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Are You Taking the Right Risks in Trading? RISK Per Trade Basics What portion of your equity should you risk for your trading positions? In the today's article, I will reveal the types of risks related to your position sizing. Quick note: your risk per trade will be defined by the distance from your entry point to stop loss in pips and the lot size. 🟢Risking 1-2% of your trading account per trade will be considered a low risk. With such a risk, one can expect low returns but a high level of safety of the total equity. Such a risk is optimal for conservative and newbie traders. With limited account drawdowns, one will remain psychologically stable during the negative trading periods. 🟡2-5% risk per trade is a medium risk. With such a risk, one can expect medium returns but a moderate level of safety of the total equity. Such a risk is suitable for experienced traders who are able to take losses and psychologically resilient to big drawdowns and losing streaks. 🔴5%+ risk per trade is a high risk. With such a risk, one can expect high returns but a low level of safety of the total equity. Such a risk is appropriate for rare, "5-star" trading opportunities where all stars align and one is extremely confident in the positive outcome. That winner alone can bring substantial profits, while just 2 losing trades in a row will burn 10% of the entire capital. 🛑15%+ risk per trade is considered to be a stupid risk. With such a risk, one can blow the entire trading account with 4-5 trades losing streak. Taking into consideration the fact that 100% trading setups does not exist, such a risk is too high to be taken. The problem is that most of the traders does not measure the % risk per trade and use the fixed lot. Never make such a mistake, and plan your risks according to the scale that I shared with you. ❤️Please, support my work with like, thank you!❤️ I am part of Trade Nation's Influencer program and receive a monthly fee for using their TradingView charts in my analysis.
TRADENATION:XAUUSDEducation
by VasilyTrader
1
Trump's Tariff Wars : Why It Is Critical To Address Global TradeThis video, a continuation of the Trump's Tariff Wars video I created last week, tries to show you why it is critically important that we, as a nation, address the gross imbalances related to US trade to global markets that are resulting in a $1.5-$1.8 TRILLION deficit every fiscal year. There has been almost NOTHING done about this since Trump's last term as President. Our politicians are happy to spend - spend - spend - but none of them are worries about the long-term fiscal health of the US. (Well, some of them are worried about it - but the others seem to be completely ignorant of the risks related to the US). Trump is raising this issue very early into his second term as president to protect ALL AMERICANS. He is trying to bring the issue into the news to highlight the imbalances related to US trade throughout the world. When some other nation is taking $300B a year from the us with an unfair tariff rate - guess what, we need to make that known to the American consumer because we are the ones that continue to pay that nation the EXTRA every year. Do you want to keep paying these other nations a grossly inefficient amount for cheap trinkets, or do you want our politicians and leaders to take steps to balance the trade deficits more efficiently so we don't pass on incredible debt levels to our children and grandchildren? So many people simply don't understand what is at risk. Short-term - the pain may seem excessive, but it may only last 30, 60, 90 days. Long-term - if we don't address this issue and resolve it by negotiating better trade rates, this issue will destroy the strength of the US economy, US Dollar, and your children's future. Simply put, we can't keep going into debt without a plan to attempt to grow our GDP. The solution to this imbalance is to grow our economy and to raise taxes on the uber-wealthy. We have to grow our revenues and rebalance our global trade in an effort to support the growth of the US economy. And, our politicians (till now) have been more than happy to ignore this issue and hide it from the American people. They simply didn't care to discuss it or deal with it. Trump brought this to the table because it is important. I hope you now see HOW important it really is. Get some. #trading #research #investing #tradingalgos #tradingsignals #cycles #fibonacci #elliotwave #modelingsystems #stocks #bitcoin #btcusd #cryptos #spy #gold #nq #investing #trading #spytrading #spymarket #tradingmarket #stockmarket #silver
AMEX:SPYEducation
by BradMatheny
19
Blueprint for Becoming a Successful Forex Trader in 2025🚀 Blueprint to Becoming a Successful Forex Trader in 2025: Leveraging ICT, Automation, and Prop Funding Here’s a detailed, actionable blueprint designed to position you for success by carefully navigating broker selection, adopting advanced trading strategies, obtaining prop funding, and integrating automation and AI technologies into your trading. 🏦 Broker Selection (Actionable Steps) 🔍 Choose brokers with true ECN/STP execution ⚡ Ensure brokers offer low spreads (0.0-0.2 pip average) and fast execution to maximize ICT precision entries. 🛡️ Prioritize brokers regulated by ASIC, FCA, or FSCA with verified Myfxbook execution reports. 📊 Confirm broker compatibility with MetaTrader 4 (MT4) to seamlessly integrate Expert Advisors (EAs). 💳 Check for flexible withdrawal/deposit methods and swift payouts (Crypto, Wise, Revolut). 🎯 Trading Strategy (ICT Concepts & Supply-Demand Zones) 🧠 Master ICT Concepts: Liquidity sweeps, Order Blocks (OB), Fair Value Gaps (FVG), Market Structure Breaks (MSB). 📍 Combine ICT with Supply-Demand: Identify institutional supply-demand zones aligning with ICT Order Blocks & liquidity areas. 📐 Execute High-Probability Setups: Trade only after liquidity grabs at key daily/weekly ICT points, avoiding retail traps. 📈 Time & Price Theory: Trade London Kill Zones and New York Open exclusively, exploiting predictable ICT volatility. 📆 Weekly Preparation: Annotate D1/H4 charts on weekends marking liquidity points, order blocks, and premium/discount zones clearly. 💰 Getting Prop Funding (Actionable Approach) 🥇 Target reputable prop firms (FTMO, MyForexFunds, The Funded Trader, 8cap, etc) with clear and attainable evaluation objectives. 📑 Use ICT trading style for evaluation: lower-frequency, high-probability trades with clearly defined risks. 🎯 Implement strict risk management rules: never exceed 1% risk per trade, aiming for steady account growth (5-10% monthly target). 📊 Monitor performance closely using provided analytics dashboards (e.g., FTMO Metrics App) and adapt accordingly. 📚 Diversify funded accounts across multiple firms, compounding total available trading capital while reducing firm-specific risk. ⚙️ Automating & Executing Trades (MT4 EA & Bots) 🛠️ Hire experienced MQL4 developers to code custom ICT-based MT4 Expert Advisors 🤖 Develop EAs specifically around ICT logic (Order Block detection, liquidity grabs, market structure shifts) and or supply/demand logic 🤖 use advanced algo based breakout EAs for automation 📌 Automate trade management: EAs should handle entry precision, partial exits, break-even stops, and trail stops. 📡 Set EAs on VPS Hosting (NY4, LD4) for optimal latency and consistent execution (ForexVPS, AccuWeb Hosting). 📈 Regularly perform forward-testing and optimization of EAs on demo accounts before live deployment (at least quarterly optimization). 📲 Integrating Advanced Bots and Technology in 2025 📊 Combine your MT4 EAs with third-party analytics platforms for detailed trade performance insights. 🔮 Incorporate AI-based forecasting tools to refine ICT setups and trade signals. 🔔 Use automated bots for real-time alerts on ICT-based setups via Telegram or Discord channels. 🧑‍💻 Maintain manual oversight for discretionary ICT decisions—use automation for entry efficiency, not blind reliance. 🔄 Continuously retrain and update your bot’s logic monthly using the most recent trade data, ensuring adaptive execution. 🗓️ Daily Routine for Success 🌅 Pre-session (30 mins): Review annotated charts, ICT concepts (liquidity, OB, FVG), and supply-demand levels. 💻 During trading session: Monitor EA execution, manually adjust positions based on real-time ICT setups. 📝 Post-session (15 mins): Journal trades meticulously in detail, noting ICT reasoning behind wins and losses. 📆 Weekly review: Assess overall ICT & EA performance—adjust EA parameters as needed to match evolving market conditions. 📚 Continuous learning: Keep updated on advanced ICT framework, supply demand zone trading. 📌 Final Actionable Advice for 2025 🔍 Specialize intensely on ICT & supply-demand concepts rather than multiple strategies—depth over breadth. 🚩 Always adapt and evolve your trading algorithms to ICT methodology—market dynamics continually change. 🧘 Maintain emotional discipline and patience, relying on high-probability setups to steadily compound your account. 💡 Stay ahead by embracing technology: automation, AI-driven forecasting, and custom ICT tools will provide a significant edge in 2025.
