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NIO: New record high! How to proceed?Hello traders and investors! Let’s see how NIO is doing today! First, NIO did hit our target at the All Time High (ATH) and it even defeated it, which is incredible. The ATH was our target since Dec 29 I believe, and I’ll leave the link to this analysis below. But how to proceed now? Well, there’s not much else to do, but hold. If you booked profits on Friday when it hit our target, I won’t judge you, but as long as we don’t see any reversal or weakness signs around, the trend will persist. As far as I know, NIO is doing what is called Time Correction , meaning, the price is accumulating and moving sideways until the 21 ema catches up with it. Since it is a bull trend, we are fine, but every accumulation in the hourly chart may indicate a Spinning Top/Bottom or Doji in the daily chart: Assuming that NIO will do a Spinning Top or a Doji in the daily chart, if it loses today’s low next, then we may see NIO drop again to a previous support level, maybe to the $ 57.20, or even to the 21 ema in the worst-case scenario. But this would be just a pullback, and pullbacks in a bull trend are just opportunities. I don’t think it is a good idea to buy now, as the R/R ratio is not good. A good R/R ratio was on Dec 29, when NIO triggered the Piercing Line pattern. Now it is time to manage positions. Let’s watch NIO closely form now on and try to react properly when the next opportunity come. Remember to follow me to keep in touch with my daily updates and support this idea if you liked it! Thank you very much! Have a great Monday!
NYSE:NIO
by Nathan_The_Finance_Hydra
39
Book Review: Trading in the Zone by Mark DouglasSome say that trading is 10% mechanical and 90% psychological. One of my mentors once said "The simpler we make trading, the more profitable it seems to be." and it was a profound statement to me at the time... It was one of those "I heard the exact thing I needed to hear at the exact time" moments and it changed the way I traded. It is in our nature to over-complicate things because we have been conditioned to think that profitable ventures must be complex ventures from a very early age. How many times have we heard "You can't do that... only rich people get to _____." "You'll never be able to get _____ without a college education and years of hard work (working for *someone else*!)." And of course, "If trading were so easy, everybody would be doing it." We are surrounded by negative ninnies nullifying our natural need to succeed. Well, I believe trading indeed is easy, but becoming a trader... now that indeed is the hard part. In an earlier article I talk about Backtesting and its importance in determining if your trading system works, answering the question "Can this system generate a *reliable* income week after week?" Once you determine that, the question is "Can I work the system?" And that question, my fellow traders, is all about psychology. (And the point of the book at hand: Trading in the Zone.) This article rounds out what I believe will be my two most important book reviews. In my previous review of Price Action Breakdown I highlighted the processes of technical analysis as presented by the author. Using Supply and Demand we can find the movement of money in the markets and reliably place trade after trade right behind the big institutions who move those markets. There are many ways to trade using a Supply and Demand methodology. I myself came up with my own method which I call Sabre which I formulated from my years of experience standing on the shoulders of giants, following rules, managing risk, and "sharpening the saw" as the late great Steven Covey would say. However, no matter how good a system is, if not followed properly, (and in some cases if not followed to the *letter*) even the best 'systems' will produce mediocre or even negative results. For instance, there are plenty of great weight loss and weight management 'systems' out there (Keto, Paleo, Atkins, Whole 30, ...) but if one does not have a good psychology, they won't "work the system" even though they know that "the system works." It isn't until a person's *psychology* is right (i.e. that the PAIN of being overweight/unfit is greater than the perceived pain of following a system) that they will follow a prescribed system of weight management or fitness. Mark Douglas opens his book on this very topic, saying that "The consistent winners think differently from everyone else." It's not smarts, or market analysis, or a super-duper indicator that separates the successful from the unsuccessful, but one's State Of Mind , and primarily a state of mind that thinks in probabilities . Trading, says Douglas, is very similar to a casino. The only difference is that we need to think like the person behind the table dealing the cards, not the rube playing the cards. Once you get behind the table, then you can play with the Law of Large Numbers by your side: you don't care how many hands you lose... you just