The Power and Beauty of Price Gaps Price gaps represent a clear imbalance in supply and demand, making them one of the purest representations of momentum in financial markets. These gaps occur when there is a significant disparity between the closing price of one period and the opening price of the next, indicating a sudden surge in buying or selling pressure. ...
I will reveal 4 accurate price action signals that even a newbie trader will manage to easily recognize. Watch carefully because these signals alone will help you to make a lot of money trading Forex, Gold or any other financial market. Change of Character Change of character is a strong signal that indicates a trend violation and a highly probable...
Hey traders, In this post, I will share with you my tips for trade management in Forex trading . But first, let me elaborate on what is exactly a trade management . Trade management is the set of rules and techniques applied for managing of an already active position. Trade management is a very important element of any trading strategy that should...
Liquidity plays a vital role in shaping market prices, particularly among large market players such as banks, hedge funds, and other influential entities. These entities, often referred to as market makers, manipulators, and others, are driven by their pursuit of liquidity. In fact, liquidity is the foundation upon which successful trading is built, and it's where...
Want to spot a turning point in trend before it happens? Use Elliott wave parallel channel This chart shows the GBP/JPY currency pair using monthly candlesticks. The advance from Sep 2011 to June 2015 can be labeled as an impulse wave (A). From that high, the pair declined in three waves labeled as wave (B) of a Zigzag A-B-C correction with an expanding diagonal...
Auction Market Theory (AMT) is a conceptual framework used to understand the dynamics of financial markets, viewing them as auctions where buyers and sellers interact to determine prices. Although the AMT was initially developed to understand & analyse price action movements in the stock market, some of its core concepts can also be applied to any market,...
Trading system and strategy are often equated, but this is not quite right. Both a strategy and a trading system is a single algorithm of actions, including the process of searching for signals and opening trades. But strategy is often understood as following certain rules, while a trading system is a combination of technical, fundamental and psychological...
I am trading multiple time frame analysis for many years. After reviewing trading ideas from various traders on Tradingview, I noticed that many traders are applying that incorrectly In this article, I will share with you 5 essential tips , that will help you improve your multiple time frame analysis and top-down trading. The Order of Analysis Matters...
Here we take a look at trading pullbacks using the Keltner Channels. I cover the initial setup, the types of entries, and trades to avoid. This setup contains 3 parts: The channel touch The Pullback The Entry The Channel Touch Here is an example of the beginning signal in our setup, a band touch. The top and bottom bands represent the ATR (Average...
Does technical analysis really work in Gold trading? In this article, we will discuss whether the traditional, classic methods of technical analysis: support and resistance, breakouts, patterns can be reliable in this specific market. We will explore the dynamics of Gold prices so far this year and discuss the most efficient way to trade Gold. So if you...
Momentum Trading Strategies for Day Traders Momentum trading is a highly-regarded trading strategy used to seize opportunities in trending markets. This article explores momentum trading and offers two comprehensive strategies for capitalising on rising and falling markets. What Is a Momentum Trading Strategy? Momentum trading is a technique where traders aim...
A lot of traders apply trend lines for trading and making predictions on different financial markets. Trend line can also be an important element of price action patterns. However, only few knows that some trend lines are better to be avoided. In this article, I will share with you the types of trend lines that you should avoid and not rely on for...
Hey traders, In this post, we will compare investing, trading and gambling . 📈 Investing Investing is the act of putting money in a financial market with the expectations of a long-term positive return. The investing decisions are usually made using fundamental analysis. The main goal of an investor is to predict the long-term market trends and benefit on...
How to Use Liquidity Zones and Liquidity Voids in Trading Navigating the forex market demands a keen understanding of liquidity dynamics. This article delves into the critical concepts of liquidity zones and voids, offering traders insights into identifying areas of high trading activity and potential price gaps. Understanding Liquidity in Trading In trading,...
The historical pattern known as the seasonal divergence "Sell in May, and Go away" was popularized by the Stock Trader's Almanac, which stated that investing in stocks represented by the Dow Jones Industrial Average November through April and switching to fixed income for the remaining six months "would have delivered reliable returns with reduced risk since...
What Is a Gap and How Can You Trade It in Forex and Cryptocurrencies? When it comes to trading, understanding gaps is pivotal for traders aiming to navigate and capitalise on market volatility. These spaces on price charts where no trading occurs are often exploited by traders looking for a quick reversal or trend continuation. This article delves into the...
This is my 4th Idea or "Chapter" to collect evidence for my theories. This Chapter is to observe the results of price Returning to Impulse. I will be adding examples as ongoing "Updates" whenever I spot them. Impulse = strong continuous force for a limited amount of time. When there is a return to Impulse, it is a critical zone to watch. Rejection from,...
Hey Rich Friends, Happy Monday! It's a new week which means many new opportunities to get into the market...but it doesn't mean that you have to take all of them. Make sure you focus on finding the best setups by sticking to your plan and following your confirmation checklist. The best out of 25 will give you a good idea of your win/loss ratio. If you are...