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💲Catch Profits in Channels💲Hello dear traders🙋🏻; I'm Pejman & this is the "How to get fish from channels" class. I guess you've heard, "Give a man a fish, and you feed him for a day🍣; teach a man to fish🎣, and you feed him for a lifetime." Like every other educational post, today I will teach you how to fish and make money from the Market River🏞️. As you know, fishing requires patience and practice, and you also have to take risks and throw bait into the water⛲. But today, together, we can use all kinds of price channels that are formed in this attractive river as a fishing net.🕸️ Our tool for fishing in the market river is technical analysis, which we discussed in previous posts. You can refer to this post and pick up your fishing rod. You must have noticed that in the financial markets, the prices have their patterns and trends, which help us to catch the best fish🐠. These patterns and specific price movements cause various trends in the market, which I explained in the market types post. Another feature of specific price patterns and trends is the creation of price channels. Of course, don't get me wrong, I don't mean TV channels📺. Although these channels are as attractive as sports channels and watching the Barcelona and Real Madrid games⚽🏟️, they have other features besides attractiveness✨. They help you to predict the area of price movement even for the future. But please don't confuse channels with a magic 8-ball🎱. Based on past trends, they can give you a sense of where the price may be headed👀. Trading without a price channel is like fishing without a net🕸️; you just guess.🤔 So, let's check the channels more closely and catch fish from them until the river is wavy.🌊 First, we need to know what the channel is.🤷🏻 Channels are like riverbanks that guide water flow, except, in this case, the channels guide the flow of candlesticks.🕯️ Price channels are made when the price is under the pressure of two ranges of supply and demand. A channel is a trading range between two trend lines in which the price of an asset moves in almost predictable directions💁🏻. A price channel is like a trend line with a friend; two are always better than one, right?🧑🏻‍🤝‍🧑🏻 They also say: "The trend is your friend, but the price channel is your guide🙏🏻." By drawing the channels, you can find the possible price path🛣️, and at the right time, your hook will be stuck on sweet and big dollars💰. Channels can be formed and used in any market with trending price changes, from stocks to forex and cryptocurrencies. Channels, like many other tools in this market, have different types. Put down your fishing rods and put on your swimsuits🩲👙; we have to dive into the next topic.🏊🏻‍♀️ ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- Dear students welcome to the types of channels class.🧑🏻‍🏫 The first lesson is ascending channels.⬆️ The ascending channel for the price is like a staircase to heaven! An ascending channel is the same as an upward trend line, with the difference that in addition to the aligned valleys🌄, the peaks⛰️ are also aligned and are formed parallel to the valleys. Both the peaks and valleys will be predictable.💁🏻 Of course, you cannot be sure what the next price move will be, but you can predict many possibilities.👀 Now that we climbed the stairs and got acquainted with the ascending channel, it is time to get acquainted with the descending channel⬇️ and do some skiing⛷️. They say: In the deepest water is the best fishing. So let's swim deeper and get to know the descending channel.🤿 The descending channel is like a waterfall, pulling down everything in its path. Candles are no exception, and when they are in a descending channel, they slide like fish🐠 in a waterfall and go lower and lower. Look for a series of Lower Highs(LH) and Lower Lows(LL) to identify descending channels. The difference between ascending and descending channels is similar to climbing🧗🏻 and skiing⛷️; Descending channels push the price down and cause lower peaks and valleys. If you were trading in one-sided markets and encountered a descending channel, my friend, just sell and run🏃🏻. But if you were in two-sided markets, you can enjoy taking short positions🔻 and fishing in this drop.🎣 The noteworthy point✨ is that the longer a channel is and the more times⏳ the price has hit any side of this channel, the more essential and reliable this channel becomes.✅ But what if the price is too tired to climb the stairs🔺😩 and not in a good mood to play on the slide🔻😒? In this case, it will be stuck between two✌🏻 horizontal trend lines and form a range or sideway channel. ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- Range channels are just like ponds. There is no exceptional water flow🌊 in a pond, and fish and other creatures can only Move inside this pond. But range channels could be more attractive and eye-catching, like ponds.🌟 Range channels make traders tired.🙍🏻 Because trading in these channels will be more difficult than in other channels, it is challenging to recognize price movements or profit from small price movements in range channels.🤷🏻 The range channel is not similar to the ascending or descending channel. Because as its name suggests, it does not have a particular trend at all and is trendless. When the price is in a channel range, the number of buyers🟢 and sellers🔴 is almost equal, and supply and demand are virtually identical. 🙅🏻Unlike ascending and descending channels, no peaks or valleys can be seen in a range channel higher or lower than its previous peaks or valleys. Range channel is created by considering two trend lines from one peak to another peak and from one valley to another valley. 