know that overall in the course of 100 deals / shuffles / spins that you will come out ahead if you have an edge - a system that allows you to play where the odds are stacked in your favor. For instance, if you have a trading system that is only right 30% of the time, but your winners consistently generate a minimum of 5R of profit, are you going to be upset that seven out of every ten of your trades are losers? You shouldn't be, because for every 7R in losses (7 losses x 1R) you will generate at least 15R in winnings (5 wins x 3R). Your main goal then would to find as many trades as possible to get into each and every day! (If you are not familiar with the method of trading in "R", or 'aaRrrrrr' as we pirates call it, you can review my " Trade like a Pirate " article...) The essential ingredient in developing this successful probabilistic mindset is to indeed, have a successful trading system, an edge that overall in the game of large numbers will allow you you rake in more winnings than are drawn out by your losses. And as my favorite quote from Douglas says, "Once you learn to identify patterns and read the market, you find there are *limitless* opportunities to make money." Our primary job as traders, then, is to manage risk , that our edge only allows us to take trades that meet the demands of our system, and we take every trade that meeds those qualifications. It is a rare thing, however, to find a "trader in training" willing to think that way... the beginning trader wants to find out how to be right all the time. They want to experience certainty in an environment which is random, which will lead to ultimate disappointment. Think of trading like flipping a coin, (a random event): If you can get someone to play with you where for every time the coin comes up heads they have to pay you $300 and for every time it comes up tails you have to pay them $100, would you play? Of course! Because you know that at the end of the day the money is going to consistently flow in your direction, that overall for every 2 flips you have the expectation of making $200, if 50% of the time it comes up heads (making $300) and 50% of the time it comes up tails (losing $100). If you had a magical money machine that would play with you, with these kind of odds, would you simply flip that coin 5 times and call it a day? If I could make a friendly assumption, I would say that you would sit there in front of that machine flipping that quarter hour after hour until that machine ran out of money! We traders, however, aren't playing a person. We are playing the market . And the market has (for all practical purposes) unlimited piles of money. And if we have an "edge" that pays us 3R for every time we have to pay the market 1R what would you do? You will take every...single...trade... that comes your way that meets your criteria. An amateur at a poker table might walk away because he lost all of his winnings. The market won't run out of money and will play along with you as long as you desire – at least until you reach your goals. Douglas summarizes his point saying that we will be a consistently profitable trader if we can "learn how to redefine your trading activities in such a way that you truly accept the risk, and you’re no longer afraid." And that "the consistency you seek is in your mind , not in the markets." If we want to be "In the Zone" and make ourselves available to this infinite opportunity flow, we need to develop a carefree state of mind that doesn't have any expectation about any individual trade except that "something will happen." Our goal is not to win or not to not lose, but to "get in the water" - to put on every trade that represents our edge and wait for that "something" to happen. And if your trade happens to be a loser, then get excited because that means you are that much closer to a win. With this carefree, probabilistic mindset, "losing" trades will never again produce a negative emotion. In fact, "If every loss puts you that much closer to a win, you will be looking forward to the next occurrence of your edge, ready and waiting to jump in without the slightest reservation or hesitation." Trading, according to Douglass, is ultimately a "pattern recognition numbers game." As long as we insist on "having to know" what will happen with any particular trade we will experience stress and have unfulfilled expectations. When we begin thinking (and acting) in probabilities and a series of trades, we will begin to develop an "unshakable belief in our consistency as a trader." I've recently heard it said that "Trading is one of the most amazing, rewarding, and enriching professions there is. But I wouldn't wish it on anybody!" For the most part, trading is highly psychological. As Yoda said, "You must unlearn what you have learned." What makes one a successful doctor, engineer, lawyer, Fill-in-the-blank.... those skills will contribute *nothing* to being a better trader. Finally, just like one trip to the gym won't make you healthy and fit, a single read of this book