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Smart Money Concepts Detailed Learning Plan. 5 Essential Topics If you want to learn Smart Money concepts, but you don't know what to start with, this article with help. I will share with you 5-steps Smart Money Concepts learning plan . 5 important topics to study in SMC. Topic 1: Market Structure - the analysis of a behavior of a price on a chart. In the contest of Smart Money Concepts you should learn: -SMC structure mapping -Market trend identification -Trend change -Trend reversal -SMC important events: BoS, CHoCH Learn Trend Analysis Leach ChoCH Topic 2: Liquidity Zones - learn to identify the areas on a price chart where liquidity concentrates. Learn How to Identify Liquidity Zones Topic 3: Imbalance - one of the most accurate signals of the presence of big players / smart money on the market. Learn How to Identify Imbalance with Candlestick Topic 4: Order Block - the specific areas on a price chart where institutional traders / smart money are placing significant number of trading orders. Top 5: Top-Down Analysis - structured and consistent analysis of multiple time frames. After you study Topic 1, 2, 3, 4, you should learn to apply these knowledge and techniques on multiple time frames, to make informed decisions, following long-term, mid-term, short-term analysis. Learn Top - Down Analysis The 5 topics that we discussed are essential for your success as a smart money trader. Study these topics with care, and I guarantee you that you will achieve exceptional results. ❤️Please, support my work with like, thank you!❤️
OANDA:XAUUSDEducation
by VasilyTrader
4
📍 Part 4. Corrective Waves- Simple Zigzags - Sharp Corrections.👩🏻‍💻 Welcome to the 4th lecture on Elliott Waves! ➡️In this lecture, we will start discussing the variations for corrective movements. Let's begin with the simplest one - it's zigzags. ➡️By correction, we mean the construction "ABC" after an impulse. This reminds us of a zigzag, hence the name. Also, we can encounter it in each corrective wave, that is, "2" and "4" - it's the simplest and most common form of correction. ➡️As you recall from previous lectures, for waves "A" and "C," there are variations in the form of Leading and Ending Diagonals, and the same applies to "B," namely flat, zigzag, triangle, or even a combination, i.e., any three-wave pattern. Here it's worth remembering that wave structure is fractal, and there's no need to be afraid, just like with variations for impulses, namely leading and ending diagonals. ➡️Zigzags can often be embedded into a parallel channel. We've dealt with a simple zigzag. Most likely, your main questions are about variations for "B": flat, zigzag, triangle, or combination. On the cover of the learning materials, you will find the main variations of simple zigzags. Keep and use them! 📍 Let's look at the main rules and guidelines! 📍 📍 Guidelines: 📍 📍In a zigzag, wavelength "C" can be equal to wavelength "A". 📍Wave "B" is usually corrected at 38.2% - 78.6% of the length of wave "A". 📍If wave "B" is a triangle, is usually corrected at 38,2% - 50% of the length of wave "A". 📍If wave "B" is a zigzag, is usually corrected at 50% - 78.6% percent of wave "A". 📍In a zigzag, if wave "A" is a leading diagonal, then we would not expect to see an ending diagonal for wave "C". 📍A line connecting the ends of waves "A" and "C" is often parallel to a line connecting the end of wave "B" and the start of wave "A". (Forecasting guideline: Wave "C" often ends upon reaching a line drawn from the end of wave "A" that is parallel to a line connecting the start of wave "A" and the end of wave "B".) 📍Waves "A" and "C" within the zigzag often appear in the form of impulses, but more often alternate according to the type of motive waves: if wave "A" is an impulse, expect wave "C" in the form of a diagonal, and vice versa. It is much less common to find waves "A" and "C" in the form of diagonals. Thank you for your attention! There will be another lecture next week! Don't miss it! 🔔 Links to other lessons in related ideas. 🔔
Education
by Hellena_Trade
4
Education chart - SIMPLE ZIGZAGS in WXY DOUBLE ZIGZAGI started to assemble own ibrary of ElliottWave patterns and rules. Here simple zigzags occured in: wave W and wave Y of WXY double zigzag Zigzag 1 - wave W Wave A - leading diagonal Wave B - double zigzag Wave C - ending expanding diagonal ending at the top line of the parrallel channel Zigzag 2 - wave Y Wave A - impulse Wave B - double zigzag Wave C - ending expanding diagonal ending at the middle of the parrallel channel ----------------------------------------- ## Rules for Simple ZigZag - Subdivide into three waves. - Wave A is always an impulse or leading diagonal (expanding or contracting) - Wave C is always an impulse or ending diagonal (expanding or contracting). - Wave B is any corrective pattern. - Wave B never moves beyond Wave A start - Wave B always ends in Wave A territory - Wave A and C cannot be both diagonals of the same type (contracting/contracting or expanding/expanding), other combinations are possible ## Norms - Waves A and C are frequently impulse waves but even more often they alternate between impulse and diagonal modes. Waves A and C may occasionally alternate between contracting and expanding diagonals - Waves A and C cannot be diagonals of the same type - Wave C must travel past Wave A's top. In Elliott Wave Theory, failure to do so is referred to as truncation - Wave C should not go below 90% of Wave A ## Guidelines - Wave C is typically equal to 0.618 (occasionally 1.618 or 2.618) of wave A - Wave B typically retraces 38-79% of Wave A - in case B is a triangle it retraces **38-50%** of Wave A - in case B is a running triangle, the retracement can be **10-40%** - in case B is zigzag, the expected retracement is **50-79%** - The parallel channel that connects Wave A's start and Wave B's finish may provide a hint of where Wave C might conclude by extrapolating the other line from Wave A's end - If waves A and C are both strong, wave C will reverse at the channel's top line - If wave C appears weaker than wave A, it may reverse at the channel's middle - If Wave C performs stronger than A, a double channel will be used as a target of the reversal point. ## Occurs in Wave 2 Wave 4 (unless happened in wave 2) Wave W, Y of WXY double zigzag Wave W or Y of a combination Wave B of ABC flat Waves 1, 2, 3, 4, 5 in contracting diagonal Wave B of ABC zigzag Wave X of WXY double zigzag
TVC:USOILEducation
by Fomenka
3
How to win a PROP FIRM? Some life-changing trickSome people asked me a system to win prop-firm challenge and be funded. I decided to share some mind blowing trick that can really let you win your first prop firm and became really, really profitable. Lot of people ask lot of money for this, i am just asking a like, a follow and your support. So, let's start with some trick: - If you have a $10.000 account, what lot size will you use? - Most traders use 0.50/1.0 Lots a trades. Let me say, especially if you are a beginner, that this is wrong and you will fail 100%. Why? Because it will be really hard for you to manage emotions and be accurate. I know, some systems use 1:3, 1:6 or above R:R and you can also have a 30% win rate to be still profitable. I know that, i know how to increse accuracy, i know the best level to enter, the inducement entry, the high accuracy setup and most of the shit you can find online. But let's be honest, most of the traders that start a challenge account, sucks with system and will fail. And, most important, traders that start a challenge are not professionals that can spent 8/10 hrs a day waiting for the best entry. - So what system should i use to win a challenge? - Swing. Probably, if you start a challenge, you will fail in the first week. Go swing, wait