Education
by ProjectSyndicate
26
EDUCATION: The $5 Drop: How Trump’s Tariffs Sent Oil TumblingOil markets don’t move in a vacuum. Politics, trade wars, and global economic shifts all play a role in price action. Case in point: the recent $5 drop in oil prices following Trump’s latest tariff announcement. What Happened? Markets reacted swiftly to Trump’s renewed push for tariffs, targeting key trading partners. The result? A ripple effect that sent oil prices tumbling as traders anticipated lower global demand. The logic is simple—higher tariffs slow trade, slowing trade weakens economies, and weaker economies use less oil. Why It Matters to Traders For traders, this kind of volatility is both an opportunity and a risk. Sharp price drops like this shake out weak hands while rewarding those who position themselves with clear strategies. If you trade crude oil, understanding the macro picture—beyond just supply and demand—can make or break your positions. The Next Move Is this just a knee-jerk reaction, or the start of a larger trend? Smart traders are watching key levels, tracking institutional order flow, and looking for confirmation before making their next move. How do you react when headlines move the market? Do you panic, or do you position yourself with a plan? Drop a comment and let’s talk strategy.
Education
by TLTurnerTV
11
Trump's Tariff Wars : What To Expect And How To Trade Them.I promised all of you I would create a Trump's Tariff Wars video and try to relate that is happening through the global economy into a rational explanation of HOW and WHY you need to be keenly away of the opportunities presented by the new Trump administration. Like Trump or not. I don't care. He is going to try to enact policies and efforts to move in a direction to support the US consumer, worker, business, and economy. He made that very clear while campaigning and while running for office (again). This video looks at the "free and fair" global tariffs imposed on US manufacturers and exports by global nations over the past 3+ decades. For more than 30+ years, global nations have imposed extreme tariffs on US goods/exports in order to try to protect and grow their economies. The purpose of these tariffs on US good was to protect THEIR workers/population, to protect THEIR business/economy, to protect THEIR manufacturing/products. Yes, the tariffs they imposed on US goods was directly responsible for THEIR economic growth over the past 30-50+ years and helped them build new manufacturing, distribution, consumer engagement, banking, wealth, and more. The entire purpose of their tariffs on US goods was to create an unfair advantage for their population to BUILD, MANUFACTURE, and BUY locally made products - avoiding US products as much as possible. As I suggested, that is why Apple, and many other US manufacturers moved to Asia and overseas. They could not compete in the US with China charging 67% tariffs on US goods. So they had to move to China to manufacture products because importing Chinese-made products into the US was cheaper than importing US-made products into China. Get it? The current foreign Tariffs create an incredibly unfair global marketplace/economy - and that has to STOP (or at least be re-negotiated so it is more fair for everyone). And I believe THAT is why Trump is raising tariffs on foreign nations. Ultimately, this will likely be resolved as I suggest in this video (unless many foreign nations continue to raise tariff levels trying to combat US tariffs). If other foreign nation simply say, "I won't stand for this, I'm raising my tariff levels to combat the new US tariffs", then we end up where we started - a grossly unfair global marketplace. This is the 21st century, not the 18th century. Step up to the table and realize we are not in the 1850s or 1950s any longer. We are in 2025. Many global economies are competing at levels nearly equal to the US economy in terms of population, GDP, manufacturing, and more. It's time to create a FREE and FAIR global economy, not some tariff-driven false economy on the backs of the US consumers. That has to end. Get some. #trading #research #investing #tradingalgos #tradingsignals #cycles #fibonacci #elliotwave #modelingsystems #stocks #bitcoin #btcusd #cryptos #spy #gold #nq #investing #trading #spytrading #spymarket #tradingmarket #stockmarket #silver
AMEX:SPYEducation
by BradMatheny
64
Sharing a strategyFor my scalping or Intraday trade, I created this pine script combining various indicator (namely the famous Alphatrend by @KivancOzbilgic, Previous Day Close and 52WeeksHigh/Low) into one indicator. If price goes above the PDC and Alphatrend is a buy then I will make quick long trade. If price goes below the PDC and Alphatrend is a sell then I will make quick short trade. I added a percentage based on PDC to give me where I need to put my stoploss. Not really important as I always have proper risk reward ratio but it comes handy most of the time.
