Get started

Tutorial

is BTC an indicator of the S&P500?The S&P 500 is up 10%! Finally, a reversal and the end of the bear market! Or not? Bitcoin formed a double top on April 5 and November 8 . There were 217 days between the two peaks. After that, the price fell for a long time and has already fallen by 70% . What happened to the S&P500 at that time? The index did not fall on November 8 , but went sideways. This sideways movement lasted for 49 days , after which a bearish trend began, which we are still in. That is, we had 49 days to understand that there would be a fall soon. By the time the DOUBLE TOP pattern formed on the bitcoin chart and the price had already gone down 30% and it was clear that there would be a fall, it was possible to understand that there would be a fall on the S&P500 . During this time, we could open good positions at a good point and catch a 25% drop in the S&P500 ! I won't burden you with history, you can look at the charts yourself, but bitcoin starts its movement before the S&P500 . Now the world is screaming that the S&P500 has turned around, and bitcoin , on the contrary, continues to fall . Think about it... Draw your own conclusions and do not forget to share your opinion in the comments.
Short
by UnknownUnicorn15614419
14
8 Easy and Effective Ways to Improve Intellectual PerformanceToday we are going to talk about personal effectiveness. Have you ever noticed that as you get older, it becomes more and more difficult to concentrate, study large amounts of information, evaluate variants of events, etc.? And in trading it is impossible to do without it. And not only at Forex, but also in real life. The 21st century is the century of information. I will share with you ten simple and effective ways to increase mental performance, and you can implement them today. Without too much effort. 1 Start the day with physical activity This is the hardest to follow of the tips presented here. But it works. Physical activity first thing in the morning, on an empty stomach, helps to get the blood and oxygen flowing through your body. As a result, you have clarity of thought during the day, it is easier to concentrate, and the work goes easier. What kinds of activities? It's up to you. I practice yoga in a light form, someone runs, someone swims, someone can do physical exercises, even a short walk will do. The main condition is that your "warm-up" should be at least 15-20 minutes. 2 Make a to-do list Make a list of ABSOLUTELY all the things you have to do. Not just work stuff, but plans like: go out, buy something, go on a summer vacation, change the tires on your car, walk your dog, read a book called Think and Get Rich. In short, absolutely ALL things to do. 3 Take a break every hour The human brain is built in such a way that for about 20 minutes it speeds up, adjusts to the task. At the 30th minute it reaches the peak of activity, and then there is a decline. After 40-50 minutes of intellectual work, the body needs to rest. You have probably noticed yourself how after an hour of work there is a "dullness. This is a sure sign that you need a break. So, do not give your body too much stress, take a break every hour. 10 minutes is just enough time to recover and get back to work. During the break you can relax by lying on the couch, play some simple game, like on the phone, or give yourself a little physical workout. 4 Drink water Continuing the topic of how our brain works, it is worth mentioning that it needs “moisture” to function properly. Insufficient supply of water to the brain is another cause of dullness. Don't let your head go dry. Drink a glass of clean water every 2 hours. Not coffee, not tea, but just water. 5 Four hours per day to work This may sound like an excuse for laziness, but there have been studies in which scientists have found that a person can PRODUCTIVELY work intellectually for no more than 4 hours a day. Meaning pure working time, minus breaks and interruptions. Of course, a person can work more hours, but after 4 hours the productivity and quality of intellectual activity drops significantly. Therefore, if possible, try to work less time, but more productively as a result. 6 A daytime nap is useful It is no wonder that kids in kindergarten are put to bed in the afternoon. A nap during the day is very good for the body. Google even has special pods in its offices where employees can take an hour nap. If possible, try to give yourself an hour after lunch for a nap. After you wake up, you will get a lot more done than if you had worked without a break. 7 Walk Studies have found that people who walked 1-2 km a day worked much better than those who neglected walking. Richard Bach, the famous esoteric writer, also mentions in one of his books about the "Walking Fairy". As you know, ideas often come up while walking, Bach personified their appearance in the form of the Fairy, who gives you new thoughts as you walk down the street. 8 Don't drink too much alcohol The advice is obvious, but relevant. Systematic alcohol consumption destroys the hippocampus, the part of the brain responsible for memory, orientation in space, its destruction can even lead to Alzheimer's disease. You do not want to become an idiot, requiring the constant supervision of doctors? But if you want to drink, drink it in moderation.
Education
by DeGRAM
5
FTT FALL AND GOLD RISEFTT has fallen by 90% ... the entire crypto market is falling. And gold is growing. Why and how is this related? Chronology November 6 : An analyst under the pseudonym Lookonchain noticed that 23 million FTT coins (about $530 million) were transferred from a "cold" wallet to the Binance exchange. Only one person (with the exception of Alameda itself) had such a large stock, so there could be no doubt about it. It was CZ. Actually, he did not hide much, confirming with a slight delay on Twitter that he decided to sell these shitcoins to FTT . After that, a series of news came out confirming the presence of big problems at Alameda. The founder of Alameda started looking for funds because the company started having liquidity problems. And even Binance did not dare to help Alameda. On this news, the entire crypto market began to fall rapidly. People started selling cryptocurrency and tried to withdraw money. Just at this time, a record was set for transactions with stablecoins. People wanted to protect their funds, but where to invest their funds now? Gold Gold has historically been considered a lifeline for investors. In times of crisis, gold has always been considered the tool that can save you from losing money. On November 3 , gold began its growth. To date, the growth has amounted to 9%. What does it mean? The crisis continues, bitcoin has been falling for a year. November 10, 2021: $BTC 69000$ November 10, 2022: $BTC 15600$ All problematic companies close down and accelerate the decline of the crypto market. The bottom is not visible yet. Be careful, especially if you decide to open long positions.