for the profits, manage the entries, and using my money management system, you can chill and don't be worried during the challenge. - What about the money management so? - I will explain you better in a new thread, if this ideas will reach at least 15 likes. - This shit is not helpful, i there is nothing new that can help me. - So, i will show you something so simple that will change your trading style in a second. I suggest you to use cTrader. In cTrader, when you open a pair, you can see market sentiment. this will show you a ratio about long/short. When you see that the sentiment is imbalanced (More than 60% are long or short) you know that you should wait and not open a trades. You will see the sentiment increasing in long or short (it will be 80/20, and probably more in the next days). I am pretty sure your analysis are agree with the market sentiment. So, if 97% of the traders loose money and, for example, 85% of traders are short, what do you think the price will do? There are high chances will go in the opposite direction. So wait, and don't be worried to miss a profitable trades. Every trader is thinking exactly like you. Sentiment is telling you that. They will loose money at 97%, do you? I have lot of trick more that will really help you win a prop firm, and be profitable. Support and follow me and i will reveal more
Education
by SaliJournal
Swing Mapping Part 1: Key Principles Welcome to the first instalment of our 3-part series on swing mapping – a highly underestimated technique that can be applied to any market on any timeframe. In Swing Mapping Part 1: Key Principles you will learn: Why it’s the bedrock of all market structure analysis How to swing map in four simple steps Why it’s so important to do it yourself rather than use an automated tool Other key benefits of swing mapping What is Swing Mapping? As the name suggests, swing mapping involves identifying swings within market structure to understand the dynamics of price movement. This may seem too simple to be of much real-world value, but as is often the case in trade, seemingly simple and robust tools can be highly effective and highly nuanced. When done correctly on a real-time forward-looking basis, swing mapping has the potential to be integrated into many different trading strategies. Defining a Swing A swing is simply an uninterrupted high or low. At its core a swing is a three-bar sequence in which the middle bar represents a turning point in the market. Past performance is not a reliable indicator of future results Not all swings are equal. The more bars either side of the swing high or low, the larger the peak or trough in the market – the more significant the turning point. Swings are the bedrock of all market structure analysis. Swings define support and resistance, they define if a market is trending higher or lower, they define if a market is in a range, and they help to define if volatility is contracting or expanding. Swing Mapping in Action Swing mapping is at its most useful when it’s conducted in real-time on a bar-by-bar basis. For the purposes of outlining the method, we will use the 1min candle chart and map every potential swing. Swing mapping is a 4-step forward looking process: Identify Swing: Identify a swing using the definition provided above (a three-bar sequence in which the middle bar represents a turning point in the market). Past performance is not a reliable indicator of future results Draw Market Structure Line: Once a swing is identified draw a solid horizontal line on your chart. The line remains solid until the market has broken and closed above it. Past performance is not a reliable indicator of future results Monitor Response: Should the market break through the solid line you have drawn, change the style of line from solid to dotted. If the market fails to break through your line, keep it on you chart as a solid line for as long as you deem to be valid. Past performance is not a reliable indicator of future results Past performance is not a reliable indicator of future results Draw conclusions: Once you’ve repeated steps 1-3 on your chosen trading timeframe, you can then draw important conclusions regarding the market’s current structure. In our example (below), we followed the S&P 500 as it failed to break to new highs for the day then briefly started to trend lower before moving higher to retest the swing highs which has clustered to form a clear resistance level. Past performance is not a reliable indicator of future results Here are just some of the other insights we can gather from mapping swings: Market Bias: Swing mapping allows you to quickly see where the balance of power lies. A sequence of dotted swing high lines indicates that the market is consistently breaking to new highs on the day – signalling a bullish bias. Conversely, if a sequence of dotted swing low lines form, then the market has been consistently breaking to new lows – signalling a bearish bias. And finally, if we start to see full lines for both swing highs and swing lows, this signals that a range is developing. Failure Tests: Failure to break through a swing high or low is the first sign that the market’s current momentum is changing and a new turning point is potentially in place. In our prior examples we saw a small failure test which led to a pullback, here’s the same chart again: Past performance is not a reliable indicator of future results Trend Health: As an uptrend starts to wane, the distance from swing high to swing high tends to shorten. The opposite is true of downtrends. Swing mapping is a great way to identify the health of a trend. As you become better at swing mapping, you will become more adept at recognising the subtle changes in market structure. Past performance is not a reliable indicator of future results DIY - Do it Yourself There are many tools on the Trading View platform that can do swing mapping for you in real time set to your parameters. However, to maximise the benefits of swing mapping it is highly recommended that you do this process manually yourself as it will quickly build intuition and rapidly improve your knowledge of market structure. Drawing the swing lines, waiting for the market to break them and turning them dotted if broken, drawing conclusions as you build a map of broken and unbroken swings, deciding how long to keep unbroken turning point lines solid and valid on your chart. These are all hugely powerful active learning tasks that have the potential to make you a much better trader. Other Benefits of Swing Mapping Any Market Any Timeframe: Versatile across diverse markets and timeframes, enabling rapid skill acquisition. Real-Time Analysis Without Lag: Provides immediate insights into market structure and price action, facilitating timely decision-making. Enhanced Trade Timing: Identifying responses to market swings in real-time optimises trade entries and exits, maximizing profit potential. Effective Risk Management: Precisely identifies support and resistance levels, aiding in strategic placement of stop-loss orders and risk assessment. Adaptability Across Market Conditions: Versatility to adapt to various market conditions ensures consistent performance. Development of Trading Discipline: Fosters discipline and patience, promoting adherence to predefined rules and strategies. In Swing Mapping Part 2, we delve into precise trade entry techniques leveraging swing mapping without additional indicators. Disclaimer: This is for information and learning purposes only. The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance. Social media channels are not relevant for UK residents. Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 84.01% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work and whether you can afford to take the high risk of losing your money.