IEducation
by sharpie0319
Using The CRADLE Pattern To Time/Execute TradesThis simple video highlights one of my newest pattern definitions - the Cradle Pattern. In addition to the many other patterns my technology identified, this Cradle Pattern seems to be a constant type of price construct. I'm sharing it with all of you so you can learn how to identify it and use it for your trading. Ideally, this pattern represents FLAGGING after a trend phase. It is a consolidation of price within a flag after a broad trending phase. It usually resolves in the direction of the major trend, but can present a very solid reversal trigger if the upper/lower pullback range is broken (see the examples in this video). Learn it. Use it. Price is the ultimate indicator. Learn to read price data more efficiently to become a better trader. Get some. #trading #research #investing #tradingalgos #tradingsignals #cycles #fibonacci #elliotwave #modelingsystems #stocks #bitcoin #btcusd #cryptos #spy #gold #nq #investing #trading #spytrading #spymarket #tradingmarket #stockmarket #silver
AMEX:SPYEducation
by BradMatheny
2
The Greatest Opportunity of Your Life : Answering QuestionsThis video is an answer to Luck264's question about potential price rotation. I go into much more details because I want to highlight the need to keep price action in perspective related to overall (broader) and more immediate (shorter-term) trends. Additionally, I try to highlight what I've been trying to tell all of you over the past 3+ years... The next 3-%+ years are the GREATEST OPPORTUNITY OF YOUR LIFE. You can't even imagine the potential for gains unless I try to draw it out for you. So, here you go. This video highlights why price is the ultimate indicator and why my research/data is superior to many other types of analysis. My data is factual, process-based, and results in A or B outcomes. I don't mess around with too many indicators because I find them confusing at times. Price tells me everything I need to know - learn what I do to improve your trading. Hope you enjoy this video. Get Some. #trading #research #investing #tradingalgos #tradingsignals #cycles #fibonacci #elliotwave #modelingsystems #stocks #bitcoin #btcusd #cryptos #spy #gold #nq #investing #trading #spytrading #spymarket #tradingmarket #stockmarket #silver
AMEX:SPYEducation
by BradMatheny
ICT Concepts for FX and GOLD traders: 2025 edition🔍 ICT (Inner Circle Trader) is a trading methodology developed by Michael J. Huddleston. It focuses on market structure, smart money concepts (SMC), and how institutions manipulate liquidity to trap retail traders. 📚 It's not about indicators or over-complication — it's about reading the price action like a pro, understanding where liquidity is, and trading with the banks, not against them. 📐 1. Market Structure Understand Highs & Lows: Identify break of structure (BOS) and change of character (CHOCH) Follow the macro to micro flow: D1 > H4 > M15 for precision entries 🧱 2. Order Blocks (OBs) An order block is the last bullish or bearish candle before a major price move. Banks and institutions place large orders here. Smart traders look for price to return to these areas (mitigation), then enter with tight stop losses. 👉 Think of OBs as institutional footprints on the chart. 💧 3. Liquidity Zones Equal highs/lows, trendline touches, support/resistance — these are liquidity traps. ICT teaches that price often hunts liquidity before reversing. That’s why many retail traders get stopped out. Learn to trade into liquidity, not off it. 🔄 4. Fair Value Gaps (FVGs) Also called imbalances — when price moves too fast and leaves gaps. Price often retraces to "fill the gap" — a key entry point for ICT traders. 🥇 ICT for Gold & Forex in 2025 💰 Why It Works for XAUUSD & Majors: Gold is a highly manipulated asset, perfect for ICT-style trading. It responds beautifully to liquidity grabs, order blocks, and Asian–London–New York session transitions. Forex majors (EUR/USD, GBP/USD, etc.) are also ideal since they’re heavily influenced by institutional flow and news-driven liquidity hunts. 🕐 Timing Is Everything Trade Killzones: 📍 London Killzone: 2AM–5AM EST 📍 New York Killzone: 7AM–10AM EST These are high-volume sessions where institutions make their moves. 📈 Typical ICT Setup ▪️Spot liquidity zone above or below recent price ▪️Wait for liquidity sweep (stop hunt) ▪️Identify nearby order block or FVG ▪️Enter on a pullback into OB/FVG ▪️Set tight SL just past the recent swing Target internal range, opposing OB, or next liquidity level 👨‍💻 Why FX/GOLD Traders Love ICT ✅ It’s clean, no indicators, and highly logical ✅ Great for part-time trading — 1 or 2 trades a day ✅ Feels like "leveling up" your understanding of the market ✅ Perfect for backtesting and journaling on platforms like TradingView or SmartCharts ✅ Easy to integrate into algo-based systems or EAs for semi-automation If you’re tired of indicators and guessing, and want to trade like the institutions, ICT is a game changer. In 2025, more prop firms and traders are applying ICT concepts to dominate markets like gold, forex, and even crypto. 🧭 Master the method. Understand the logic. Ride with the smart money. 🔥 Welcome to the next level of trading.
Education
by ProjectSyndicate
21
Behind the Curtain The Economic Pulse Behind Euro FX1. Introduction Euro FX Futures (6E), traded on the CME, offer traders exposure to the euro-dollar exchange rate with precision, liquidity, and leverage. Whether hedging European currency risk or speculating on macro shifts, Euro FX contracts remain a vital component of global currency markets. But what truly moves the euro? Beyond central bank meetings and headlines, the euro reacts sharply to macroeconomic data that signals growth, inflation, or risk appetite. Using a Random Forest Regressor, we explored how economic indicators correlate with Euro FX Futures returns across different timeframes. In this article, we uncover which metrics drive the euro daily, weekly, and monthly, offering traders a structured, data-backed approach to navigating the Euro FX landscape. 2. Understanding Euro FX Futures Contracts The CME offers two primary Euro FX Futures products: o Standard Euro FX Futures (6E): Contract Size: 125,000 € Tick Size: 0.000050 per euro = $6.25 per tick per contract Trading Hours: Nearly 24 hours, Sunday to Friday (US) o Micro Euro FX Futures (M6E): Contract Size: 12,500 € (1/10th the size of 6E) Tick Size: 0.0001 per euro = $1.25 per tick per contract Accessible to: Smaller accounts, strategy testers, and traders managing precise exposure o Margins: 6E Initial Margin: ≈ $2,600 per contract (subject to volatility) M6E Initial Margin: ≈ $260 per contract Whether trading full-size or micro contracts, Euro FX Futures offer capital-efficient access to one of the most liquid currency pairs globally. Traders benefit from leverage, scalability, and transparent pricing, with the ability to hedge or speculate on Euro FX trends across timeframes. 3. Daily Timeframe: Key Economic Indicators For day traders, short-term price action in the euro often hinges on rapidly released data that affects market sentiment and intraday flow. According to machine learning results, the top 3 daily drivers are: Housing Starts: Surging housing starts in the U.S. can signal economic strength and pressure the euro via stronger USD flows. Conversely, weaker construction activity may weaken the dollar and support the euro. Consumer Sentiment Index: A sentiment-driven metric that reflects household confidence. Optimistic consumers suggest robust consumption and a firm dollar, while pessimism may favor EUR strength on defensive rotation. Housing Price Index (HPI): Rising home prices can stoke inflation fears and central bank hawkishness, affecting yield differentials between the euro and the dollar. HPI moves often spark short-term FX volatility. 