OANDA:XAUUSD
by UnknownUnicorn15614419
8
JS-Masterclass: Sell Alerts / RulesJS-Masterclass #10: Sell Alerts / Sell Rules In recent tutorials, we have covered different techniques and ways to identify low-risk entry points. We have talked about the perfect buy points and several entry patterns. In this tutorial, we will discuss general rules for selling once we have entered a trade. Also, we will present a comprehensive list of warning signals which suggest to close a trade long before hitting the Stop-Loss. 1. Selling into strength By far the best option for a swing-trader is to sell into strength. You will feel like a hero once you have mastered this technique! Here are some guidelines for that: a) Sell if you have achieved a gain which is a multiple of your risk. The minimum gain before selling into strength should be 2x the risk. Consider selling half and moving stop on remaining position to breakeven. b) If your profit is more than your average gain and a multiple of your risk (generally 2-3x) consider trailing a stop or selling half and moving your stop up. You could also “backstop” your average gain or an amount you want to lock in. c) The stock is extended and opens up on a gap; consider selling at least half or trail a tight stop. 2. Selling into weakness a) The price hits pre-determined stop-loss – OUT… NO QUESTIONS! You will have to stick to this discipline before you will become a successful trader. b) The stock closes below 20-day moving average, below your purchase price soon after a breakout from volatility contraction pattern; reduce shares when you have 3-4 days of lower lows without supportive action on day 3-4. This increases the odds of a failure. c) Heavy selling with full retracement soon after low volume breakout. This is a bad signal – get out of the trade. d) Key reversal on heavy volume when stock is extended – sell at least half. 3. Sell Alerts Stocks will flash warning signals long before a big decline. Here are some to watch for: a) Accelerated rate of advance (parabolic “blow-off” price action) b) After extended move stock moves up 25-50% in 1-3 weeks (12 of 15 days up over 3 weeks) c) Largest up day since beginning of move (look for reversal or churning over the next 1-4 trading days). This could mean that the stock is in its final leg up and almost exhausted. d) Largest daily price spread since advance started e) Largest weekly price spread since beginning of advance f) Exhaustion gaps (after stock is extended – usually 2nd or 3rd gap ) g) New high on low volume which sometimes indicates the beginning of a phase 3 h) Heavy volume with little price progress (stalling action) i) Drop below the 50-day moving average line on the heaviest daily volume since beginning of move j) Largest one-day decline since beginning of move k) Largest weekly decline on huge volume l) Downwards action on large volume
BITSTAMP:BTCUSDEducation
by JS_TechTrading
PSYCHOLOGICAL PRICE LEVELSPsychological price levels Today we will talk about the psychology of the crowd, about price levels, which attract most of the traders and what we should do about it all what levels to pay attention to and how to place orders near them to enter/exit the market. Round levels Remember the last time you went to the store and saw the price for something, say, 3.95 $, you automatically rounded it up to 4.00 $. This is a normal human tendency to simplify things. It's inherent in traders. That's why levels multiple of a hundred (with two zeros at the end) are so attractive to the crowd. It's at levels like 1.3300, 1.5000, 1.2600, etc. that the real struggle between bears and bulls takes place. And who will win is unclear. However, in any case the round price levels are an obstacle, so we can say that price levels divisible by a hundred (00) are support/resistance levels for the price. High activity forex price levels When trading intraday, high activity is observed at certain price values. We've already mentioned 00 levels, and it's clear that they're attracting attention. But there are other levels, which should not be forgotten by fans of intraday trading. 20, 50, 80 - levels of increased activity in intraday trading. The examples: 1.2050; 1.3280; 0.9020. Why on levels 20, 50, 80 there is a big accumulation of Forex orders? The matter is psychology again. 50 is half of the way from one round level to the other. You have to agree that when half of it is done, it becomes much easier to work, right? It's the same with price. Regarding levels 20 and 80, the situation is similar. Until the quotes get to, say, 1.3120, i.e. hang around 1.3115, it looks like the price has barely moved away from 1.3100. There is nothing to act upon. And when the barrier of 1.3120 is reached, the way for the price to go higher becomes open. Naturally, we are now talking about a psychological point of view. The situation with the level of 80 is similar. As soon as the price reaches 1.3180, the trigger "close to 1.3200 level" triggers in our mind and it is the same for other traders. How to place orders considering the price levels of increased activity? Market entry at key levels. Not only we but also market makers know about the levels of increased price activity and accumulation of orders. That's why it often happens that the price does not reach a round level and turns around. Even entries at levels with multiple orders of other traders lead to requotes, i.e. losses of potential profit. Therefore, you should enter the market 5 points above or below (depending on the situation and position) a level, but not at the levels themselves. That is, if you opened a buy with a target of 1.3100, it is better to move the take profit to 1.3095. Do not give the psychological level miraculous properties that will necessarily provoke a sharp reversal or a powerful rally from these levels! Psychological levels are like any other resistance and support levels should be considered by traders as decision-making levels. When price reaches decision levels, traders begin to consider their next moves. These levels are themselves a basis for action, some traders see them as a good place to buy, while others are going to sell at them. The final outcome depends on the outcome of the battle between the bulls and the bears, who represent supply and demand, respectively. It's best for you and me not to get involved in the battle, but just to watch it and wait for the winner to be determined.
Education
by DeGRAM
2
ELON's PAMPOn October 29 , DOGE rose sharply, what was it? Many people call such impulses in different ways and very often such movements are called pumps. History On September 7, 2021 , there was a PUMP , which was accompanied by a gigantic volume. The price went up sharply, after which it adjusted slightly, and then again made an incredible impulse on April 18, 2021 . This impulse was also accompanied by a large volume, but this volume was less than at the first PUMP . What does this tell us? DIVERGENCE According to the chart, we see that the price is rising, and the volume is falling, and this is a sign of an imminent reversal. This is often observed with an artificial price movement or with a PUMP . If we look at the trend line, we can see that the price, after the PUMP , returns to the trend line, as if reaching a balance. Most often, the PUMP is accompanied by news. As we know, Elon Musk bought Twitter , and not just bought it, but is going to make DOGE the main cryptocurrency for making payments to Twitter . Around this time, the peak was formed on October 29, 2022 , accompanied by large volumes. How will this affect the price? Share your opinion.