CAPITALCOM:US500Education
by Capitalcom
2
📍Part 3. Motive Waves - Leading & Ending Diagonals.👩🏻‍💻Welcome to the 3nd lecture on Elliott Waves! ➡️In this lecture, I will talk about the Leading and Ending diagonals as the primary and most common variations of impulsive waves. We will also touch on the Expanding diagonal, which occurs significantly less frequently. Earlier, we covered the general concept of impulse and its structure. Now, I will specifically discuss the variations of impulses and, namely, for waves "1", "5", as well as corrective waves "A" and "C". ➡️Let's start with variations for the first wave in the impulse and correction. This is the Leading diagonal. This structure may remind you of an ascending triangle, and essentially, that's what it is. The first wave itself implies that before this, we were moving in the opposite direction. So, if wave 1 is ascending, it means there was a certain descending movement before it. And it's obvious that in this descending movement, sales prevailed. Thus, reversing the price in the opposite direction may not be so easy. In such cases, when it's not easy, we get not a sharp 5-wave impulse but a Leading diagonal, where conditional buyers, as it were, chew their way upwards. ➡️Next, of course, there is correction and further growth. The Leading diagonal can also be encountered in wave a of correction "ABC". And here, the logic remains the same since the correction goes in the opposite direction of the trend; we have significant support for demand. In our example, this is an ascending trend. Therefore, we don't get a sharp impulse, but gradually, and squeezing, which forms the structure of the Leading diagonal. ➡️As you already understand, waves "2" or "4" also have a correctional structure "ABC", where "A" can also be a Leading diagonal. And then, you can encounter the Leading diagonal in wave "1" and in wave "A", and since they reverse the direction of movement, the structure is not formed like a sharp impulse but more like an ascending triangle in the case of wave "1" and a descending triangle in the case of corrective wave "A". ➡️Moving on to the Ending diagonals. You can get them in wave "5" and wave c in the corrective structure "ABC". Here the principle is similar, as you might have guessed, to the case of wave "5". We see how the ascending movement fades, as if the buyers no longer have the strength to move the price, impulsively upwards, I remind you, we are considering an example of an ascending trend movement. ➡️You can encounter the Ending diagonal in wave "5" and wave "C". It turns out everything is quite logical and simple. Wave "1" starts the impulse, and wave "A" starts the correction. Wave "1" starts the impulse, and wave "A" starts the correction. In turn, wave "5" completes the impulse, and wave "C" completes the correction. ➡️Well, now we need to understand the rules for the Leading and Ending diagonals to determine them correctly. ➡️Now let's look at the rules separately for Contracting diagonals! 📍 Rules 📍 📍In the contracting variety, wave "3" is always shorter than wave "1", wave "4" is always shorter than wave "2", and wave "5" is always shorter than wave "3" (1 > 3 > 5 and 2 > 4). 📍Going forward in time, a line connecting the ends of waves 2 and 4 converges towards with the line connecting the ends of waves "1" and "3". 📍 Guidelines 📍 📍In the contracting variety, wave "5" ends beyond the end of wave "3" (only for the Leading diagonals). 📍In the contracting variety, wave "5" ends beyond the end of wave "3" or does not reach the end of wave "3": truncation (only for the Ending diagonals). 📍In the contracting variety, wave "5" usually ends at or slightly beyond a line that connects the ends of waves "1" and "3" (Ending beyond that line is called a throw-over). 📣This concludes the lecture on impulse waves. Save the images and practice. Next week I'll talking about the Corrective Waves - Simple - Sharp Corrections. 🔔 Links to other lessons in related ideas. 🔔
Education
by Hellena_Trade
1
HARMONIC PATTERNS TRADING | ABCD PATTERN & HOW TO TRADE IT Harmonic ABCD pattern is a classic reversal pattern. In this article, I will teach you how to recognize that pattern and trade it properly. This pattern is composed of 3 main elements (based on wicks of the candles): 1️⃣ AB leg 2️⃣ BC leg 3️⃣ CD leg The pattern is considered to be bullish if AB leg is bearish. The pattern is considered to be bearish if AB leg is bullish. AB leg must be a strong movement without corrections within. A is its initial point and B is its completion point. BC leg is a correctional movement from B point after a completion of AB leg. The price may fluctuate within that. B is its initial point and C is its completion point. CD leg must be a strong movement without corrections within. C is its initial point and D is its completion point. ❗️ABCD movement is harmonic if the length and the time horizon of AB and CD legs are equal. By the length, I mean a price change from A to B point and from C to D point. By the time, I mean a time ranges of AB leg and CD leg. If the time and length of AB and CD legs are equal, the pattern is considered to be harmonic, and a reversal will be expected from D point at least to B point. 🛑If the pattern is bullish, stop loss must be placed below D point. 🛑If the pattern is bearish, stop loss is placed above D point. Initial target level is B point. Usually, after reaching a B point the market returns to a global trend. What pattern do you want to learn in the next post?