won't give you a strong mental edge to complement the technical edge of your trading system. I make it a habit to read/listen to this book at least once per quarter alongside Price Action Breakdown . Take notes. Apply. Rinse. Repeat. That's my one bit of advice for you: Don't just read this book once... read it regularly ... Like with the Napoleon Hill's book Think and Grow Rich ... If you ask anyone if they've ever read it and they said yes, ask them "How many times? Because you obviously aren't rich yet!" Even Napoleon Hill stressed that you should read his book over and over if you are going to exercise your "thinking meat" and make it stronger and stronger day by day. (By the way... you should read that book as well... but that's a review for another day.) Trade well! -Anthony
Education
by ocaptain
25
Leave it, Grab A Cup Of Coffee And Relax ☕So, we are reaching the end of the year folk.. 2020 will be gone.. HAPPY NEW YEAR.. What a year it was.. Lot's of ups and downs, We saw both 3000 and 24000 price channel in just one year.. We've experienced Covid-19 and the quarantine.. What a journey!!! We've learned a lot together from this year.. I tried my best to give you my experience on trading, analysis, technical/fundamental parameters and newest oscillators.. I hope you found them useful for yourself and you're satisfied.. I wanted to add one more important tip about market near new year.. All the capital markets, including crypto market, are so risky near and in this big holidays.. Most of big companies closes their 2020 financial reports top traders stop trading for a break or going to holiday and etc.. These reasons make all the markets so volatile and risky. I strongly recommend you to stop trading until mid-January.. Just relax, try to enjoy holidays.. Try to have some time with your family and your loved ones.. These holidays are extraordinary time for you to update your knowledge on the market.. Try to learn something new so you can have a progress for new year of trading.. Try not to be temped to make profit during the holiday, because you're going to regret it with a big loss.. And by the way, You came a long way studying the market this year, you deserve a rest.. We all do deserve it.. For my final words in this post, I want to thank you for accompanying me during this journey that was a great honor for me, I hope you enjoyed it too.. I have a little request.. I really love to read your comments about my idea that I gave you this year, I want to know what do you think about them? How useful were them to you? And the most important thing is that what do you suggest me to write about in upcoming year for you?? If you have friends that you think My profile and ideas can help the give the my address so we all can learn and gain from the market and make our educational community larger and stronger.. I'm waiting to read your comments below my friends, Wish you a great 2021 and HAPPY NEW YEAR...
Education
by ArshiaZojaji
5
SRM/USDT & SRM/BTCJe pense que le graphique parle pour SRM ( Serum ), ... Le stop loss acceptable est excellent pour le gain latent - Support en usdt et btc trés fort ( bottom peut etre trouver ) - Le gain perte est excellent - Seul obstacle serait la zone de réaction RSI pas encore casser à la hausse Pour les plus agressifs prendre le trade maintenant, pour les plus sécuritaire attendre une cassure RSI et résistance avec probable pull back. En SWING le stop loss serait de 20%
SLong
by CryptoSal11
First Week of 2021First Week Of 2021 Signal's win rate: 86% Profit: 27.2% Total Trades: 30 Winning Trades: 26 ------------------- Strategy and Risk management explanation: - Condition: Specify potential zones in 4H and 1H and wait for the price to reach them - Entry: Regular divergence, double top and double bottom in 15M and 5M - Stop Loss: 1 ATR below or above the last swing - Take Profit: 1:1 and 1:1/4 break even both trades after reaching the 70% of SL Risking 1% of balance in every trade
by daadbin
Ethereum - Levels of interest for this year!Just like for my previous post on Bitcoin , here you have the levels of interest we have to keep an eye on for this year. Right now we're approaching the all-time high so expect some resistance. The best thing to do right now is to take at least some profits and let others fight for this zone because don't forget, profits are yours only after you take them! You can then buy back in again once we see a breakout. FYI : Long term I remain very bullish cryptos but not because I'm necessarily a believer or Hodler but simply because price is telling me that there are a lot more gains to be made in the coming months and years. But, short term, I take profits and often close most of my positions simply because I don't want my money to sit doing nothing when there's a big correction coming. And even if price keeps on going higher when I get out, I'm not necessarily bothered because I can simply buy back in again. I rather miss 5%-10% of gains rather than lose my sanity and hair holding during a big correction.