Long
by UnknownUnicorn15614419
13
How to Pick the next Winners? CAN-SLIMA successful trading strategy starts with sound stock selection criteria. Our JS-TechTrading strategy combines the timeless and success proven principles of Mark Minervini's SEPA (R) analysis and William O'Neils' CAN-SLIM (R) methodology. This tutorial describes the CAN-SLIM (R) methodology in detail: CAN-SLIM refers to the acronym developed by the American stock research and education company Investor's Business Daily (IBD). IBD claims CAN-SLIM represents the seven characteristics that top-performing stocks often share before making their biggest price gains. It was developed in the 1950s by Investor's Business Daily founder William O'Neil. The method was named the top-performing investment strategy from 1998-2009 by the American Association of Individual Investors. CAN-SLIM is a growth stock investing strategy formulated from a study of stock market winners dating back to 1953 in the book How to Make Money in Stocks: A Winning System In Good Times or Bad. This strategy involves implementation of both technical analysis and fundamental analysis. The objective of the strategy is to discover leading stocks before they make major price advances. These pre-advance periods are "buy points" for stocks as they emerge from price consolidation areas (or "bases"), most often in the form of a "cup-with-handle" chart pattern, of at least 7 weeks on weekly price charts. The strategy is one that strongly encourages cutting all losses at no more than 7% or 8% below the buy point, with no exceptions, to minimize losses and to preserve gains. It is stated in the book, that buying stocks of solid companies should generally lessen chances of having to cut losses, since a strong company (good current quarterly earnings-per-share growth, annual growth rate, and other strong fundamentals) will usually shoot up—in bull markets—rather than descend. Some investors have criticized the strategy when they didn't use the stop-loss criterion; O'Neil has replied that you have to use the whole strategy and not just the parts you like. O'Neil has stated that the CANSLIM strategy is not momentum investing, but that the system identifies companies with strong fundamentals—big sales and earnings increases which is a result of unique new products or services—and encourages buying their stock when they emerge from price consolidation periods (or "bases") and before they advance dramatically in price. The seven parts of the acronym are as follows: 1. C stands for Current quarterly earnings. Per share, current earnings should be up at least 25% in the most recent financial quarter, compared to the same quarter the previous year. Additionally, if earnings are accelerating in recent quarters, this is a positive prognostic sign. 2. A stands for Annual earnings growth, which should be up 25% or more over the last three years. Annual returns on equity should be 17% or more 3. N stands for New product or service, which refers to the idea that a company should have continuing development and innovation. This is what allows the stock to emerge from a proper chart pattern and achieve a new price. A notable example of this is Apple's iPhone. 4. S stands for Supply and demand. A gauge of a stock's demand can be seen in the trading volume of the stock, particularly during price increases. 5. L stands for Leader or laggard? O'Neil suggests buying "the leading stock in a leading industry." This somewhat qualitative measurement can be more objectively measured by the Relative Price Strength Rating of the stock, designed to measure the price performance of a stock over the past 12 months in comparison to the rest of the market based on the S&P 500 (or the S&P/TSX Composite Index for Canadian stock listings) over a set period of time. 6. I stands for Institutional sponsorship, which refers to the ownership of the stock by mutual funds, banks and other large institutions, particularly in recent quarters. A quantitative measure here is the Accumulation/Distribution Rating, which is a gauge of institutional activity in a particular stock. 7. M stands for Market Direction, which is categorized into three - Market in Confirmed Uptrend, Market Uptrend Under Pressure, and Market in Correction. The S&P 500 and NASDAQ are studied to determine the market direction. During the time of investment, O'Neil prefers investing during times of definite uptrends of these indexes, as three out of four stocks tend to follow the general market direction.
Education
by JS_TechTrading
HOW TO PLACE TAKE PROFIT CORRECTLYExit from a position is often more important than entering. We all constantly hear that trading without stops is impossible, but too little attention is paid to taking profit. It's time to correct this misunderstanding. Today's article will discuss the importance of take profit. Take Profit Methods There are many different methods of taking profit. They may vary depending on the trader's trading style and the rules of his trading strategy. By time This method is effective, for instance, in intraday trading. When the trading system is designed to analyze the market during one day's session, at the end of the day all trades must be closed regardless of the result. For example, if a trader opens a sell position in the morning, at 9 o'clock, then at 23 o'clock, when the American session comes to an end and trading slows down, he/she should exit the market. At key levels The key price levels are one of the strongest reference points for setting both stop loss and take profit. The level, at which the price slowed down or turned around earlier, may become a strong support or resistance, depending on which side of the open position it happened to be on. That is why setting the Take Profit at this level is the most reasonable: if the price moves in the necessary direction, it will most likely reach the key level, but whether it will succeed in breaking it is a big question. That's why it is better to take your profit when the price reaches the important level, and if it breaks it later, open a new trade. At Round Levels The principle is similar to the key levels. The round level is also an important psychological barrier for the market, but not always break at the first time. For scalpers and intraday traders, except for round levels (1.2500, 1.2600, etc.) the levels, ending at 20, 50 and 80 (1.3420, 1.3780, etc.) are important. Fibonacci Levels This principle is also similar to take-ins by key levels, but in this case, to determine the target point it is necessary to use Fibonacci tools. Fibonacci lines extend on the basis of the previous trend, and give a reference point for the price movement in the opposite direction (correction). When opening a trade after a trend reversal, a good target will be the 61.8 level. The mark where the Fibonacci level coincides with the round level or support/resistance will be the best option for taking profit. Confluence The optimal Take Profit target will be confluence (overlapping) of several levels. For example, it can be a round level overlap with a support level or with one of the Fibonacci levels, or with all of them at once. The more levels are combined at one mark, the stronger it becomes and the more effective the Take Profit will be. By volatility For setting a take profit on volatility, it is best to use a special service that determines the average value of the candle per hour, per day and other statistical indicators. The take profit will be set on their basis. When trading intraday, the trader will be interested in the average value of the daily candle. If, for example, a GBPUSD price moves 100 pips on average during the day, and a trade is opened when the price has already moved 20 pips in the direction you want, you should not expect more than 80 pips from this trade. Taking profit on volatility is a common option, but it makes sense when the trader has no other reference points, such as key levels. At the local extremum Such exit is performed manually rather than by automatic take profit. If the price, moving in the right direction, has formed a new extreme and then starts to roll back, it makes sense to close the position manually. A new extreme shows that the movement has currently exhausted itself and it is unknown whether the trend will resume. In this case, a new level has already been formed in the price path, which will complicate