👌🏻Actually, the difference between a range channel and other channels is that these peaks and valleys are equal and basically in the same direction. These channels may be permanent for river fishes🐟 and have become their home🏡, but there is no permanent channel or trend line for candles.😉 Remember that candles can leave their channel just like a bird🕊️ that jumps out of its cage or a prisoner escaping prison.🏃🏻 Do you remember in the previous posts when I talked about support and resistance lines, we said that candles could finally be released from their support or resistance prison? This case is the same.💁🏻✅ If you forget or don't know about support and resistance lines, take a breath and read this post before going to the next steps.👇🏻 The longer a channel is and the longer the price is locked in it🔒, the pressure of supply and demand on the price is more significant, and you will probably see a strong movement of the candles after the failure.💪🏻 But don't worry. You can still make money trading channels and even breakouts. In the following steps👣, I will teach you how to trade with all types of channels, as well as how to trade in breakouts.😉 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- Now you must have questions about how to draw channels.🤷🏻 Well, obviously, with a very sharp pencil✏️ and a steady hand✍🏻. Just kidding😅, you must first recognize the trend and look for regular price movements to draw channels. To catch a good fish, you must patiently monitor the price movements and look for peaks and valleys that move in the same direction.🕵🏻 You will find your channel by connecting these peaks and the valleys to each other. You need at least two✌🏻 parallel peaks and two valleys to draw a channel. But how do you know that a channel has been drawn correctly?🤔 Channels have conditions, my friend. I wrote these conditions, so pay attention when drawing the channel.😊 When you draw your channel, make sure that the upper and lower lines of the channel must be parallel. If the two channel lines are not parallel and are angled, this is a sign of your terrible drawing🤦🏻‍♀️. What kind of school🏫 did you go to where you can't draw two parallel lines?😐 I'm kidding😄, but if this happens, the pattern is no longer a trend channel but a triangle, which I discussed in previous posts. Channels and trend lines create patterns by forming different shapes, which I explained in the above post. I said the lines should be parallel but don't take a ruler📏 to measure each channel and trend line. There is nothing quite like books, my friend.😉 According to the definitions, don't expect to always find a channel 100%. In that case, you will lag behind the whole market.🙅🏻 But there is a tool with the help of which you can draw your channels correctly and lower your error percentage. ✅You can find this expression from the toolbar beside your TradingView charts. Who doesn't like to cheat sometimes? Look to the left of your charts and click on the second one from the top. New options are displayed; the fifth option from the bottom is the Parallel Channel. Select this tool and look at your chart. Use this tool wherever you can draw a channel. To draw ascending channels, you have to find two valleys with a peak between them and you can look for the second peak by drawing the parallel channel. And vice versa, to draw descending channels, you must look for two peaks with a valley between them. If you found two valleys and there were no peaks between them, something must be wrong & you should reconsider to find the right points. Finally, the task of the range channels is also straightforward🙂 When you start drawing, from peak to peak or valley to valley, the range channel will show itself, and it will not be different.😊 By default, parallel channels are also a middle line.👀 The middle line is like a negotiator between the other two lines. When the price moves from the upper band of a channel to the bottom, the middle line can mediate and supports the price.🟢 Or when the price moves from the lower band of a channel to the top, the middle line can prevent the price from moving further.🚫 Dear students🧑🏻‍🏫, now you have acquired the necessary skills, and it is time to take your sticks🪝 and come with me to the river. Before you trade and catch fish yourself, pay attention🙏🏻 to the positions I took with the help of channels to gain skills in this field because a poor worker blames his tools. There are ✌🏻two strategies for trading using channels, both of which I will teach you. ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- For example, in an ascending channel, such as trading with a support line, you can buy🟢 when the price is on the lower line of the channel and wait for it to reach the upper line of the channel and exit the positioning 🔚. In previous articles, we talked about candlestick patterns. Using these patterns, you can get help to enter and exit your positions. You can place your stop loss below the bottom line of the channel. You must indeed lose a fly to catch a trout.🎣 But always remember to be careful.😉 They say to invest what you can afford to lose. But remember to manage your Risk-Ratio and only trade after practicing and testing your strategies several times.✅ Indeed, even if the channel is downward🔻, you should only trade in the direction of the trend; as soon as the price reaches the upper line or resistance line, enter the position and take your profit💲 when you get the lower line of the channel. Of course, if you are facing a range channel, your general strategy should be to buy at the bottom and sell at the top of the channel, and it's like eating a piece of cake.