4. Weekly Timeframe: Key Economic Indicators Swing traders looking for trends spanning several sessions often lean on energy prices and labor data. Weekly insights from our Random Forest model show these three indicators as top drivers: WTI Crude Oil Prices: Oil prices affect global inflation and trade dynamics. Rising WTI can fuel EUR strength if it leads to USD weakness via inflation concerns or reduced real yields. Continuing Jobless Claims: An uptick in claims may suggest softening labor conditions in the U.S., potentially bullish for EUR as it implies slower Fed tightening or economic strain. Brent Crude Oil Prices: As the global benchmark, Brent’s influence on inflation and trade flows is significant. Sustained Brent rallies could create euro tailwinds through weakening dollar momentum. 5. Monthly Timeframe: Key Economic Indicators Position traders and institutional participants often focus on macroeconomic indicators with structural weight—those that influence monetary policy direction, capital flow, and long-term sentiment. The following three monthly indicators emerged as dominant forces shaping Euro FX Futures: Industrial Production: A cornerstone of economic output, rising industrial production reflects strong manufacturing activity. Strong U.S. numbers can support the dollar, while a slowdown may benefit the euro. Likewise, weaker European output could undermine EUR demand. Velocity of Money (M2): This metric reveals how quickly money is circulating in the economy. A rising M2 velocity suggests increased spending and inflationary pressures—potentially positive for the dollar and negative for the euro. Falling velocity signals stagnation and may shift flows into the euro as a lower-yield alternative. Initial Jobless Claims: While often viewed weekly, the monthly average could reveal structural labor market resilience. A rising trend may weaken the dollar, reinforcing EUR gains as expectations for interest rate cuts grow. 6. Strategy Alignment by Trading Style Each indicator offers unique insights depending on your approach to market participation: Day Traders: Focus on the immediacy of daily indicators like Housing Starts, Consumer Sentiment, and Housing Price Index. Swing Traders: Leverage weekly indicators like Crude Oil Prices and Continuing Claims to ride mid-term moves. Position Traders: Watch longer-term data such as Industrial Production and M2 Velocity. 7. Risk Management Currency futures provide access to high leverage and broad macro exposure. With that comes responsibility. Traders must actively manage position sizing, volatility exposure, and stop placement. Economic indicators inform price movement probabilities—not certainties—making risk protocols just as essential as trade entries. 8. Conclusion Euro FX Futures are shaped by a deep web of macroeconomic forces. From Consumer Sentiment and Oil Prices to Industrial Production and Money Velocity, each indicator tells part of the story behind Euro FX movement. Thanks to machine learning, we’ve spotlighted the most impactful data across timeframes, offering traders a framework to align their approach with the heartbeat of the market. As we continue the "Behind the Curtain" series, stay tuned for future editions uncovering the hidden economic forces behind other major futures markets. When charting futures, the data provided could be delayed. Traders working with the ticker symbols discussed in this idea may prefer to use CME Group real-time data plan on TradingView: www.tradingview.com - This consideration is particularly important for shorter-term traders, whereas it may be less critical for those focused on longer-term trading strategies. General Disclaimer: The trade ideas presented herein are solely for illustrative purposes forming a part of a case study intended to demonstrate key principles in risk management within the context of the specific market scenarios discussed. These ideas are not to be interpreted as investment recommendations or financial advice. They do not endorse or promote any specific trading strategies, financial products, or services. The information provided is based on data believed to be reliable; however, its accuracy or completeness cannot be guaranteed. Trading in financial markets involves risks, including the potential loss of principal. Each individual should conduct their own research and consult with professional financial advisors before making any investment decisions. The author or publisher of this content bears no responsibility for any actions taken based on the information provided or for any resultant financial or other losses.
CME:6E1!Education
by traddictiv
Trading Is Not Gambling: Become A Better Trader Part III'm so thankful the admins at Tradingview selected my first Trading Is Not Gambling video for their Editor's Pick section. What an honor. I put together this video to try to teach all the new followers how to use analysis to try to plan trade actions and to attempt to minimize risks. Within this video, I try to teach you to explore the best opportunities based on strong research/analysis skills and to learn to wait for the best opportunities for profits. Trading is very similar to hunting or trying to hit a baseball... you have to WAIT for the best opportunity, then make a decision on how to execute for the best results. Trust me, if trading was easy, everyone would be making millions and no one would be trying to find the best trade solutions. In my opinion, the best solution is to learn the skills to try to develop the best consistent outcomes. And that is what I'm trying to teach you in this video. I look forward to your comments and suggestions. Get some. #trading #research #investing #tradingalgos #tradingsignals #cycles #fibonacci #elliotwave #modelingsystems #stocks #bitcoin #btcusd #cryptos #spy #gold #nq #investing #trading #spytrading #spymarket #tradingmarket #stockmarket #silver
AMEX:SPYEducation
by BradMatheny
9
THE IMPORTANCE of Multiple Time Frame Analysis in Forex Gold In my daily posts, I quite frequently use multiple time frame analysis. If you want to enhance your predictions and make more accurate decisions, this is the technique you need to master. In the today's post, we will discuss the crucial importance of multiple time frames analysis in trading the financial markets and forex gold in particular. 1️⃣ Trading on a single time frame, you may miss the important key levels that can be recognized on other time frames. Take a look at the chart above. Analyzing a daily time frame, we can spot a confirmed bullish breakout of a key daily resistance. That looks like a perfect buying opportunity. However, a weekly time frame analysis changes the entire picture, just a little bit above the daily resistance, there is a solid weekly resistance. From such a perspective, buying GBPUSD looks very risky. 2️⃣ The market trend on higher and lower time frames can be absolutely different. In the example above, Gold is trading in a bullish trend on a 4h time frame. It may appear for a newbie trader that buyers are dominating on the market. While a daily time frame analysis shows a completely different picture: the trend on a daily is bearish, and a bullish movement on a 4H is simply a local correctional move. 3️⃣ It may appear that the market has a big growth potential on one time frame while being heavily over-extended on other time frames. Take a look at GBPJPY: on a weekly time frame, the market is trading in a strong bullish trend. Checking a daily time frame, however, we can see that the bullish momentum is weakening: the double top pattern is formed and the market is consolidating. The sentiment is even changing to a bearish once we analyze a 4H time frame. We can spot a rising wedge pattern there and its support breakout - very bearish signal. 4️⃣ Higher time frame analysis may help you to set a safe stop loss. In the picture above, you can see that stop loss placement above a key daily resistance could help you to avoid stop hunting shorting the Dollar Index. Analyzing the market solely on 1H time frame, stop loss would have been placed lower and the position would have closed in a loss. Always check multiple time frame when you analyze the market. It is highly recommendable to apply the combination of at least 2 time frames to make your trading safer and more accurate. ❤️Please, support my work with like, thank you!❤️ I am part of Trade Nation's Influencer program and receive a monthly fee for using their TradingView charts in my analysis.
