How "Smart Money" Uses Your EmotionsWhen trading most of us entry our trades TOO EARLY. Ofcouse we don't want to miss the opportunity to make money. This is one of us basic fear and its called "fear of missing out" Everybody knows this fear but we still feel it. And it is not just trading. You feel it when your friends go out and they did not invite so you feel miserable and left out. So its natural and I struggle with it myself everyday too. The thing you gotta understand is that the "SMART MONEY TRYES TO TRAP YOUR TRADES" using your fear of "fear of missing out".
For example you can see in the chart the circles that I marked when doing my backtest. See Theres normally some type of keylevel like support zone that the price touches. Everyone is expecting that the price is going to bouce after touching the support zone which it does. But before that the price breaks the support zone slighly and traps everyone to get more liquity to the trade. They dont do that to just bully you they do it because they need more contracts to buy and if peapol think its a bear breakout theres a lot contracts for good price to buy. They just try to hedge they position and get the best Risk Reward ratio. You know that feeling when the trade feels perfect and the you get wicked out. I know bro it hurts.
So how can we avoid these LIQUITY TRAPS?
The Markets always tests your patinece in situations like this. But i get that you cant be just patient to make money in the markets because if you have too much confirmation your probably late and if you have too little confirmation your probably in a risky situation. Everyone struggles with this and theres no one right answer. But what i can suggest you to do is wait for the VOLUME GRAB and then entry your trades. Then theres bigger chance to a winnig trade and it will be easier to trade when i dosen't give you mixed signals.
When Trading
1) Be patient
2) Wait for the volume crab
3) Get the confirmation that your strategy needs
Im trying to build a trading strategy to this specific relying on these "Smart Money Traps". So Follow if you wanna see the future UPDATES!
Pays
SHORT AUDUSDHello Traders,
This is just my personal opinion about his pair and what i see and anticipate happening.
On the daily chart price broke the blue ascending trendline with an impulsive bearish move. price has since tapped into to a previous level of support
around .71600. the overall market is bearish but is showing a bit of sluggish bearish momentum, which based on the volume could indicate a potential pullback
4hr showing a potential oversold status and long wicks on the bottom of several early candles and we could be seeing a double bottom in the making, couple that with
the imbalance that needs to be filled above.
In my opinion we will see a pullback into .73400 area before a move back down, target .7000, a key demand zone.
I am looking for shorts but will enter a counter trend trade if the price breaks above double bottom neckline.
Trade WELL not OFTEN
USDCAD What do you see on UC? There are different scenarios currently running on this pair, I would really just be patient until the daily close confirms our bias.
With the weakness of USD it is very hard to conclude that we can go with a bullish rally.
On the other hand, our confluences are committed to our plan.
We just wait patiently for our daily candle close to decide our positioning for next week.
HAVE A NICE WEEKEND, DON'T FORGET TO BACKTEST YOUR STRATEGY AND EVALUATE YOUR PERFORMANCE.
Nas will go up Nas is currently at support it rejected the support multiple times,so it has to push up to get atleast close to resistance to make a drop and break the support i could be wrong tho😂🤝 it could alternatively just break support drop abit then come shoot back up
Parabolic Growth - Never Chase Price!Parabolic Growth - A Quick Note
Positives parabolic growth rates occur when both Growth is positive , and the Rate of Change is also increasing - the 2nd derivative is increasing in calculus terms. Obviously, the rate of geometric growth can only increase so far, otherwise price change would increase infinitely!
Parabolic growth on daily charts and lower time frames eventually gives rise to periods of retracement and/or sideways consolidation. We have seen this in cryptos (BTC 's first major bull run) , many other futures contracts and even stocks. This phenomenon can be identified even in charts going back to the 50s and 60s.
Lesson here?
- Never chase price!
- Wait for a pullback and/or consolidation phase. You don't want to be the noob that buys at the top!
- Understanding the phenomenon mitigates the risk of lack of self control and feelings of FOMO.
cad/jpy good short position cad jpy was in bearish momentum and went down to the 84.400 very strong demand level and cane back to 87.100 for a retest
look for bearish confirmation on lower time frame and enter short with your own money management
always remeber patience with discipline and money management is the key to success
Short / Long position on the ADA forcastSo it looks like we did fall under the support which has now flip to resistance. I am taking a short position and then I will be taking a long position once we figure out which way we are headed but for now there isn't another support until 1.05 so enter at you're own risk but I am going to sit it out until we have a confirmation that we are indeed heading back up towards the 50 & 61.8 fib levels.
Gold will shine again for one last time1. Massive cup & handle on monthly chart
2. All eyes on bitcoin! no one paying attention to gold
3. Last wave of gold before bitcoin takes over in the next 30years? *Big money needs clear regulation and access to it which will happen after the next crash
4. Regulation is still developing on btc so big players hedge against inflation remains gold
5. Asia middle & upper class is coming, don't you think they will love some gold as a jewellery? Gold always shines
POLSThere is no sign of price consolidation at this levels,
making it a bit risky to get in at the wrong time.
If you are not sure about what you are doing, please find a professional
qualified financial adviser or somebody who really knows
when to do whatever is needed to do and does it at the right time.
PAYS, enters Uptrend Momentum ascends above 0 level on 10/20/20This indicator may be signaling that PAYS's price has momentum to move higher, since its current price exceeds the price logged 14 days ago. Traders may consider buying the stock or exploring call options. Tickeron A.I.dvisor backtested 98 similar cases where PAYS's Momentum Indicator exceeded 0, and 83 of them led to a successful outcome. Odds of Success: 85%. Current price $5.62 is below $6.27 the lowest support line found by Tickeron A.I. Throughout the month of 09/18/20 - 10/20/20, the price experienced a -3% Downtrend. During the week of 10/13/20 - 10/20/20, the stock fell -3%.
Bullish Trend Analysis
The RSI Indicator points to a transition from a downward trend to an upward trend -- in cases where PAYS's RSI Indicator exited the oversold zone, 11 of 17 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 65%.
The Momentum Indicator moved above the 0 level on October 20, 2020. You may want to consider a long position or call options on PAYS as a result. Tickeron A.I. detected that in 83 of 98 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are 85%.
The Moving Average Convergence Divergence (MACD) for PAYS just turned positive on September 16, 2020. Looking at past instances where PAYS's MACD turned positive, the stock continued to rise, Tickeron A.I. shows that in 42 of 48 cases over the following month. The odds of a continued upward trend are 88%.
Following a +4.11% 3-day Advance, the price is estimated to grow further. Considering data from situations where PAYS advanced for three days, in 180 of 207 cases, the price rose further within the following month. The odds of a continued upward trend are 87%.
The Aroon Indicator entered an Uptrend today. Tickeron A.I. detected that in 228 of 266 cases where PAYS Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are 86%.
GBPJPY LONG OPPORTUNITY Happy Weekend Traders , i have this pair already around my point of interest. i would look for it to hold around the psychological level before buy to get me to the next swing point. Your likes and comments would be welcomed . Please kindly join me to get more of this analysis in the future. Thanks to you all for the support friends.
It does not look too bad Although it seems to be down quite heavily looking at Binance charta only, it doesn't look so bad when looking at the whole picture.