OANDA:XAUUSDEducation
by VasilyTrader
1
Trend Trading Strategy for the Heiken Ashi Algo v6Knowing when the RSI and price are in a ranging phase even in the short term can be a difficult process. You are either #Ranging #bullish or #bearish. At least in the Algo v6 you can get a clear vision of exactly whats happening. In this video im going to give you a VERY simple strategy on: 1. How to know if the RSI and price are ranging 2. When do i break away from Ranges 3. Am I trending 4. Im trending but whats my confluence to take a long or short 5. Is my range getting bigger or smaller Enjoy this quick vid and ask questions below. Thanks everyone.
Education
by CoffeeshopCrypto
4
📍Part #2, Elliott Waves: "Motive Waves - Impulse".👩🏻‍💻 Welcome to the 2nd lecture on Elliott Waves. So, Elliott Wave Theory suggests that price behavior follows a wave structure, with three waves being impulse waves and 2 being corrective waves. It can be said that these 5 waves look like the image above. ➡️For example, let's take an upward impulse, where the impulse refers to all these five waves. We observe the first wave of growth, then the second wave is corrective to the first, meaning the second wave is specifically a correction for the first wave. Next, the third wave is a growth wave, the fourth is corrective for the third, and the fifth wave concludes the impulse. Following the completion of the impulse or the five-wave sequence, a correction occurs in the form of A, B, C. ➡️This entire structure is fractal, meaning that if our upward impulse has three waves, and they are also impulse waves, such as the first, third, and fifth, and as impulse waves, as we already know, consist of five waves, then each impulse within this larger five-wave sequence has the same structure of five waves. Furthermore, in the correction A, B, C, waves A and C also have a five-wave structure, but more on that in the next lessons. ➡️If you ask about the timeframes to work with waves, I would say that the 1-hour timeframe is the threshold below which it is not recommended to consider the structure! Next, I will describe the basic rules and regulations concerning impulses in the form of pictures, which are convenient to save and use as a hint when analyzing charts. ➡️Now let's consider some rules that are mandatory for all impulse movements. Rules An impulse always subdivides into five waves. Strong guidelines 📍Wave A almost always will alternate with wave B. Alternation can be expressed in two ways: 1) In the type of correction: sharp/sideways or vice versa 2) In the presence of extension: in waves 2 and 4 of the impulse, two sideways patterns are possible, but only one of them will have an extreme beyond the peak of the previous wave. 📍Wave 4, as a rule, significantly violates the channel formed by the subwaves of wave 3. 📍As a strong norm, no part of wave 4 should enter the price territory of wave 1 or 2. 📍As a strong norm, the peak of wave 4 should not extend beyond the doubled channel constructed from the peaks of waves 1, 2, and 3, while the midline of the channel will serve as the minimum achievable target. 📍Second waves of impulses tend to go beyond the previous fourth wave. When using this norm, the previous fourth wave serves as the minimum target. 📍Sometimes wave 5 does not move beyond the end of wave 3 (in which case it is called a truncation). 📍Often, waves 1 and 5 of the impulse form impulses, but more often they alternate in the type of motive waves: if wave 1 is an impulse, expect wave 5 in the form of a diagonal, and vice versa. Less commonly, waves 1 and 5 form diagonals, but in this case, alternation will be expressed in the form of a pattern: contracting/expanding. So there are also many other lesser indications, but they are too numerous and less frequent. Therefore, I recommend that we focus on the main ones for the time being. 📣This concludes the lecture on impulse waves. Save the images and practice. Next week I'll start talking about the Leading and Ending diagonals. 🔔 Links to other lessons in related ideas. 🔔
Education
by Hellena_Trade
11
Bitcoin - Probabilistic MapSince traders are literally made of particles, it's vital to know the principles of their behavior in micro scale. Some people even use planetary cycles to implement into charting. But I believe the answer is deep in quantum world of probabilities - the fabric of reality itself. Reference to Quantum Mechanics The universe itself prohibits 100% prediction accuracy. This is called Heisenberg Uncertainty Principle, and it's the fundamental building blocks of Quantum Mechanics. In order to predict particles behavior, all you need are just 2 quantities/data/features: 1) Position of the particle 2) Momentum of the particles. If you know it's position and it's momentum, you can easily predict it's trajectory. So if you have position and momentum data of all particles in the universe, and you have unlimited computational power, you can predict their behavior (interaction, movement, etc.), and basically predict the future (stock market, weather, natural disaster, etc). However, the Heisenberg Uncertainty Principle states that it is impossible to collect information of particles's position and momentum with 100% certainty. The more certain you know about particle's position, the less certain it's momentum" and vice versa. So if somehow with the unlimited computational power you can predict particle's position at time with 100% accuracy, then your prediction error for its velocity will be infinity, which prevent you for making accurate further predictions, rendering your model useless. Hence, it's theoretically impossible to make 100% accurate prediction even with unlimited data and unlimited computational power. So Is The Universe deterministic or probabilistic? 100% prediction accuracy also means the universe is deterministic - there's only one possible outcome of the future. Einstein was on this side, citing "God doesn't play with dice". On the other hand, folks like Heisenberg, Max Born, Schrodinger, Oppenheimer, etc.., the founding fathers of Quantum Mechanics, viewed the future as set of possible outcomes each having it's own probability. Since market couldn't care less about anyone's subjective forecasts, I do predictions solely based on historic price dynamics in macro scale to stay objective and true with the market pulse rather than be bared with my endless interpretations of patterns. I don't need my consciousness to interpret because we already have a data derived from collective consciousnesses to work with. Chart is already a reflection of reality that captures the emotions of participants. In other words, it's a time fractal that exposes the essence of the market across timeframes. In turn the market itself is a function of trading time . These basis justify linking systematic fragments of cycles to work out the capacity of price action. Basically in Fractal Analysis, the question is how can direct metrics of the historic waves geometrically explain current and future price levels. The Fibonacci sequence is a mathematical concept that appears in various aspects of nature. This connection between mathematics and the natural world is a fascinating example of how patterns and structures found in abstract concepts like numbers can manifest in physical reality . Particularly, using Golden Ratio as a key rule that governs order in chaos. In TradingView, the "Fibonacci Channels" is a great tool to