further movement. Even if the take profit was set earlier and the price did not reach it, in such a situation, it is better to close the position manually and take the profit that is available at the moment. After the big candle One more variant of closing the position manually. As a rule, after the formation of a large candle there is a slowdown and correction, sometimes quite strong. If a big candle was formed during an open trade in the right direction, which produced a significant profit, it is better to close the trade, which will save that profit. By overbought/oversold oscillators This method of exiting the trade is also done manually and will require the personal presence of the trader at the terminal. One of the oscillators must be installed on the chart of the asset most often Stochastic is used to determine the overbought/oversold condition, but you can also work with the RSI or Bill Williams indicators. When buying, we need to wait until the oscillator lines do not rise above the 80 level then the trade is closed. When selling, the indicator is the level of 20. On other oscillators, levels may be different (sometimes you have to set them yourself), but the principle is the same everywhere. The disadvantage of this method is that in a long trend the oscillator gets into the overbought/oversold area rather quickly and stays there, or starts oscillating up and down as the price moves in one direction. As a result, the trader closes the deal at the beginning of the trend, taking only a small part of the possible profit. This drawback can be compensated by adjusting the sensitivity of the indicator. Stop loss * N One of the easiest ways of setting a take profit, but it requires the proper setting of stop loss. After setting the stop loss, the take profit is set at a distance of one and a half, two, three or more times. Thus, a positive mathematical expectation of trade is provided. But the market is not bound to such ratios. The factors that really influence the price at the moment are not taken into consideration when taking a take profit. In some cases (for example in scalping) take profit can be even less than stop loss value. However, this is rather an exception to the rule, and in order to ensure a positive result in the long term, you need to ensure that the potential profit is greater than the loss, even setting a take on the levels or volatility. There are many ways of taking profit, and each of them has its advantages and disadvantages. Taking profit on levels, and in those places where they coincide, for example, with round price values or Fibonacci levels, is an optimal variant according to a number of factors. However, you should also remember about the ratio of stop loss and take profit and positive mathematical expectation. If you trade on a specific trading system, it is likely that it will already have specific rules for taking profit. If there are no rigid frameworks in this regard, it is necessary to choose the method that best suits this TS, taking into account all the general recommendations, as well as the need to comply with the rules of money management.
Education
by DeGRAM
3
Multiple Timeframe AnalysisWhen traders ask "what was your light-bulb moment in trading", I often say 2 things: 1) stop worrying about what other traders are doing and focus on yourself making sure you are consistent with the trading strategy as that's how you will get consistent results. 2) understanding multiple timeframe analysis. Once I started focusing on myself and was consistent with my trading, I was able to review my journaled trading results and noticed by best trade setups happened when price has multiple timeframe correlations with both my enter timeframe and higher timeframe. The main purpose of the higher timeframe is to help me determine if I should be looking for buys, sells, or staying out of the market. The 2nd purpose of the higher timeframe is to determine the trend. Multiple timeframe analysis can be used on all trading strategies whether you trade supply and demand, support and resistance, chart patterns, or use trading indicators. All we are trying to do is determine whether we should be looking for buys, or sells as this will help us increase the probability of our trade. See Chart For Analysis. I also have a full break-down on my youtube: Moneyball Austin
XEducation
by MoneyballAustin
Bites Of Trading Knowledge For New TOP Traders #17 (short read)Bites Of Trading Knowledge For New TOP Traders #17 ---------------------------------------------------------------- What is a custodian? - A custodian is a financial institution that holds customers' assets or securities for safekeeping to prevent them from being stolen or lost. The custodian may hold equities, bonds, derivatives, or other assets in electronic or physical form on behalf of its customers. Custodians could offer related financial services such as account management and reporting, transaction settlement, and compliance related to anti-money laundering and tax regulations. What is an exchange? - An exchange is a venue where buyers and sellers trade equities, bonds, derivatives, and other tradable assets. Exchanges are often regulated by financial regulators and provide liquidity, which give market participants the ability to buy and sell assets at a fair market value. What is a financial regulator? - Governments have various agencies in place given the responsibility to regulate and oversee financial markets and companies participating in the financial system. These agencies each have a specific range of duties and responsibilities that enable them to act independently of each other while they work to accomplish similar objectives. For example, in the United States, the Securities and Exchange Commission (SEC) has oversight of the securities industry (stocks and shares), whereas the Commodity Futures Trading Commission (CFTC) regulates and oversees derivative markets (futures, swaps, and options). RISKS AND OPPORTUNITIES FOR CORPORATES AND INDIVIDUAL INVESTORS - Common application of financial market instruments for managing risk and opportunities. Position and Risk Management Risk management is the responsibility of market participants designed to limit risk exposures that specifically applies to the participants financial profile in the market. The financial profile of a participant may include their role in the financial market or the amount of capital under their responsibility to be managed in the market, and therefore the risk variables that each would need to identify may be unique. For both corporate and individual investors, the market to trade would be a key variable to clearly state and support with reasons for trading or investing. Reasons for selecting one market over another could include price volatility, liquidity, daily volume traded, size of the minimum price increment, and value of the minimum price increment. Comparing these variables between markets will help decide the suitability and/or risk of each. For example, if Mini-Brent Crude Oil futures (BM) moves around $2.00 per day (or 2 points) and a point is worth $100, a trader might experience a $200 fluctuation in their account balance for one day. Another example is the U.S Dollar / Singapore Dollar (USDSGD), which could move 70 pips or more per day and trading a standard lot size with each pip worth $10, a $700 fluctuation could be expected for one day. Market participants may also manage their risk through the size of their positions. The larger their position size, the greater is their exposure and the smaller their position size their exposure is lower. Investors should determine the risk that would result from various position sizes and select the size that ensures that their risk limit is not exceeded. Finally, setting stops with a specified loss amount provides protection if the market does not move in the desired direction. It helps to prevent creating a loss scenario which is larger than an account can handle. TRADDICTIV · Research Team -------- Disclaimer: We do not provide investment advice, nor provide any personalized investment recommendations and/or advice in making a decision to trade. Before you start trading, please make sure you have considered your entire financial situation, including financial commitments and you understand that trading is highly speculative and that you could sustain significant losses.