🍰👌🏻 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- When the price is stuck in a channel, is it like a prisoner who can't guess whether he will finally escape by digging a tunnel or climbing over the prison walls? It is impossible to know from which side the price will eventually break its channel.🤷🏻 It seems that channels usually break against the direction of their slope, but it is always possible for a channel to break on both sides.😉 If a channel is broken, the price usually starts a significant move in the same direction as the break.🏃🏻 Did I say that the more the price is locked in a channel, the stronger it will move?💪🏻 Usually, the price can move according to the width of its channel. When the price is stuck in a channel, is it like a prisoner who can't guess whether he will finally escape by digging a tunnel or climbing over the prison walls? It is impossible to know from which side the price will eventually break its channel.🤷🏻 It seems that channels usually break against the direction of their slope, but it is always possible for a channel to break on both sides.😉 If a channel is broken, the price usually starts a significant move in the same direction as the break.🏃🏻 Did I say that the more the price is locked in a channel, the stronger it will move?💪🏻 Usually, the price can move according to the width of its channel. You can even use both strategies to trade channels.👌🏻 For example, if the price is locked in this channel, trade in the direction of the channel trend. Breaking channels is like breaking trend lines or support & resistance, and it comes with a breakout candle🚩 and a confirmation candle✅. After the breakout, if you have an open position in the trend direction of the channel, you should close it.🙅🏻 After seeing the confirmation✅ of the breakout, enter the position according to your trading strategy and follow the risk management points. For example, I would have ✌🏻two entry points. And I place my stop loss slightly above the breakout candle🔴. My first point of entry is after seeing the confirmation candle. And if the price returns🔁 to its channel for the last kiss💋, I activate my second entry point. This will reduce my Risk-Ratio, and I will have a safer position. To know that your channels are ending🔚, you should look for signs of weakness in price movements; for example, in an ascending channel, breaking below the low trend line or failing to reach higher peaks are signs of weakness. It's like the price is taking a break before going higher again. The last thing I'd like to tell you is don't try to force a price on a channel when it doesn't exist. Remember, patience is vital, and it is better to lose a trade than accept a losing trade. As said: "Sometimes the best catches are found in still waters." 🎣 ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- Conclusion : Price channels are the rails that keep asset prices on track.🛤️ Just like fishing in a river, trading requires patience, skill, and an understanding of your environment. Check and avoid being affected by market fluctuations.🙅🏻 Now you can take your fishing rod🎣. Whether you are fishing in a bullish, bearish, or range market, the right approach and tools can help you make big profits.😉💲 Remember that profit and loss are together. Profits are never permanent and remember that a bad day at fishing is better than a good day at work. Am I right?😊 For you to have more good trading days than bad days, remember that it's okay to make mistakes when drawing🖌️ those price channels. You can make up for all your mistakes by practicing and finding the right strategy. Warren Buffett says: The best investment you can make is your abilities.💪🏻 Feel free to experiment and try new strategies.✨ Don't be like a fish out of water; use the channels for swimming🏊🏻‍♀️ towards the market river. Remember what Jesse Livermore said: "Price channels are like guardrails on the highway🚧 - they keep you from going off track and help you stay on track." This post is over, but the road to the technical analysis journey is not over🧳✈️. In the following posts, I will accompany you step by step👣 and teach you other tools. Be healthy🙏🏻, profitable💲, and successful!✌🏻 Ask your questions in the comments💬 and share your opinions with me😍.
Education
by pejman_zwin
86
The Clarity of Renko'sThis is not a chart reading - and i'll keep it super short ... this is just a quick reminder that we have many powerful tools that we can use to enhance our analysis and trading outcomes.. too many that we sometimes forget to use them. The above chart shows a great example of that .. I was going thru the daily analysis and thought i should share this note with fellow TV chartists and traders. The 2 panels show 2 identical charts, same time frame, same date range, same symbol and same indicators .. the only difference, the chart on the right hand side is a Renko It's surprising to see how clearer the picture is when we analyze the chart and the price/volume action through the Renko lens. Taking for example, the 3 double/triple top formations and how they were expressed on both charts .. which chart is easier to action and trade? so the quick note here is, let's not forget about these powerful tools - and continue to leverage them as much as possible - Before initiating the next trade, check your Renko :) Note: most of my indicators and TA concepts are "Renko-friendly" ;) Notes & comments ?