capture the waves (domestic certainty) and turn them into a probabilistic interconnected structure that captures the uncertainty of the market - the entanglement of price action. To start with it's vital to use log scale where percentages are equally captured in distances. So a 100% a growth, say a vertical distance from $40 to $80 measures the same distance as from $1000 to $2000. Besides, percentages are what drives people to feel emotions which affect market behavior (collective executions). Finding geometric relationship between waves, the use of log scale is a must. As I've done this before I want to show how market deviates near fibs. A Direction of 2013 HIGH ⇨ 2017 HIGH with bottom of 2011 gives next bottom 2015 at 0.618 after -86% drop. And also predicts the COVID bottom in 2019 after -72% drop as well as current level where price has cooled down locally. We can note that previous ATHs are explained with logarithmic curve. That's why we'd need another fib channel to connect 2017 HIGH ⇨ 2021 HIGH direction with previous bottom of -86% drop in 2015. FC of that direction predicts bottoms of 2018 (-84%) and covid 2019 (-72%) at 0.618 again. Together they produce an interference pattern covers significant historic price changes. To further interpret current levels though the chart itself, we can use line with angle of direction connecting 2021 double tops: This shows the capacity of how high the market might still grow before next significant correction, if the local fib to the price hasn't yet dimmed the bullish incentive. Another straight line can be used to connect 2019 COVID LOW (-72%) with 2022 LOW, because we might probably never see such price levels in the nearest future as price has broken out with high rate of change. Now it needs more time and bearish capacity to go there. This line can indicate the bottom of hypothetical correction, if it happens now. Other than that it's a clear trendline with almost 4Y wavelength. Since straight lines doesn't exist in nature, I didn't extend them to the right. Now we need a more adaptive version of it to connect recent local bottoms of the trend. That would be a logarithmic trendline, in other words curves to mimic the function of exponential growth. Therefore falling below it, might indicate a possibility of correction and even reversal. Each day if it fails to grow with the curve, the bears will get depleted. A cross below the logarithmic curve of spreading information would be a confirmation of new bearish incentive. This is simply done to work out boundaries as limits of the function that explains the market. Corrective wave has a timing of 15 days in respect to its domestic volatility properties, before it becomes bearish impulsive or continues the impulsive bullish wave. Curves as a function of trading time explain pretty much all historic bullrun growths. As if there is some kind of gravity that governs the trend or it's the PriceTime that curves with the emerging trend. Individual cycles can be too curved accordingly. So the more the price fails to break out that function, the more predictive curve becomes.
BITSTAMP:BTCUSDEducation
by fract
3
Tow-Legged, ABCD, Elliott WavesFigure 1.1 has two extreme trends and one extreme trading range. This day began with a strong bear trend down to bar 1, then entered an unusually tight trading range until it broke out to the upside by one tick at bar 2, and then reversed to a downside breakout into an exceptionally strong trend down to bar 3. Two-legged moves are common, but unfortunately the traditional nomenclature is confusing. When one occurs as a pullback in a trend, it is often called an ABC move. When the two legs are the first two legs of a trend, Elliott Wave technicians instead refer to the legs as waves 1 and 3, with the pullback between them as wave 2. Some traders who are looking for a measured move will look for a reversal back up after the second leg reaches about the same size as the first leg. These technicians often call the pattern an AB = CD move. The first leg down begins with point A and ends with point B (bar 1 in Figure 1.1, which is also A in the ABC move), and the second leg begins with point C (bar 2 in Figure 1.1, which is also B in the ABC move) and ends with point D (bar 3 in Figure 1.1, which is also C in the ABC move).
FOREXCOM:XAUUSDEducation
by RezaBayat
Market Structure For Beginners 2024 By PapaFinanceTalkMarket Structure For Beginners 2024 By PapaFinanceTalk ________________________________ What is Market Structure? Market Structure is a fundamental concept in the SMC trading system. It refers to the arrangement of past price movements, which can provide insights into future price trends. _____________________________ Key Elements of Market Structure: Trend: - Uptrend: Higher lows and higher highs. - Downtrend: Lower lows and lower highs. - Sideways: Price moves within a narrow range, with no clear direction. Highs and Lows: - Swing Highs and Lows: The highest and lowest points within a trend. - Major Highs and Lows: Significant turning points in the market. Support and Resistance: - Support: A price level where the market tends to bounce back upwards. - Resistance: A price level where the market tends to reverse and fall. _____________________________ Types of Market Structure in SMC: - Impulse: Shows strong price movement. - Corrective: Shows a slowdown in price movement. - Neutral: Shows market indecision with no clear direction. This is a brief overview of Market Structure. For a more in-depth analysis, traders are encouraged to study additional resources and seek professional coaching if necessary. _____________________________ Conclusion: Market Structure is a powerful tool that helps traders understand price behavior. Analyzing Market Structure alongside Volume Analysis and Market Liquidity can enhance the accuracy of market analysis and lead to better trading decisions. _____________________________ Additional Coaching Tips: Practice identifying Market Structure patterns on historical charts. Look for confluences between different Market Structure elements to increase confidence in your analysis. Use Market Structure to identify potential trading opportunities and set up high-probability trades. Remember that Market Structure is a dynamic concept and can change over time. Be flexible and adapt your trading strategies accordingly. By PapaFinanceTalk March 10, 2024
OANDA:XAUUSDEducation
by Papa_Trader
The combination of gcov5 and TCD osc = high precision & win5m chart, overall condition analysis. The combination of gcov5 and TCD osc will give more strength to a decision whether to buy or sell. In turn, it can increase accuracy and win. how to get a win in all positions? 1. refers to bull/bear trend ( TCD osc) 2. find a gcov5 signals based on SnD zone and early TCD trend 3. buy price 3 ticks below the close of the signal candle, and sell price 3 ticks above the close of signal candle, so that we can get a tick advantage. If a high candle formed, so enter half candle price. What to do if we miss the signals? sometimes, we miss a buy signal after several candles. We can still enter the market by referring to the nearest support as a buy area and resistance as a sell area. For attention, do not proceed into market if 1. the price breakdown a support or 2. if we have missed the signal too far DISCLAIMER; This post is not meant to be a buy/sell call, just ideas and research analysis based on measurement tools.