Editors' picks
ICESG:SDX1!Education
by traddictiv
4
WHERE IS BITCOIN NOW?After the formed peak on November 8, 2021 , bitcoin is still falling... 2017 On December 11 , the price also formed a peak and fell for a long time. On January 11, 2018 , a correction began, which lasted 140 days, after which there was a downward impulse. On December 17 , the bottom formed. After that, the price accumulated for 602 days . The indicator formed a divergence and the price went up, updating all the highs. There were two important corrections before the growth. The first correction formed a volume equal to 4.769M , the volume at the second correction was more than 7 times and was equal to 31.902M. If you look at the Bitcoin chart now, you can see the similarity. So far, we are in the zone of the first correction, which has formed a volume equal to about 30,800M . The indicator bounced each time reaching the green zone, now the price is only heading towards the green zone. In addition, a fall to the second correction zone is possible soon. If we expect a repeat of history, then the second correction will form a volume equal to about 210,000M , after which all the highs will be updated. Will there be an exact repetition of the past movement? What do you think?
Long
by UnknownUnicorn15614419
11
HOW TO GET IN TRADING ZONEI'm sure many of you have read Mark Douglas' excellent book, "Zone Trading. So how do you get into the "zone", that state in which you are most productive and make smart decisions? You can put into practice a highly effective exercise that will allow you to focus your attention and also allow you to take your focus away, especially from any negative thoughts that may be griping you, from any doubts and fears that could cause you to close a position too early or move your stop loss. One of the key aspects of getting into the "trading zone" is the ability to stay in the present and focus on current events. Practicing the specific concentration skills outlined in this article will not only help you better focus and master the related skills, but will also help you more deeply develop your ability to stay present, notice and pay attention to those factors that are critical to your trading performance, while being able to avoid the distractions and obstacles that typically lead to poor performance, frustration and lack of discipline. Exercise on Concentration for Entering the "Trading Zone" 1. Begin by focusing on your breath. Concentrate on the inhale and exhale. Just focus on the periodicity of your breathing. 2. Continue to focus on your breath for a set period of time, aim to do this for 10 minutes. 3. You will probably find that your thoughts lag behind your breathing. This is natural, this is how our mind works. Just focus on your thoughts. Let them go. Then focus back on your breathing. 4. Repeat this further until your allotted time for this exercise is up. This is a simple but very powerful exercise that helps you develop not only the ability to sustain your attention, but also the ability to turn it on. Two very important activity skills. Do the exercise daily for 10 minutes. Visualization Perhaps one of the most powerful and useful aspects of psychological training as a forex trader is the use of visualization. Every action, feeling and behavior you have is the result of the activation of neural pathways in the brain. Neural pathways are the connection or system of connections between neurons in the brain. Essentially each pathway is a morphological model for a particular intellectual skill, feeling or behavior. These neural pathways are created and then developed and reinforced through practice and repetition, developing into a particular psychological concept, and after a while they become automatic - habitual. It is somewhat like walking through a field of wheat. The more often you walk along the same path, the more you tread the wheat, and the clearer and more visible your path becomes. Using visualization will give you the opportunity to practice and take part in Forex trading even if you can't access the real markets, thus accelerating your development. You can use visualization more effectively in order to cope with losses or drawdowns, to overcome unhealthy habits and develop new ones useful for trading, to access and create in yourself a sense of confidence to be mentally prepared to trade in the markets or to contribute to achieving your trading goals. Visualization should involve several senses (vision, hearing, sensory perceptions); it is better if it is preceded by a brief relaxation; visualization should be performed for 5-10 minutes. Psychological training increases your potential for trading results and by applying it regularly in practice, you can develop new neural pathways in your brain, which will raise your stress threshold, provide conditions for the development of various emotional reactions and states, new and desirable principles of behavior in trading. Try the above exercises in practice.