Long
by ElliottWaveBelgium
Bitcoin - Levels of interest for this year!I've shared this chart with subscribers some time ago and noticed that I had forgotten to post it here also. Right now, we're approaching the 43k-46k zone for which, looking at the substructure of current rise, I suspect we'll see a breakthrough, turning this zone into a support next, before going for 70k. Notice that the blue zone, is the usual termination point of an impulsive wave 3. Be therefore aware of that in case we see price starting to get very choppy at that zone because it's normal wave 4 behavior and should resolve higher after that.
BITSTAMP:BTCUSDLong
by ElliottWaveBelgium
1
Trade Alert: XRPI usually don't do crypto, but now that I've done what I believe is enough research and watched crypto's crazy market I am IN. That being said : XRP High reward, not without some risk of course. XRP has buying support, its good news that with SEC news this hasn't went down the drain, still we are above .22 and I really do believe XRP will come out with a "W" on this SEC case.. My advice add a small position and any good news hits keep adding to position, also if no news BUT XRP hits positive trend I boxed in chart then add to position. As always pay good attention as crypto tends to move FAST. *Indicators and Tools used* -Zig Zag -Pivots -Vol -MACD -Super Trend V1.0 -Trend Line -Triangle -Date and Price Range *Please like if you find this post useful*
BITSTAMP:XRPUSDLong
by BeardedSince
BITCOIN CRASH TODAY?? - Bearish setupHey there, Please support this idea with your likes, follow me and comment down below what you think. Read the text on my chart for more information. Bitcoin has heavy resistance around the 30k level and eventhough I would normally not go short in a bull market, I initiated a short position. Risk to reward is just too good for shorting up here. I WILL BUY THE DIP THOUGH!. 20k is final imo. Think we can bounce already in the 21-22k level! Cheers, Konrad
BITMEX:BTCUSD.PShort
by EnlightenedTrading
1
The ABCs of risk management. How to calculate risk and stop-lossHello, Traders Today we are going to explore risk management. First of all, risk management is what keeps traders alive! 1. First of all - it’s very risky to get into a single trade with more than 20% of your trading deposit. 2. To begin with, you need to calculate the percentage of risk you plan for each trade. To simplify, it’s an amount of money you’re willing to lose if something goes wrong - and if the losses are equal to that amount, you get out of the trade automatically. The stop-loss needs to be calculated with consideration of your tolerated risk. Let’s say your trading deposit is 20000$. The risk for one trade is 1% of your deposit, in our case it’s 200$. If you make a trade for 10% of your deposit (20 000$), then the position size should be 2000$. The tolerated risk, in this case, is 200$ (10% of your trade amount). Therefore your stop loss for the trade should be 10%, after which the position will be closed. If your position is equal to 20% of your deposit (20000$), then the position size should be 4000$. The loss you’re willing to tolerate here is 200$ (5% of 4000$). That’s your maximum stop-loss. 3. It's very important to understand that you have to make trades with a good risk/return ratio. The recommended minimum is 2 to 1, but 3 to 1 is better. You have to calculate that in order to remain profitable, otherwise, you can end up having losses executing lots of trades. For example, if the R/R ratio is 1 to 2, and you succeed in 4 of 10 trades with an estimated 20% profits and close 6 of your positions with a stop-loss of 10%, you’ll have 4*20% (80% profit) minus 6*10% (60% loss) and that’s still 20% profit. So you get 20% profit even if only 40% of your trades are profitable. Good luck and watch out for the market!
Education
by UnknownUnicorn10064030
9