MYX:FCPO1!Education
by TraderAsist
3
Diagonals in ElliottwaveSome old and new rules when it comes to diagonals. Further notice can be added that diagonals actionary waves can be composed either by zig zags or impulses so Waves 1/3/5 can be Impulse or 1/3/5 zig zags We cant have hybrids where we mix zig zags and impulses. Actionary waves in ending diagonals can only be formed by zig zags and never Impulses. Every reactionary wave (or corrective wave) in a diagonal must be a zig zag (or a zig zag family, meaning double or tripple sharp zig zag)
NASDAQ:PEPEducation
by PK_SEND_IT
2
"Introducing the 'FasterThanthePriceShadow' Principle: A Unique In the world of technical analysis, the Elliott Wave Principle has long been revered for its ability to identify market trends and predict price movements. However, in volatile markets, deviations from the traditional five-wave pattern can occur, often attributed to the powerful forces of fear and greed driving investor behavior. One such deviation that I've personally noticed is the occurrence of three-wave movements instead of the expected five within correction patterns, such as ascending triangles. This phenomenon challenges conventional Elliott Wave theory, where corrections are typically composed of three waves, while impulse waves consist of five. In volatile market conditions, the "FasterThanthePriceShadow" principle comes into play, reflecting the rapid and sometimes erratic behavior of market participants. Fear and greed can override the usual wave structures, causing corrections to be truncated or extended beyond what Elliott originally observed. When fear and greed dominate the market sentiment, investors may exhibit impulsive and irrational behavior, leading to incomplete or exaggerated wave formations. In the context of ascending triangles, this could manifest as a shorter consolidation phase or a more pronounced breakout, deviating from the traditional Elliott Wave guidelines. By acknowledging the influence of fear and greed on market dynamics, traders can adapt their strategies to account for these unpredictable movements. While Elliott Wave theory provides valuable insights, the "FasterThanthePriceShadow" principle reminds us to remain flexible and open-minded in our analysis, especially in volatile market conditions. As we continue to navigate the complexities of financial markets, incorporating alternative perspectives like the "FasterThanthePriceShadow" principle can enhance our understanding and decision-making processes, ultimately leading to more informed trading outcomes.
Education
by DataSeer_TB
A simple guide to creating a solid portfolio.Hello, Creating a solid portfolio can be a tough task for most investors. Understanding easy ways of beginning that journey can greatly improve your performance as an investor & greatly amplify your results. The times of just buying the S&P and waiting for your money to keep growing is long gone & active investing can widen the gap between yourself and the normal investor. Below we will be guiding on how you can future proof your stock picks using the NAS100 as an example & point of beginning. 1: Understand the index Understanding the index you want to begin with is the 1st point to look at. This will help you choose the correct index for your journey. In our case The Nasdaq 100 is an index of the hundred largest non-financial stocks listed on the NASDAQ stock exchange. The companies included in this index are often technology or biotechnology firms. 2: Do an analysis of where the index is trading at A simple analysis of where the index is trading at guides you on where most of its components would be trading at. In our case the index is correcting giving as hope that we will easily find companies that are in great points for future buys. The health of the companies will be key in our choices. The chart below shows that we are in correction 3: Know the components of your index All the components of the NAS 100 can be easily found on the www.tradingview.com website via link www.tradingview.com A simple google search will also list all this companies for you. The NAS 100 has 100 components meaning that you have 100 companies to look at. For the purpose of this educational post we will be looking at the biggest 3 companies in the index. We shall evaluate the 3 companies using both fundamental analysis & technical analysis. From fundamental analysis we shall look at key metrics in the balance sheet (does the company have debt), From the income statement (Are revenues steadily increasing over time) & Cashflow statement (Does the company have positive free cashflow). Please note that you can always get deeper with understanding the companies more. Companies that you can access their products are even better for retail investors. Next, we shall evaluate the 3 companies from a technical view using wave analysis. We shall then make calls on whether we are looking for buys or sells or wait recommendations. The 3 companies we shall evaluate are Microsoft, Apple & Alphabet. Company 1: Microsoft Microsoft Corp engages in the development and support of software, services, devices, and solutions. It operates through the following business segments: Productivity and Business Processes; Intelligent Cloud; and More Personal Computing. Key metrics 1: Does the company have debt: (Yes) 2023: Total debt 79.44 billion : Total Debt represents all the interest-bearing obligations of the company, regardless of when these obligations are due for payments. 2:Are revenues steadily increasing over time? Yes ( 2021: USD 168 billion, 2022: USD 198.27 billion, 2023: USD 211.92 billion) 3: Does the company have positive free cashflow Yes (2023: USD 59.48) Technical analysis Company 2: Apple Apple, Inc engages in the design, manufacture, and sale of smartphones, personal computers, tablets, wearables and accessories, and other variety of related services. Key metrics 1: Does the company have debt: Total debt: Total debt USD 123.93 billion : Total Debt represents all the interest-bearing obligations of the company, regardless of when these obligations are due for payments. 2:Are revenues steadily increasing over time? YES 2021: ‪USD 365.82 B‬ 2022: USD 394.33 B‬ 2023: USD ‪383.29 B‬ 3: Does the company have positive free cashflow: YES; USD 99.58 billion Technical analysis We have an alert for buy from USD 170.8 areas Company 3: Alphabet Alphabet, Inc is a holding company. It operates through the Google segment which includes its main Internet products such as ads, Android, Chrome, hardware, Google Cloud, Google Maps, Google Play, Search, and YouTube. Key Metrics 1: Does the company have debt: YES ‪USD 29.87 B‬ 2: Are revenues steadily increasing over time? YES. 2022: USD 280.88 B‬, 2023: USD 307.16B 3: Does the company have positive free cashflow: YES. USD 69.50 Billion Technical analysis Buying at current place not good. Look for sell if price breaks trendline aggressively. Below are our recommendations for the 3 stocks. Microsoft: No trade setup Apple: Look for buy from USD 170.8 areas Alphabet: Buying at current place not good. Look for sell if price breaks trendline aggressively. We will then look at all the other stocks that make the components of the index using the above metrics & choose the best stocks to invest in. Good luck in your journey. We shall be sharing more educational content.