Education
by DeGRAM
4
JS-Masterclass #7: Trade AnalysisJS-Masterclass #7: Confirmations & Violations In previous tutorials, we have covered the stock selection process and the identification of low risk, high probability entry point following constructive consolidation patterns. Now that we are in the trade, the question comes up what to look for. What makes the price action healthy so that you rather stay in the trade and what are the alarm signals to look for? The Founder of the Berger Funds and Stock Market Legend Bill Berger said: “I buy tennis balls and sell eggs.” What does that mean? ‘Tennis-Balls’ are characterized as follows: after a breakout under high volume out of a constructive consolidation pattern, most stock will pull back after a couple of days. This pullback for ‘Tennis-Balls’ normally happens under low volume and is followed by a strong price increase under heavy volume. Just like a tennis ball immediately pooping back after a drop to the ground. ‘Eggs’ are characterized as follows: The above mentioned pullback after a breakout happens under high volume and the stock is not able to recover from this pullback. Just like an egg which drops down to the ground. What you do want to see after you have entered a trade: • The trade is immediately profitable • Good volume characteristics (high volume on up-days and low volume on down days) • High volume rallies – low volume pullbacks • Follow through buying (2-3 days or more) – institutional vs. retail • More up days than down days • More good closes than bad closes • Look for ‘Tennis Ball Action’ after a ‘Natural Reaction’. A ‘Natural Reaction’ can be considered as a pullback under low volume following a breakout. What you do not want to see after you have entered a trade: • Squat directly after breakout • Low volume out of a base - high volume back in • 3 or 4 lower lows w/o supportive action • More down days than up days • More bad closes than good closes • A close below the 20d MA on high volume • A close below the 50d MA on high volume • Full retracement of a good size gain • Wide and volatile price action • Outside day: high is higher than high of the previous day but closes below the low if the previous day. This happens on higher volume versus the previous day
Education
by JS_TechTrading
Educational Series: Trading with Bollinger Bands (Part 2)The Bollinger Reversal is my absolute favorite and most valuable perspective of the Bollinger Bands. Have you ever - seen the price move strongly in a direction, but the moment you get into a trade, the price reverses almost immediately? or - held on to a profitable trade, hoping to hit a take-profit level, only to see your profits whittle away as the price reverses. The Bollinger Band can help prevent 1) FOMO leading to Late Entry and 2) Greed leading to Late Exit Look at the yellow spots on the charts - The spots indicate when the price had traded outside of the 2std deviation of the Bollinger Band (either the lower or the upper bound). - When the price trades outside of the Bollinger Band, two things are highly likely to happen : 1) the price reverses back before the current candle loses , leading to possibly the development of a pin bar (which usually signals a strong reversal candlestick pattern). 2) the price closes outside of the Bollinger Band and the subsequent candle is a strong retracement , back toward the Moving Average and possibly a stronger reversal. The Bollinger Reversal can be applied to ANY timeframe (M1 through to D1) When the price is outside of the Bollinger Band, you should choose to avoid entering a trade , as the price is likely to reverse. And if you are currently in a trade, and the price has broken out of the Bollinger Band, you might want to consider securing the profit . However, some more aggressive traders could even choose to trade the short-term reversal. Remember.... - This is a technical indicator. You shouldn't use technical indicators solely. - Combine it with other forms of analysis, Price Action, Fundamental Analysis, Sentiment, and Other types of indicators. The more confluences you can have, the more confidence you will have
Education
by JinDao_Tai
Educational Series: Trading with Bollinger Bands (Part 1)Bollinger Bands is a volatility indicator. It indicates how HIGH or LOW prices can move during any period. When the market is volatile, the bands widen; conversely, when the market is less volatile, the bands contract. The standard Bollinger Band indicator comes with a preset calculation of the 2 standard deviations and the 20period moving average. This enables us to use the Bollinger Bands more effectively in the following ways; 1) Bollinger Squeeze 2) Bollinger Reversal (Read about this in Part 2) 3) Bollinger Trend (Read about this in Part 3) What is a Bollinger Squeeze? A Bollinger Squeeze is identified when the bands contract for a medium time, and economic news is to be released on the horizon. It is characterized by a horizontal consolidation of price over a period of time. Typically, the horizontal squeeze can be encompassed within a rectangle (shown on the chart). This indicates the potential for an explosive BIG move as the price breaks out of the consolidation. What do with a Bollinger Squeeze? Because the Bollinger Squeeze occurs before a news event, it would be unwise to pick a side for the potential breakout and gamble on the news result. Therefore, the best way to take advantage of this setup is maximized by deploying pending orders. 1) Place a Buy Stop order slightly above the top of the consolidation area, Stop Loss (SL) should be about 1.5 times the size of the consolidation area, with the Take Profit (TP) at the nearest swing high or 2 times the SL amount. 2) Place a Sell Stop order slightly below the top of the consolidation area, Stop Loss (SL) should be about 1.5 times the size of the consolidation area, with the Take Profit (TP) at the nearest swing high or 2 times the SL amount. Whenever the Buy or Sell trade is activated, you must remember to cancel the other pending order (Or you could try to find a One-Cancel-Other EA) Remember - Breakout of the consolidation should result in a quick and fast price movement. If it breaks and climbs slowly, it could be a false break, and you would want to get out of the trade quickly. - Trend could be ignored briefly (due to the explosive and short term move). But only briefly. - Support and Resistance levels are still crucial and must be respected. - This indicator is effective on Forex, Commodity, Cryptocurrency & Equity markets Use the Bollinger Squeeze only on the M15 or H1 timeframe, and remember, it is a relatively rare occurrence.