NASDAQ:MSFTEducation
by RedKTrader
8
Why are only 10% of traders successful?Why are only 10% of traders successful? The popularity of exchange trading is growing rapidly today, but experience shows that only 10% of those who come to trade end up making a profit. Barrier N°1 Laziness and unwillingness to learn. Frankly, most people who want to profit from stock trading do not want to learn this. They feel sorry for the time to master the base, to practice. Having earned a couple of times on a demo account, they immediately go to trade for real money. And for this category of traders, failures are predetermined by their own attitude to the trading process. Barrier N°2 Greed and haste. "Exchange trading will make me a millionaire in just a week" - completely wrong expectations. Instead of trades with a profitability of 3-5% and a success rate of 70%, many traders are interested in trades with a profitability of 70% and a success rate of 3-5%. There is nothing surprising in the fact that such transactions do not end well. At the same time, +10% per month will increase capital very quickly if you trade systematically and do not chase fast super-profits, which always turn into losses. Barrier N°3 Mismanagement of finances. Even in the absence of a large risk of each particular trade, there is a danger of losing the profits of many previous trades by making one trade for too much. Equal lots that do not exceed 1% of the deposit are a guarantee of security. Barrier N°4 Too complicated strategy. A simple and transparent strategy is better than a complex one. It is worth striving for a yield of 60-70%, this is quite enough to consistently make a profit. The search for a "super strategy" with a 90% return is usually unsuccessful, and overly complex systems do not work very well. Barrier N°5 Wrongly organized trade. "Professional burnout" and the failures associated with it often haunt those traders who give a lot of time to work. It is advised to trade no more than 5 hours a day and conclude no more than 1-2 transactions. This will save energy and a positive attitude. Trading without drawdowns and with a stable income - exactly what you should strive for. Hope you enjoyed the content I created, You can support with your likes and comments this idea so more people can watch! ✅Disclaimer: Please be aware of the risks involved in trading. This idea was made for educational purposes only not for financial Investment Purposes. --- • Look at my ideas about interesting altcoins in the related section down below ↓ • For more ideas please hit "Like" and "Follow"!
BITSTAMP:BTCUSDEducation
by Crypto4light
28
What should I look at in the Income Statement?The famous value investor, Mohnish Pabrai , said in one of his lectures that when he visited Warren Buffett, he noticed a huge handbook with the financial statements of thousands of public companies. It's a very dull reading, isn't it? Indeed, if you focus on every statement item - you'll waste a lot of time and sooner or later fall asleep. However, if you look at the large volumes of information from the perspective of an intelligent investor, you can find great interest in the process. It is wise to identify for yourself the most important statement items and monitor them in retrospect (from quarter to quarter). In previous posts, we've broken down the major items on the Income statement and the EPS metric: Part 1: The Income statement: the place where profit lives Part 2: My precious-s-s-s EPS Let's now highlight the items that interest me first. These are: - Total revenue The growth of revenue shows that the company is doing a good job of marketing the product, it is in high demand, and the business is increasing its scale. - Gross profit This profit is identical to the concept of margin. Therefore, an increase in gross profit indicates an increase in the margin of the business, i.e. its profitability. - Operating expenses This item is a good demonstration of how the management team is dealing with cost reductions. If operating expenses are relatively low and decreasing while revenue is increasing, that's terrific work by management, and you can give it top marks. - Interest expense Interest on debts should not consume a company's profits, otherwise, it will not work for the shareholders, but for the banks. Therefore, this item should also be closely monitored. - Net income It's simple here. If a company does not make a profit for its shareholders, they will dump its shares*. *Now, of course, you can dispute with me and give the example of, let's say, Tesla shares. There was a time when they were rising, even when the company was making losses. Indeed, Elon Musk's charisma and grand plans did the trick - investors bought the company's stock at any price. You could say that our partner Mr. Market was truly crazy at the time. I'm sure you can find quite a few such examples. All such cases exist because investors believe in future profits and don't see current ones. However, it is important to remember that sooner or later Mr. Market sobers up, the hype around the company goes away, and its losses stay with you. - EPS Diluted You could say it's the money the company earns per common share. So, I'm finishing up a series of posts related to the Income statement. This statement shows how much the company earns and how much it spends over a period (quarter or year). We've also identified the items that you should definitely watch out for in this report. That's all for today. In the next post, we will break down the last of the three financial statements of a public company - the Cash Flow Statement. Goodbye and see you later!
