... Risk/Reward @ 2.1 Happy trading :) Follow your Trading plan, remain disciplined and keep learning !! Please Follow, Like,Comment & Follow This information is not a recommendation to buy or sell. It is to be used for educational purposes only!
Short
by SMPTrader
infinity trades EURUSD Beautiful example of a descending channel formation, using the Daily confirmation coming off the re test of the channel low we can see a clear indication of buyers in this market how ever going against the current direction of the bearish market we will need clear confidence in bullish momentum to insure this currency reverses its current structure, if we do gain a long entry we will be assessing TP1 for a potential continuation trade as to where we could enter a short entry and trade the bearish continuation which has more probability. Depending on the market conditions at the time this will determine how we approach this set up.
Long
by b12345678910