Education
by JinDao_Tai
6
Educational Series - Smart Money Concepts ( Liquidity )Hi there guys! I will be doing a short tutorial on Smart Money Concept's liquidity. What is it? - Liquidity acts as a driver to move the market in a specific price range. - We can find liquidity in areas where many people place stop losses and buy/sell stops. - Market makers will manipulate the price in order to break through these obvious zones and seize the liquidity. How to look for them - You will be looking for areas where price are of relative equal highs/lows. - Areas where price has not gone to swept the "stop losses" Why is it useful? - Helps to forecast where price might potentially head to - Potential areas for take profits upon clearing of liquidity - Avoid placing your stop loss at liquidity areas It takes some time to learn how to spot liquidity. If you do enjoy this tutorial, feel free to follow me and boost this post! :) Regards, Chen Yongjin
OANDA:XAUUSDEducation
by DogeStonks
4
Cryptocurrency in the WORLDCryptocurrency has turned the world economy upside down. But she is still young and the future will be even more grandiose. However, not the whole world uses the new opportunities provided by the cryptocurrency. But already there are whole countries that accept the crypt as a means of payment. At the same time, there are also countries in which the use of cryptocurrencies is punishable by a prison term. Let's analyze these countries. Where is it forbidden? ❌ Ethiopia (the use of cryptocurrencies is illegal). ❌ Bangladesh (prohibits any activity with digital currencies. The penalty is a prison term under the article for money laundering). ❌ China (any manipulation of cryptocurrencies is prohibited — mining, trading and transactions). ❌ Vietnam (the issue, supply and use of cryptocurrencies as a means of payment are prohibited. The fine for violation is up to $ 9,000, after repeated violation — imprisonment. The transportation of mining equipment is also illegal. At the same time, it is not prohibited to trade and store crypts as assets). ❌ Iraq (the circulation of digital currencies is prohibited. Criminal liability has been introduced. At the same time, mining is legalized). ❌ Egypt (prohibition of any actions with the crypt). ❌ Bolivia (cryptocurrency is an illegal means of payment, a ban on any activity). ❌ Qatar (ban on any operations with the crypt. Penalty for violation of the law). ❌ Macedonia (the use of Bitcoin and altcoins is illegal). ❌ Nepal (any transactions with cryptocurrency are recognized as illegal). ❌ Algeria (operations on storage, purchase, sale and any use are prohibited. Penalty for violation of the law). ❌ Morocco (prohibition of any actions with the crypt. Penalty for violation of the law). Where is it allowed? ✅ Iran (it is allowed to pay with crypto for imported supplies of fuel, electricity and goods from the mining industry). ✅ Germany (it is allowed to issue, mine, own and trade virtual money, you can also pay in stores with bitcoin). ✅ Italy (you can pay in stores, while legally the crypt is not a means of payment). ✅ Spain (you can legally use cryptocurrency to pay for electronic payments). ✅ Canada (you can pay in stores, while legally the crypt is not a means of payment). ✅ Salvador (Bitcoin is an official means of payment). ✅ Panama (it is allowed to pay taxes and make private transactions with the crypt). ✅ USA (in some states, such as Colorado, you can pay taxes with bitcoin via PayPal). ✅ Switzerland (you can pay for utilities and other services with bitcoins). ✅ Central African Republic (legalized Bitcoin as a means of payment). ✅ Estonia (crypt is used as an alternative means of payment). ✅ Japan (bitcoin and ethereum can be used as a means of payment, and stablecoin will become an official means of payment from 2023, but only licensed banks can legally issue it). So far, only two countries have officially approved bitcoin as a means of payment, and several dozen countries allow the use of crypto as a settlement currency. Use cryptocurrency, Be careful and don't break the law! Traders, if you liked this idea or have your own opinion about it, write in the comments. I will be glad 👩 💻
Education
by Lingrid
15
Important orders in the market : Section 1Hello, I hope you are well This is the part of price action that allows entry and exit to positions. Here the sequence of emergence of important resistances/supports, continuation of the trend and accumulation of liquidity is specified When we have an important node from which strong falls occur and after hitting support/resistance, the price returns to this node, if it does not reach the node and moves again to the opposite side of the node, we are actually We are creating a liquidity pool. Here we do not enter the position. To enter the position, we wait until the price of liquidity collects and reaches a node. Here, our stop should be somewhere above the node. The story is not only that! When the price reaches the main node, another node is created, which is also important for us. Next, if the price returns to the new node, we expect a swing from the newly formed node, and here again we enter the position with a stop above the new node.
Education
by behdark
4
The Great MovementObservation: On the chart on the left you can see the price of bitcoin from November 2017 to March 30, 2019 . The very value of the price in this period does not particularly interest us, we are interested in the accumulation of volume. On December 17, 2017 , the vertex was formed. If you look at the chart of the open interest indicator, we can see a sideways movement in which the volume accumulated. After the top was formed, the price went down sharply and volumes, according to the indicator chart, also began to be distributed. At the bottom, the volumes accumulated again and in 355 days the volume was equal to 12.769 M . After this accumulation, a large distribution occurred, after which the price rose upwards for a long time. Schedule now If you look at the chart on the right, you can see how the price moves from accumulation to distribution and how the indicator indicates this. Thanks to the indicator and its lateral movement, it is possible to understand where the zone is formed, after which there will be a sharp movement. At the moment, the accumulation lasts 144 days and the volume is already 30.187M , which is already more than 2 times more than the accumulation in 2018. What does this give us? It's too early to talk about a reversal of the downtrend, but already now we can say that the future movement will be grandiose. What do you think about BTC?
Long
by UnknownUnicorn15614419
8
HOW TO DETERMINE THE SIGNIFICANCE OF SUPPORT OR RESISTANCE ZONES1. The more activity in a zone, the higher its significance Here everything is clear to everyone. If a whole bunch of people are buying or selling at a particular price level, it means that this level is important for them. Very important. Not only that, but our psychology is built in such a way that: We tend to remember events that are important to us. Buyers like to break-even if the price returned to level after buying. Sellers, on the other hand, may buy low in advance and remember that prices were previously hanging out at that level of resistance. Respectively, this is the level they will be looking at to lock in their profits. 2. The greater the speed and duration of the previous movement, the better the levels When price is trying to break through resistance levels, it is similar to the action of a man breaking through a front door. If it is accelerated from a distance let’s say of 10 meters, the momentum of its movement will be very strong and the flimsy door obviously will not resist. If he is speeding up from the nearest store, far away, he will run up to the door and collapse on the threshold without any strength. The door stays the same! Nothing has changed. Its qualities, its "resistance" remain the same. What has changed is the speed of the one who wanted to get in. The same principle is valid for markets, which are a reflection of human psychology. A long, slow, long climb is a long run from the store, and the level of resistance will be a solid door. And the longer each price run, the less sturdy the door (support or resistance level) will need to hold. Let's take a look at the CADJPY chart. As we can see, the price falls to the low and then begins to accelerate. However, the decline begins, extremely steep, prolonged and sharp. As a result, by the time it reaches the support level, the price is completely exhausted, and the sellers can not break through that door any lower. 3. Evaluate the past time The third rule for evaluating the potential of support and resistance levels is to examine how much time has elapsed between the formation of the previous level and the current one. It depends on the characteristics of the selected market, as such. For example, a support level that is 6 months old is much more relevant than a 10- or 20-year level. Although, of course, time after time it is amazing how much the same support or resistance level can be "working", time after time, even if years and generations pass. Bottom line Support and resistance are simply areas of concentration of supply and demand that allow you to slow the price, at least temporarily. They are not a buy or sell signal. They are zones where a smart trader would expect a reversal. These zones should always be complemented with other tools. The significance of support and resistance zones depends on the activity of market participants at these levels, the speed and duration of movement, and how much time has passed since the previous zone was formed.