TRADENATION:XAUUSDEducation
by VasilyTrader
6
Trading Is Not Gambling : Become A Better Trade Part IOver the last few weeks/months, I've tried to help hundreds of traders learn the difference between trading and gambling. Trading is where you take measured (risk-restricted) attempts to profit from market moves. Gambling is where you let your emotions and GREED overtake your risk management decisions - going to BIG WINS on every trade. I think of gambling in the stock market as a person who continually looks for the big 50% to 150%++ gains on options every day. Someone who will pass up the 20%, 30%, and 40% profits and "let it ride to HERO or ZERO" on most trades. That's not trading. That's flat-out GAMBLING. I'm going to start a new series of training videos to try to help you understand how trading operates and how you need to learn to protect capital while taking strategic opportunities for profits and growth. This is not going to be some dumbed-down example of how to trade. I'm going to try to explain the DOs and DO N'Ts of trading vs. gambling. If you want to be a gambler - then get used to being broke most of the time. I'll work on this video's subsequent parts later today and this week. I hope this helps. At least it is a starting point for what I want to teach all of you. Get some. #trading #research #investing #tradingalgos #tradingsignals #cycles #fibonacci #elliotwave #modelingsystems #stocks #bitcoin #btcusd #cryptos #spy #gold #nq #investing #trading #spytrading #spymarket #tradingmarket #stockmarket #silver
AMEX:SPYEducation
by BradMatheny
27
Best GOLD XAUUSD Consolidation Trading Strategy Explained In article , you will learn how to identify and trade consolidation on Gold easily. I will share with you my consolidation trading strategy and a lot of useful XAUUSD trading tips. 1. How to Identify Consolidation In order to trade consolidation, you should learn to recognize that. The best and reliable way to spot consolidation is to analyse a price action. Consolidation is the state of the market when it STOPS updating higher highs & higher lows in a bullish trend OR lower lows & lower highs in a bearish trend. In other words, it is the situation when the market IS NOT trending. Most of the time, during such a period, the price forms a horizontal channel. Above is a perfect example of a consolidation on Gold chart on a daily. We see a horizontal parallel channel with multiple equal or almost equal highs and lows inside. For a correct trading of a consolidation, you should correctly underline its boundaries. Following the chart above, the upper boundary - the resistance, is based on the highest high and the highest candle close. The lowest candle close and the lowest low compose the lower boundary - the support. 2. What Consolidation Means Spotting the consolidating market, it is important to understand its meaning and the processes that happen inside. Consolidation signifies that the market found a fair value. Growth and bullish impulses occur because of the excess of demand on the market, while bearish moves happen because of the excess of supply. When supply and demand find a balance, sideways movements start . Look at the price movements on Gold above. First, the market was rising because of a strong buying pressure. Finally, the excess of buying interest was curbed by the sellers. The market started to trade with a sideways range and found the equilibrium At some moment, demand started to exceed the supply again and the consolidation was violated . The price updated the high and continued growth. Usually, the violation of the consolidation happens because of some fundamental event that makes the market participants reassess the value of the asset. At the same time, the institutional traders, the smart money accumulate their trading positions within the consolidation ranges. As the accumulation completes, they push the prices higher/lower, violating the consolidation. 3. How to Trade Consolidation Once you identified a consolidation on Gold, there are 2 strategies to trade it. The resistance of the consolidation provides a perfect zone to sell the market from. You simply put your stop loss above the resistance and your take profit should be the upper boundary of the support. That is the example of a long trade from support of the consolidation on Gold. The support of the sideways movement will be a safe zone to buy Gold from. Stop loss will lie below the support zone, take profit will be the lower boundary of the resistance. AS the price reached a take profit level and tested a resistance, that is a short trade from that. You can follow such a strategy till the price violates the consolidation and establishes a trend. The market may stay a very extended period of time in sideways, providing a lot of profitable trading opportunities. What I like about Gold consolidation trading is that the strategy is very straightforward and completely appropriate for beginners. It works on any time frame and can be used for intraday, swing trading and scalping ❤️Please, support my work with like, thank you!❤️ I am part of Trade Nation's Influencer program and receive a monthly fee for using their TradingView charts in my analysis.
TRADENATION:XAUUSDEducation
by VasilyTrader
4
Behind the Curtain: Unveiling Gold’s Economic Catalysts1. Introduction Gold Futures (GC, MGC and 1OZ), traded on the CME market, are one of the most widely used financial instruments for hedging against inflation, currency fluctuations, and macroeconomic uncertainty. As a safe-haven asset, gold reacts to a wide range of economic indicators, making it crucial for traders to understand the underlying forces driving price movements. By leveraging machine learning, specifically a Random Forest Regressor, we analyze the top economic indicators influencing Gold Futures on daily, weekly, and monthly timeframes. This data-driven approach reveals the key catalysts shaping GC Futures and provides traders with actionable insights to refine their strategies. 2. Understanding Gold Futures Contracts Gold Futures (GC) are among the most actively traded futures contracts, offering traders and investors exposure to gold price movements with a range of contract sizes to suit different trading strategies. CME Group provides three types of Gold Futures contracts to accommodate traders of all levels: o Standard Gold Futures (GC): Contract Size: Represents 100 troy ounces of gold. Tick Size: Each tick is 0.10 per ounce, equating to $10 per tick per contract. Purpose: Ideal for institutional traders and large-scale hedgers. Margin: Approximately $12,500 per contract. o Micro Gold Futures (MGC): Contract Size: Represents 10 troy ounces of gold, 1/10th the size of the standard GC contract. Tick Size: Each tick is $1 per contract. Purpose: Allows smaller-scale traders to participate in gold markets with lower capital requirements. Margin: Approximately $1,250 per contract. o 1-Ounce Gold Futures (1OZ): Contract Size: Represents 1 troy ounce of gold. Tick Size: Each tick is 0.25 per ounce, equating to $0.25 per tick per contract. Purpose: Provides precision trading for retail participants who want exposure to gold at a smaller contract size. Margin: Approximately $125 per contract. Keep in mind that margin requirements vary through time as market volatility changes. 