FX:NAS100Education
by thesharkke
10
Pivot Point 101This is 6 months of every day's Pivot Points. One point I want to make is that buying an S5 or S6 and selling at R5 or R6 is very doable trade, and you really don't need to worry about going outside the S6 ot R6 range, it's a revelation when you accept that fact. Going long here at S6 is literally the safest long there. Selling and Shorting at R6, same thing. plus your stop is just outside the Pivot Range. Unless you are using a trailing stop on a daytrade, you should use ATR stops. The other point I want to make is about daytrading in chop, vs Buying an S6 like on October 23rd, and holding for R6 till Tuesday 19th of December for 3000 NQ points. is swing trading a little boring, sure and it takes patience to hold for that long, and not trade in and out like most day traders do. But are we in this for a thrill or to make a profit?
CME_MINI:NQ1!Education
by dryanhawley
How to Analyze Daily Time Frame on Gold. 5 Important Things There are 5 important things that you should analyze on Gold on a daily time frame to accurately predict long term, midterm and short term movements. In this article, I will share with you a step-by-step guide for daily time frame analysis that you can apply on Gold or any other financial instrument. 1 - Identify the market trend When you analyze a daily time frame, you should identify long term, midterm and short term market trends. Long-term trend is based on the analysis of one year long price action. In the example above, Gold is trading in a long term bullish trend because the price keeps setting new higher high and new higher lows during the year. Midterm trend is based on the analysis of a price action for the last 4–5 months. Above, we can clearly see that a mid-term trend is bullish because again, the price sets new higher highs and higher lows over time. Short-term trend is based on the analysis of price movements for the last 2 months. Short-term price action is also bullish on Gold, with a clear sequence of higher highs and higher lows. According to the trend analysis, long-term, mid-term and short-term trends are bullish. 2 - Identify the directional bias The directional bias defines a highly probable future direction on the market. In our example, we can anticipate that Gold will keep growing among all the dimensions: long-term, mid-term and short-term. 3 - Execute structure analysis Identify important historic horizontal and vertical structures. That will be the points from where you should look for trading opportunities. When you analyze key levels, identify the structures that are lying close to the current price levels. Make sure that all the structures that you spotted were respected by the market in the past. 4 - Look for price action patterns Price action patterns are the language of the market. Proper identification of the patters will help you correctly understand the intentions of the market participants. You can see that a bearish breakout of a rising channel triggered a correctional movement on the market. Gold started to fall steadily within a bullish flag pattern and after it tested a key support, the price violated the resistance of the flag. 5 - Analyze candlesticks Candlestick patterns can provide extra clues and confirmations. You can see that the market formed multiple rejections from key support, an inside bar formation and bullish engulfing candle. Violation of the inside bar to the upside with a strong bullish candle is an important bullish signal. Combining trend analysis, structure analysis, price action and candlestick analysis, and you can make predictions and look for trading opportunities. You can also make your analysis even more sophisticated, for example, analyzing fundamental analysis or applying technical indicators. ❤️Please, support my work with like, thank you!❤️
FOREXCOM:XAUUSDEducation
by VasilyTrader
4
Using Multi-timeframe analysis to make better trading decisionsTrading on multiple timeframes can significantly improve your risk-reward ratio, regardless of what TA technique, you are using. Let’s look at the recent example (SPY ETF) Third week of February started with a strong sell-off (Monday-Tuesday 13th). Price retraced >50% of the previous move, signaling potential trend reversal. At this point market Bears started scouting for daily low high to enter short trade. They received signal on Friday 16th when price broke previous day low. A short trader, who trades only daily chart, would enter this trade at Friday close with stop-loss slightly above daily high and 1st profit target near Tuesday low. This setup provides a decent risk-reward ration >2. There is also a chance that previous low will be broken and price will fall even further, adding to profit. So taking this trade makes a lot of sense. On the main graph to this post you can see how it developed. Price has not reached our profit target, reversed and made new high. Trade got stopped-out. Even if trader was using trailing stop (stop moved slightly above each new day high) this would not have saved him from huge overnight price jump Could have the trader done better? Yes, if he had zoomed into lower timeframe and monitored price action there. Here is what we can see on the 15m chart. (boxes show hourly candles, color coding matches hourly wave direction, you can read about how waves are constructed here ) Bearish reversal pattern shaped on Thursday- Friday. It is not an ideal triple top but there was a clear weakening of upthrust. Also, on Friday morning price broke previous day low, a sign of an increased bearish strength. Basically, at 21.30 (UTC+1) short trader already had enough evidence to enter trade. He could have done it w/o waiting for day closure. This would have already been a better entrance than in the first scenario. After entering the trade, trader could start monitoring for continuation. Tuesday was clearly bearish but on Wednesday there were multiple signs of shift of control. Firstly, price was able to set hourly higher low. Secondly, bearish wave was progressing very slowly. Finally, there was a 15 m equilibrium (end of Wednesday RTH) that resolved convincingly bullish. At this point a reasonable trader should have closed his trade without hesitation. This would not be a great trade still, but it will be a profitable one, with risk-reward 1.7 . It is nearly impossible to achieve same results looking just on the daily chart. Disclaimer I don't give trading or investing advices, just sharing my thoughts
AMEX:SPYEducation
by hermes_trisme