Education
by DeGRAM
8
Volatility Contraction PatternJS-Masterclass #4: The Volatility Contraction Pattern The Volatility Contraction Pattern (VCP) is a vital concept for successful traders and a key element in our JS-TechTrading strategy. In this tutorial, we will cover the following: 1. Why is it important? 2. The ‘Overhead Supply’ Concept 3. How to identify a VCP? 4. The Perfect Entry Point 1. Why is it important? The Volatility Contraction Pattern (VCP) allows us to find stocks which are getting ready to form a very specific low risk entry point at which the potential reward of our trades outweigh the risk. The main role that VCP plays is establishing a precise entry point at the line of least resistance. If a stock is under accumulation (large institutions putting their money into the stock), a price consolidation represents a period when strong investors ultimately absorb weak traders. Once the “weak hands” have been eliminated, the lack of ‘overhead supply’ (explanation see below) allows the stock to quickly move higher because even a small amount of demand will overwhelm the negligible inventory. This is referred to as the line of least resistance. Tightness in price from absolute highs to lows and tight closes with little change in price from one day to the next and also from one week to the next can generally found in constructive Volatility Contraction Patterns. These tight areas should be accompanied by a significant decrease in trading volume. 2. The ‘Overhead Supply’ Concept Any price action in the stock market is the simple result of supply and demand, just like in any other business. If demand is bigger than the supply, the price goes up. If supply outweighs demand, prices are falling, it is as simple as that! What happens to supply and demand in a Volatility Contraction Pattern? Point 1: Traders buying at point 1 in the graphic are called ‘Trapped Buyers (TBs)’. Point 2: the price has fallen and many people think the stock is ‘cheap’ at this price and buy the stock – the so called ‘Bottom Fishers (BFs)’ provide the relevant demand needed to trigger a price increase. Point 3: the price has come back up to the level at point 1. Now two things happen a) The Trapped Buyers who bought a price level 1 are very happy to get out of the trade at breakeven after having had paper losses at point 2. The cut their losses (LC) and provide the relevant supply to the market needed to trigger a declining price. b) The Bottom Fishers take nice quick profits and sell their stocks, providing additional supply to the market which adds to the decline in price. Points 4, 5, 6: The same concept applies here but as time goes by, the volatility contracts from left to right as fewer and fewer traders provide their demand and supply to the market, the price action dries out like a towel: 3. How to identify a VCP? A common characteristic of virtually all constructive price structures (those under accumulation) is a contraction of volatility, from greater volatility on the left side of the price base to lesser volatility on the right side in the chart. This pattern needs to be accompanied by specific areas in the base structure where volume contracts significantly: Let’s look at an example: In this example, we are seeing a total of 5 contractions from left to right, starting from 1 (ca. 25% decline) to 5 (< 5% decline) under significantly reduced trading volume. This is exactly what we want to see. At the final base 5, supply has stopped coming to market which is the reason for the low trading volume in this time-period. Due to the lack of supply, only very few demand is needed to push the price significantly higher. We therefore have a high probability of an explosive price increase. Also, we can set our SL just below the final base at 5 which means that our max. risk for this trade is < 5% - our potential reward significantly outweighs our risk. 4. The Perfect Entry Point When the price breaks out of the right side of the final base under higher volume, we have a perfect entry point. As the supply has stopped coming to market, only little demand is needed to cause an explosive price move upwards. Furthermore, the volatility contraction results in a tight base at the right end of the pattern resulting in a low risk entry point – the Stop-Loss can be set under the low of the latest base structure on the right side of the pattern which is normally in the range of about 5% risk. This is a vital concept for successfully timing the continuation of an existing trend.
Education
by JS_TechTrading
2
How you trade impacts how you feel 😀It's no secret that managing your trading psychology is the biggest challenge in your trading journey. Some say it counts for 80%+ of what's needed to be successful. I totally agree... However, there's a key factor in this for me. How you actually trade to start with! Correct trading psychology starts by realising you need a strategy. If you're guessing with no real plan or risk management surely you're going to be more stressed and overwhelmed than a trader who has a plan, has the data to support his strategy and manages his risk? So once you get your system/strategy nailed on, this in turn will help manage your fear. Greed is another factor, but this comes from your expectation. Expectations and reality need to be aligned with one another. Your expectations can come from your data and your testing. But if you've skipped this step you'll be chasing unrealistic expectations. Not just in terms of % gains, but in understanding your drawdown periods too. So in summary both are completely related. You give me a trader that's really struggling with his trading mindset and fear and within a month they won't be feeling the same way. Likewise, if give me a trader who is calm and in tune with his system and emotions, we'll quickly change this by getting him to trade randomly! No trading psychology means no trading strategy, No trading strategy means no trading psychology. These two elements are so intertwined. Thanks for looking at my idea. Darren 👍
Education
by pow_removetheguesswork
2