3. Daily Timeframe: Key Economic Indicators Gold Futures respond quickly to short-term economic fluctuations, and three key indicators play a crucial role in daily price movements: o Velocity of Money (M2): Measures how quickly money circulates within the economy. A higher velocity suggests increased spending and inflationary pressure, often boosting gold prices. A lower velocity indicates stagnation, which may reduce inflation concerns and weigh on gold. o Unemployment Rate: Reflects the strength of the labor market. Rising unemployment increases economic uncertainty, often driving demand for gold as a safe-haven asset. Declining unemployment can strengthen risk assets, potentially reducing gold’s appeal. o Oil Import Price Index: Represents the cost of imported crude oil, influencing inflation trends. Higher oil prices contribute to inflationary pressures, supporting gold as a hedge. Lower oil prices may ease inflation concerns, weakening gold demand. 4. Weekly Timeframe: Key Economic Indicators While daily fluctuations impact short-term traders, weekly economic data provides a broader perspective on gold price movements. The top weekly indicators include: o Nonfarm Payrolls (NFP): Measures the number of new jobs added in the U.S. economy each month. Strong NFP numbers typically strengthen the U.S. dollar and increase interest rate hike expectations, pressuring gold prices. Weak NFP figures can drive economic uncertainty, increasing gold’s safe-haven appeal. o Nonfarm Productivity: Represents labor efficiency and economic output per hour worked. Rising productivity suggests economic growth, potentially reducing demand for gold. Falling productivity can signal economic weakness, increasing gold’s appeal. o Personal Spending: Tracks consumer spending habits, influencing economic activity and inflation expectations. Higher spending can lead to inflation, often pushing gold prices higher. Lower spending suggests economic slowing, which may either weaken or support gold depending on inflationary outlooks. 5. Monthly Timeframe: Key Economic Indicators Long-term trends in Gold Futures are shaped by macroeconomic forces that impact investor sentiment, inflation expectations, and interest rates. The most influential monthly indicators include: o China GDP Growth Rate: China is one of the largest consumers of gold, both for investment and jewelry. Strong GDP growth signals robust demand for gold, pushing prices higher. Slower growth may weaken gold demand, applying downward pressure on prices. o Corporate Bond Spread (BAA - 10Y): Measures the risk premium between corporate bonds and U.S. Treasury bonds. A widening spread signals economic uncertainty, increasing demand for gold as a safe-haven asset. A narrowing spread suggests confidence in risk assets, potentially reducing gold’s appeal. o 10-Year Treasury Yield: Gold has an inverse relationship with bond yields since it does not generate interest. Rising yields increase the opportunity cost of holding gold, often leading to price declines. Falling yields make gold more attractive, leading to price appreciation. 6. Risk Management Strategies Given gold’s volatility and sensitivity to macroeconomic changes, risk management is essential for trading GC Futures. Key risk strategies may include: Monitoring Global Liquidity Conditions: Keep an eye on M2 Money Supply and inflation trends to anticipate major shifts in gold pricing. Interest Rate Sensitivity: Since gold competes with yield-bearing assets, traders should closely track interest rate movements. Higher 10-Year Treasury Yields can weaken gold’s value as a non-yielding asset. Diversification and Hedging: Traders can hedge gold positions using interest rate-sensitive assets such as bonds or inflation-linked securities. Gold often performs well in times of equity market distress, making it a commonly used portfolio diversifier. 7. Conclusion Gold Futures remain one of the most influential instruments in the global financial markets. By leveraging machine learning insights and macroeconomic data, traders can better position themselves for profitable trading opportunities. Whether trading daily, weekly, or monthly trends, understanding these indicators allows market participants to align their strategies with broader economic conditions. Stay tuned for the next "Behind the Curtain" installment, where we explore economic forces shaping another key futures market. When charting futures, the data provided could be delayed. Traders working with the ticker symbols discussed in this idea may prefer to use CME Group real-time data plan on TradingView: www.tradingview.com - This consideration is particularly important for shorter-term traders, whereas it may be less critical for those focused on longer-term trading strategies. General Disclaimer: The trade ideas presented herein are solely for illustrative purposes forming a part of a case study intended to demonstrate key principles in risk management within the context of the specific market scenarios discussed. These ideas are not to be interpreted as investment recommendations or financial advice. They do not endorse or promote any specific trading strategies, financial products, or services. The information provided is based on data believed to be reliable; however, its accuracy or completeness cannot be guaranteed. Trading in financial markets involves risks, including the potential loss of principal. Each individual should conduct their own research and consult with professional financial advisors before making any investment decisions. The author or publisher of this content bears no responsibility for any actions taken based on the information provided or for any resultant financial or other losses.
COMEX:GC1!Education
by traddictiv
The Two-Faced Market: The Truth Behind Trend Reversals!🎭 The Two-Faced Market: The Truth Behind Trend Reversals! 📊🚀 📢 Ever entered a trade thinking you caught the perfect trend , only to get stopped out as the market reversed? You're not alone. The market has a way of fooling traders—but if you understand its “two-faced” nature, you can stay one step ahead. 🔥 Why Trends Reverse (and How to Catch It Early!) Most traders believe trends reverse due to "news" or "randomness." But in reality, the market gives signals long before the turn happens. Here’s what to watch for: 🔹 Momentum Divergence: The price makes a new high, but indicators like RSI/MACD don’t. 🔹 Volume Anomaly: The trend continues, but volume dries up—a sign of weakness. 🔹 Failed Breakouts: Price breaks a key level, only to fall back inside—trapping traders. 🔹 Candlestick Clues: Reversal patterns like engulfing candles or wicks rejecting key levels appear. 🚀 Mastering these signals can put you ahead of 90% of traders. 📊 Real Example: XAU/ USD Trend Reversal in Action 🔎 Breakdown of the setup: ✅ Step 1: Identify a trend (through market structure, trendline or moving average). ✅ Step 2: Look for failed breakouts against the trend ✅ Step 3: Look for trend-following setups 🎯 The Market’s Game: Recognizing The Shift Trends don’t die suddenly—they fade before reversing. The best traders spot the early signs and position before the crowd. 💡 Have you spotted these reversal signs before? Drop a comment with your experience! 👇🔥 📚 Always follow your trading plan regarding entry, risk management, and trade management. Good luck! All Strategies Are Good; If Managed Properly! ~Rich Disclosure: I am part of Trade Nation's Influencer program and receive a monthly fee for using their TradingView charts in my analysis.