Education: Riding the UNI wave to completionIn the world of crypto, altcoins like UNI offer amazing opportunities and lessons in market dynamics. For novice investors, understanding these dynamics can be a stepping stone to successful investing. Let’s look into the case of UNI and what its recent market movements can teach us. Understanding UNI and Its Market Significance UNI is the native token of Uniswap, a leading decentralized exchange platform that facilitates the trading of cryptocurrencies without the need for a central authority. This feature makes UNI not just a cryptocurrency but also a part of the evolving decentralized finance ecosystem. The Breakout from a Downtrend In November 2023, UNI broke out from a downtrend line that had been in place since around July/August 2022. This was a significant event for several reasons. A downtrend line is drawn by connecting the high points of an asset's price chart, showing a downward trajectory. When a breakout occurs, it indicates that the asset’s price has managed to surpass this line, suggesting a potential reversal in trend from bearish to bullish. Why This Breakout Mattered For traders and investors, a breakout from a long-established downtrend is a bullish signal. It suggests a change in market sentiment and possibly the start of an upward movement. In the case of UNI, this breakout was particularly noteworthy because the trendline had been respected and retested multiple times over several months, proving its significance. The Strategy Behind the Investment Based on this breakout, the decision to purchase UNI targeted a price of $12, a figure inspired by the prior resistance level from April 2022. In trading, resistance levels are where the price tends to find opposition as it rises. Once surpassed, such levels can boost confidence among investors. The Importance of Strategy and Discipline The UNI scenario underscores a few key principles in trading: Breakouts Are Bullish : A breakout from a downtrend signals a potential reversal to a bullish market. Retests Are Common : After breaking out, it's common for the price to retest the trendline, but not always. Set Clear Targets : Using Fibonacci targets or horizontal resistance levels helps in setting realistic exit points. In volatile markets, identifying a "war zone" of Fibonacci levels can be an effective strategy to scale out or close positions. Respect Your Exit Strategy : Especially after a significant price spike, adhering to your predetermined exit plan is crucial to capitalize on gains and minimize losses. Final Thoughts For novice investors, the UNI case is a good lesson in the principles of market analysis and trading discipline. It teaches the importance of recognizing trend reversals, setting clear goals, and adhering to a strategy despite market volatility. As you go on your trading journey, remember that knowledge, strategy, and discipline are your best tools for navigating the crypto markets. Whether it's UNI or any other asset, informed decisions and a clear plan will guide your path to success.
Education
by bitdoctor
How to Trade Broadening Formations. ________________________________________________________________________________________________________________________________________ Hello traders investors and community. Today I show some important trading formations which can help to identify a profitable trading entry in the markets. These types are when confirmed highly probable trading set-ups to open whether a LONG or SHORT position. In volatile markets, these formations can develop quite often. ________________________________________________________________________________________________________________________________________ 1.) Ascending Broadening Wedge 2.) Descending Broadening Wedge 3.) Broadening Wedge Bottoms 4.) Broadening Wedge Tops 5.) Ascending Right-Angled Broadening Formations 6.) Descending Right-Angled Broadening Formations ________________________________________________________________________________________________________________________________________ ________________________________________________________________________________________________________________________________________ 1.) Ascending Broadening Wedge These wedges most often break-out in the direction where they came from. So it is a wise idea to trade the break-out in the direction, otherwise, swing-trades can be traded from trend-line to trend-line in the broadening wedge. The target is the full height of the pattern, from the lowest low to the highest high forming the trendlines. Identifying tradable ascending broadening wedges can provide good risk and reward trades with high profit. 2.) Descending Broadening Wedge This Wedge is similar to the Ascending Broadening Wedge. We are looking for two touches for each trendline before a reversal and breakout happen as shown in my chart. The Breakout can be traded with a minimum target of the percentage distance from the full height of the pattern, from the lowest low to the lowest high. 3.) Broadening Wedge Bottoms Broadening Wedge Bottoms are as you can see in the picture provided in my chart. Reversals marking a significant reversal after a downtrend. The bottom is formed with three touches of the lower trendline and three touches of the higher trendline. The target is the highest high in the pattern minus the lowest low in the pattern. 4.) Broadening Wedge Tops Broadeing Wedge Tops are similar to Bottoms. They develop in a rising trend forming higher highs and lower lows in a broadening scale-like seen in the picture. Three higher highs marking the upper boundary of the formation and two lower lows marking the lower boundary of the formation. The target projection is the same as with broadening bottoms. 5.) Ascending Right-Angled Broadening Formations They develop with a horizontal trendline and a sloping trendline. The price broadens over time in the formation forming three lows and two highs as you can see in the chart. The wedge breaks in the direction where it came from and can be traded either with swing trades in the wedge or with a breakout entry to trade the breakout. The target is the height of the complete wedge at the breakout point and is projected from the breakout in the breakout direction to determine the minimum target. 6.) Descending Right-Angled Broadening Formations These are the same as Ascending Right-Angled Broadening Formation just with a little different structure. Here we have a horizontal lower trendline and a sloping higher trendline which are forming the overall formation. We see two touches of the lower trendline and three touches of the higher trend-line just as with the Ascending Right-Angled Broadening Formation. The price projection is also the same and the formation can be wisely traded in the breakout direction. ________________________________________________________________________________________________________________________________________ If you like this tutorial feel free to support my work. Thank you. ________________________________________________________________________________________________________________________________________ “The eye sees only what the mind is prepared to comprehend.” ________________________________________________________________________________________________________________________________________
BITSTAMP:BTCUSDEducation
by VincePrince
14