NASDAQ:TSLAEducation
by Be_Capy
What is Bitcoin Halving?Bitcoin halving is a significant event on the Bitcoin network every four years. During this event, the block reward that miners receive for verifying transactions and adding new blocks to the blockchain is reduced by 50%. This means that the rate of new Bitcoin creation slows down, and the total supply of Bitcoin approaches its maximum limit of 21 million. Bitcoin halving is a programmed event and is built into the Bitcoin protocol to ensure that the inflation rate of Bitcoin remains controlled and predictable. The reduced rate of new Bitcoin creation and the expectation of scarcity can increase the value of Bitcoin, which has historically led to an increase in the asset's price in the months leading up to a halving event. Despite this, the market can be unpredictable, and the impact of halving Bitcoin's price is not guaranteed. However, the reduced supply of Bitcoin resulting from halving helps to maintain its value and ensure that it remains a finite and scarce asset. The previous Bitcoin halving occurred on May 11, 2020, at a block height of 630,000. At that time, the block reward for miners was reduced from 12.5 BTC to 6.25 BTC per block. This was the third halving event in Bitcoin's history, following the first halving in November 2012 and the second halving in July 2016. The next Bitcoin halving is expected to occur in march 2024, at which point the block reward will be reduced from 6.25 BTC to 3.125 BTC per block. After the first Bitcoin halving in November 2012, the price of Bitcoin increased by over 8,000% over the following year. After the second halving in July 2016, the price of Bitcoin increased by around 2,500% over the following 18 months. After the most recent halving event in May 2020, the price of Bitcoin initially experienced a slight drop but quickly recovered and went on to gain over 300% in value over the following year, reaching an all-time high of over $64,000 in April 2021. Thanks Hexa
INDEX:BTCUSDEducation
by HexaTrades
16
Understanding the Relationship between DXY Index and GoldIntroduction: The US Dollar Index (DXY) is a widely followed indicator of the value of the US dollar relative to a basket of foreign currencies. As gold is priced in US dollars, changes in the value of the dollar can have an impact on the price of gold. In this article, we will explore the relationship between the DXY index and the price of gold, and why this relationship is important for gold traders and investors. The DXY Index: The DXY index measures the value of the US dollar relative to a basket of six major currencies. These currencies include the euro, Japanese yen, British pound, Canadian dollar, Swedish krona, and Swiss franc. The index is weighted according to the amount of trade conducted between the US and the other countries represented in the basket. As such, it provides a measure of the US dollar's strength or weakness relative to these currencies. The Price of Gold: Gold is a precious metal that has been used as a store of value for thousands of years. It is traded on commodity markets around the world, and its price is quoted in US dollars per troy ounce. As gold is priced in US dollars, changes in the value of the dollar can have an impact on its price. The Relationship between the DXY Index and the Price of Gold: When the DXY index rises, it means that the US dollar is strengthening relative to the other currencies in the basket. This can make gold more expensive for investors who use other currencies to purchase it, since they will need to exchange more of their own currency to buy the same amount of gold. As a result, a rising DXY index can put downward pressure on the price of gold. Conversely, when the DXY index falls, it means that the US dollar is weakening relative to the other currencies in the basket. This can make gold relatively cheaper for investors using other currencies, which can increase demand for gold and drive up its price. Other Factors: While the DXY index is an important indicator of the value of the US dollar, it is not the only factor that influences the price of gold. Other factors, such as global economic and political developments, interest rates, and inflation, can also have a significant impact on the price of gold. For example, if there is uncertainty about the future of the global economy or if inflation is high, investors may turn to gold as a safe haven asset, regardless of the value of the US dollar. Conclusion: The relationship between the DXY index and the price of gold is an important one for gold traders and investors to understand. A rising DXY index can put downward pressure on the price of gold, while a falling DXY index can increase demand for gold and drive up its price. However, it's important to keep in mind that other factors can also have a significant impact on the price of gold. As with any investment, it's important to consider all relevant factors and do your own research before making any decisions.