TRADENATION:XAUUSDEducation
by TheSignalyst
3
Soybean Futures Surge: ZS, ZL, and ZM Align for a Bullish MoveI. Introduction Soybean futures are showing a potentially strong upcoming bullish momentum, with ZS (Soybean Futures), ZL (Soybean Oil Futures), and ZM (Soybean Meal Futures) aligning in favor of an upward move. The recent introduction of Micro Ag Futures by CME Group has further enhanced trading opportunities by allowing traders to manage risk more effectively while engaging with longer-term setups such as weekly timeframes. Currently, all three soybean-related markets are displaying bullish candlestick patterns, accompanied by strengthening demand indicators. With RSI confirming upward momentum without entering overbought territory, traders are eyeing potential opportunities. Among the three, ZM appears to be the one which will potentially provide the greatest strength, showing resilience in price action and a favorable technical setup for a high reward-to-risk trade.   II. Technical Analysis of Soybean Markets A closer look at the price action in ZS, ZL, and ZM reveals a confluence of bullish factors: o Candlestick Patterns: All three markets have printed bullish weekly candlestick formations, signaling increased buying interest. o RSI Trends: RSI is in an uptrend across all three contracts, reinforcing the bullish outlook. Importantly, none of them are currently in overbought conditions, suggesting further upside potential. o Volume Considerations: Higher volume on up moves and decreasing volume on down-moves adds credibility to the bullish bias. III. Comparative Price Action Analysis While all three soybean-related markets are trending higher, their relative strength varies. By comparing recent weekly price action: o ZM (Soybean Meal Futures) stands out as the one which will potentially become the strongest performer. Last week, ZM closed above its prior weekly open, marking a +1.40% weekly gain. RSI is not only trending higher but is also above its average, a sign of potential continued strength. o ZS and ZL confirm bullishness but lag slightly in relative strength when compared to ZM. This comparative analysis suggests that while all three markets are bullish, ZM presents the most compelling trade setup in terms of technical confirmation and momentum. IV. Trade Setup & Forward-Looking Trade Idea Given the strong technical signals, the trade idea focuses on ZM (Soybean Meal Futures) as the primary candidate. Proposed Trade Plan: Direction: Long (Buy) Entry: Buy above last week’s high at 307.6 Target: UFO resistance at 352.0 Stop Loss: Below entry at approximately 292.8 (for a 3:1 reward-to-risk ratio) Reward-to-Risk Ratio: 3:1 Additionally, with the introduction of Micro Ag Futures, traders can now fine-tune position sizing, making it easier to manage risk effectively on longer-term charts like the weekly timeframe. Given the novelty of such micro contracts, here is a CME resource that could be useful to understand their characteristics such as contracts specs . V. Risk Management & Trade Discipline Executing a trade plan is just one part of the equation—risk management is equally critical, especially when trading larger timeframes like the weekly chart. Here are key considerations for managing risk effectively: 1. Importance of Precise Entry and Exit Levels Entering above last week’s high (307.6) ensures confirmation of bullish momentum before taking a position. The target at 352.0 (UFO resistance) provides a well-defined profit objective, avoiding speculation. A stop-loss at 292.8 is strategically placed to maintain a 3:1 reward-to-risk ratio, ensuring that potential losses remain controlled. 2. The Role of Stop Loss Orders & Hedging A stop-loss prevents excessive drawdowns in case the market moves against the position. Traders can also hedge using Micro Ag Futures to offset exposure while maintaining a bullish bias on the broader trend. 3. Avoiding Undefined Risk Exposure The Micro Ag Futures contracts enable traders to scale into or out of positions without significantly increasing risk. Position sizing should be adjusted based on account risk tolerance, ensuring no single trade overly impacts capital. 4. Adjusting for Market Volatility Monitoring volatility using ATR (Average True Range) or other risk-adjusted indicators helps in adjusting stop-loss placement. If volatility increases, a wider stop may be needed, but it should still align with a strong reward-to-risk structure. Proper risk management ensures that trades are executed with discipline, preventing emotional decision-making and maximizing long-term trading consistency. VI. Conclusion & Disclaimers Soybean futures are showing bullishness, with ZS, ZL, and ZM aligning in favor of further upside. However, among them, ZM (Soybean Meal Futures) potentially exhibits the most reliable momentum, making it the prime candidate for a high-probability trade setup. With bullish candlestick patterns, RSI trends confirming momentum, and volume supporting the move, traders have an opportunity to capitalize on this momentum while managing risk effectively using Micro Ag Futures. When charting futures, the data provided could be delayed. Traders working with the ticker symbols discussed in this idea may prefer to use CME Group real-time data plan on TradingView: www.tradingview.com - This consideration is particularly important for shorter-term traders, whereas it may be less critical for those focused on longer-term trading strategies. General Disclaimer: The trade ideas presented herein are solely for illustrative purposes forming a part of a case study intended to demonstrate key principles in risk management within the context of the specific market scenarios discussed. These ideas are not to be interpreted as investment recommendations or financial advice. They do not endorse or promote any specific trading strategies, financial products, or services. The information provided is based on data believed to be reliable; however, its accuracy or completeness cannot be guaranteed. Trading in financial markets involves risks, including the potential loss of principal. Each individual should conduct their own research and consult with professional financial advisors before making any investment decisions. The author or publisher of this content bears no responsibility for any actions taken based on the information provided or for any resultant financial or other losses.
CBOT:ZM1!Education
by traddictiv
2
How to Find Best Supply and Demand Zones/Areas in Forex & Gold In this article, I will show you the strongest supply and demand zones. These zones are called confluence zones. I will teach you to identify these areas properly and explain how to apply it in Forex and Gold trading. Let's start with a short but important theory. In technical analysis, there are 2 types of supports and resistances. Horizontal structures are supports and resistance that are based on horizontal key levels. Vertical structures are supports and resistance that are based on trend lines. A confluence supply or demand zone, will be the area of the intersection between a horizontal and vertical structures. Look at GBPJPY pair. I underlined a significant horizontal support and a rising trend line - a vertical support. We see a clear crossing of both structures. The trend line and a horizontal support will compose a narrow, contracting area. It will be a confluence demand zone. Within, with a high probability, a high volume of buying orders will concentrate, and a strong bullish movement will initiate after its test. Above is one more example of a powerful demand zone. It was spotted on a Gold chart. Now let's discuss the supply zone. There are 2 strong structures on GBPNZD: a vertical resistance - a falling trend line and a horizontal resistance. These 2 resistances will constitute a confluence supply zone. That is a powerful resistance cluster that will concentrate the selling orders. Chances will be high to see a strong bearish movement from that. There is a strong supply zone on CHFJPY that is based on the intersection of a wide horizontal resistance and a falling trend line. Supply and demand zones that we discussed are very significant. Very often, strong bullish and bearish waves will initiate from these clusters. Your ability to recognize these zones will help you to make accurate predictions and identify a safe point to open a trading position from ❤️Please, support my work with like, thank you!❤️
FOREXCOM:XAUUSDEducation
by VasilyTrader
9
Bullish & Bearish Reversal Divergence Trading in Forex🔍 Bullish & Bearish Reversal Divergence Trading in Forex: A Detailed Overview Divergence is a powerful concept in technical analysis — it helps spot potential trend reversals and momentum shifts. Let’s dive into the details with clear strategies and some visual flair! 🚀 🧠 What is Divergence? Divergence happens when price action and a technical indicator (like RSI, MACD, or Stochastic) move in opposite directions. This hints that the current trend is losing strength and a possible reversal is coming. 📈 Types of Divergence 🐂 Bullish Reversal Divergence (Buy Signal) Price: Makes lower lows ⬇️ Indicator: Makes higher lows ⬆️ Meaning: Sellers are losing momentum; buyers might take over soon. Signal: Potential uptrend reversal ahead. 🔑 Key Confirmation Tools: Support zone bounce 🛑 Bullish candlestick patterns (Hammer, Engulfing) 🕯️ Increased buying volume 📊 💡 Example Setup: RSI makes a higher low while price drops lower — prepare for a long (buy) position. 🐻 Bearish Reversal Divergence (Sell Signal) Price: Makes higher highs ⬆️ Indicator: Makes lower highs ⬇️ Meaning: Buyers are losing strength; sellers could take control. Signal: Potential downtrend reversal ahead. 🔑 Key Confirmation Tools: Resistance zone rejection 🚧 Bearish candlestick patterns (Shooting Star, Engulfing) 🌑 Increased selling volume 📉 💡 Example Setup: MACD makes a lower high while price pushes higher — prepare for a short (sell) position. 🛠️ Best Indicators for Divergence Trading RSI (Relative Strength Index) – Tracks overbought/oversold conditions. 📊 MACD (Moving Average Convergence Divergence) – Measures momentum shifts. 💥 Stochastic Oscillator – Identifies trend strength and reversals. 🎢 🎯 Divergence Trading Strategies 1️⃣ Classic Divergence Strategy Spot bullish or bearish divergence. 🔍 Confirm with support/resistance levels. 🧱 Wait for a reversal candlestick pattern (like a Doji, Engulfing, or Pin Bar). 🕯️ Enter trade with a tight stop loss below support (for buys) or above resistance (for sells). 🎯 2️⃣ Divergence + Trendline Break Strategy Draw a trendline following the current trend. 📐 Spot divergence as the trend loses strength. 🚨 Wait for a trendline breakout for extra confirmation. 💥 Enter trade on the break and retest of the trendline. 💯 3️⃣ Divergence + Moving Average Strategy Spot divergence between price and indicator. 📉 Use a moving average (MA) like the 50 EMA or 200 EMA to confirm the trend shift. 📈 Buy when price crosses above the MA after bullish divergence. 💚 Sell when price crosses below the MA after bearish divergence. ❤️ ⚠️ Common Mistakes to Avoid 🚫 Ignoring confirmation: Always wait for candle closes or breakouts. 🚫 Forcing divergence: Only trade when divergence is clear. 🚫 Skipping risk management: Use a stop loss and position sizing. 🚫 Overtrading small timeframes: Higher timeframes (4H, Daily) offer more reliable signals.
Education
by ProjectSyndicate
29
Best Strategies to Identify a Bearish Reversal in Gold Trading In this article, I will explain to you 4 efficient strategies to identify a bearish reversal with technical analysis in Gold trading. You will learn price action, SMC and technical indicator strong bearish signals. First, let me remind you that different bearish signals may indicate a different magnitude and a degree of a potential reversal. While some signals will be reliable for predicting short term reversals, some will be more accurate in projecting long-term ones. One more thing to note is that one of the best time frames for bearish reversal confirmations on Gold is the daily. So, all the cases that will be explained will be on a daily time frame strictly. XAUUSD Bearish Reversal Signal 1 - Bearish Price Action Pattern. One of the perfect indicators of the overbought state of a bullish trend on Gold is bearish price action patterns. I am talking about classic horizontal neckline based patterns like head & shoulders, inverted cup & handle, double/triple top and descending triangle. Typically, these patterns leave early bearish clues and help to predict a coming downturn movement. A strong bearish signal is a breakout of a horizontal neckline of the pattern and a candle close below. The price may continue falling at least to the next key support then. Above is the example of a head and shoulders pattern on Gold, on a daily. Its formation was the evidence of the overheated market. Bearish breakout of its neckline confirmed that, and the price continued falling. Bearish Reversal Signal 2 - Rising Channel Breakout. When the market is trading in a healthy bullish trend, it usually starts moving with the boundaries of a rising channel. It can be the expanding, parallel or contracting channel. Its support will represent a strong vertical structure , from where new bullish waves will initiate after corrections . Its breakout will quite accurately indicate a change of a market sentiment and a highly probable bearish reversal. Look at this rising parallel channel on Gold chart on a daily. The market was respecting its boundaries for more than 3 months. A bearish violation of its support was an accurate bearish signal that triggered a strong bearish movement. Bearish Reversal Signal 3 - Change of Character & Bearish Price Action. One of the main characteristics of a bullish trend is the tendency of the market to set new higher highs and higher lows. Each final high of each bullish impulse is always higher than the previous. Each final low of each bearish movement is also higher than the previous. In such a price action, the level of the l ast higher low is a very significant point. The violation of that and a formation of a new low is an important event that is called Change of Character CHoCH. It signifies the violation of a current bullish trend. After that, one should pay attention to a consequent price action, because CHoCH can easily turn into just an extended correctional movement. If the market sets a lower high and a new lower low then, it will confirm the start of a new bearish trend. That is the example of a confirmed Change of Character on Gold on a daily. To validate the start of a new bearish trend, we should let the price set a lower high and a form a bearish impulse with a new lower low. Bearish Reversal Signal 4 - Death Cross. Death cross is a strong long-term bearish reversal signal that is based on a crossover of 2 moving averages. On a daily time frame, it is usually based on a combination of 2 Simple Moving Averages: one with 50 length and one with 200 length. The signal is considered to be confirmed when a 50 length SMA crosses below 200 length SMA. It is commonly believed that it signifies that the market enters a long-term bearish trend. On the chart, I plotted 2 Moving Averages. When the blue one crosses below the orange one, a global bearish trend on Gold will be confirmed The 4 bearish signals that we discussed will be useful for predicting short term, mid term and long term bearish reversals on Gold. While price action patterns will indicate local bearish movements, Death Cross will confirm a global trend change. Learn to recognize all the signals that we discussed to make more accurate trading and investing decisions. ❤️Please, support my work with like, thank you!❤️
OANDA:XAUUSDEducation
by VasilyTrader
5
The Main Elements of Profitable Trading Strategy (Forex, Gold) There are hundreds of different trading strategies based on fundamental and technical analysis. These strategies combine different tools and trading techniques. And even though, they are so different, they all have a very similar structure. In this educational article, we will discuss 4 important elements and components every GOLD, Forex trading strategy should have. What Do You Trade 1️⃣ The first component of a trading strategy is the list of the instruments that you trade. You should know in advance what assets should be in your watch list. For example, if you are a forex trader, your strategy should define the currency pairs that you are trading among the dozens that are available. How Do You Trade 2️⃣ The second element of any trading strategy is the entry reasons. Entry reasons define the exact set of market conditions that you look for to execute the trade. For example, trading key levels with confirmation, you should wait for a test of a key level first and then look for some kind of confirmation like a formation of price action pattern before you open a trade. Above, is the example how the same Gold XAUUSD chart can be perceived differently with different trading strategies. 3️⃣ The third component of a trading strategy is the position size of your trades. Your trading strategy should define in advance the rules for calculating the lot of size of your trades. For example, with my trading strategy, I risk 1% of my trading account per trade. When I am planning the trading position, I calculate a lot size accordingly. Position Management 4️⃣ The fourth element of any trading strategy is trade management rules. By trade management, I mean the exact conditions for closing the trade in a loss, taking the profit and trailing stop loss. Trade management defines your actions when the trading position becomes active. Make sure that your trading strategy includes these 4 elements. Of course, your strategy might be more sophisticated and involve more components, but these 4 elements are the core, the foundation of any strategy. ❤️Please, support my work with like, thank you!❤️
FOREXCOM:XAUUSDEducation
by VasilyTrader
5