TVC:DXYEducation
by FaisalFX51214
26
🏵MOVING AVERAGE TYPES🏵 🏆What Is A Moving Average: A moving average is one of the lagging technical indicators which the traders and investors use for determining the trend’s direction. It totals the data points of the chart and then divides the total by the number of data points over a specific time period for arriving at an average. It is referred to as the “moving” average as it is continually recalculated which is based on the latest price data. The moving average is used by the trader for determining support and resistance by evaluating the price movements. This indicator shows the previous price movement of the asset which the traders use to determine the potential direction of the future price move. 🏆Simple Moving Average: The SMA Is the simplest moving average that is obtained by adding the most recent data points set and then dividing the total by the number of time periods. The SMA indicator is used by traders to generate signals of when to enter or exit the trade. An SMA is a lagging indicator as it is based on the past price data for a given period that can be computed for different types of prices such as high, low, open, and close. Traders use this indicator for determining buy, sell signals. It also helps to identify support and resistance zones. 🏆 Exponential Moving Average (EMA): EMA is the other type of moving average that gives more weight to the most recent price points and makes it more responsive to recent volatility. EMA is more responsive to recent price change when compared to the SMA as it applies the same weight to all price changes in the given specific period. 🏆Most Common MA’s: • 20ema - Best for shorter time frames and volatile price movement • 50ema - Good for overall trend insight and outlook • 200ema - Best for longer time frames and larger trends 🏆KEY TAKEAWAY: While one might prefer one or the other type of MA, traders can use both to gain the trading edge. The key is to know how to use the indicator properly. I can say for myself that I use both sometimes, especially when going through my stocks watchlist and these indicators have proven to be effective despite being relatively simple. I Hope you guys learned something new today✅ Wish you all Best Of Luck👍 😇And may the odds be always in your favor😇 Do you like this post? Do you want more articles like that?
Education
by ProSignalsFx
30
Why You Should Follow the Economic CalendarWhy You Should Follow the Economic Calendar The economic calendar is an important tool for traders and investors, as it provides valuable information on important economic events. Whether you are trading stocks, commodities , currencies or any financial instrument, understanding the economic calendar can help you make informed investment decisions and increase the chances of achieving your financial goals. In this post, we will discuss why you should use and follow the economic calendar if you are a trader or investor. Stay Up-to-Date with Key Economic Announcements: The economic calendar provides a comprehensive schedule of economic releases, such as GDP reports, interest rate decisions and employment data. This information is crucial for traders and investors because it can affect the value of financial assets, making it important to stay on top of the latest publications. By using an economic calendar, you can ensure that you are always up to date with the latest developments in the world economy and can make informed investment decisions. Plan Your Trading Strategy: By monitoring key economic events and announcements, traders can plan their trading strategy in advance. For example, if an interest rate decision is expected to have a significant impact on the currency market, a trader can plan accordingly. With a thorough understanding of the economic calendar, investors can make informed decisions and increase the chances of achieving their trading goals. Avoiding surprises: The economic calendar provides information about key economic events in advance, allowing traders and investors to prepare for potential changes in the market. By being aware of upcoming economic releases, you can avoid surprises that can adversely affect your investments. Identifying trends and patterns: The economic calendar provides a historical record of past economic releases that can be used to identify trends and patterns. By analyzing this data, traders and investors can gain a more complete understanding of the market and make informed decisions. Make data-driven decisions: The economic calendar provides a wealth of data that can be used to make informed investment decisions. Traders and investors can use this data to analyze market trends and make data-driven decisions that can increase the chances of success. In conclusion, the economic calendar is a valuable tool for traders and investors. By using the economic calendar, you can stay on top of key economic announcements, plan your trading strategy, avoid surprises, identify trends and patterns, and make data-driven decisions. If you are serious about succeeding in the financial markets, make sure you follow the economic calendar understand it and use it to your advantage. 🚀 If you appreciate my work and effort put into this post, I encourage you to leave a like and follow on my profile. 🚀
OANDA:XAUUSDEducation
by InvestMate
27
Best Editors' Picks of 2022This year, we introduce the awards for the Best Editors' Picks of the year. Among the 84 selections of 2022, our PineCoders voted these four script publications as the most outstanding. Each of the authors of these four scripts will receive 50,000 TradingView coins. These are all open-source, freely available scripts, which their authors have generously chosen to publish publicly so that all Tradingviewers may use and learn from them. We are immensely grateful to these authors and all others Pine Script™ programmers contributing to our ever-growing Community Scripts . The four winners are: ​Volume Profile ​Volume Delta OI Delta Double Tap R:R Trading System Framework Next ​Pivot Projection We look forward to seeing more amazing scripts in 2023! What are Editors' Picks ? The Editors' Picks showcase the best open-source script publications selected by our PineCoders team. Many of these scripts are original and only available on TradingView. These picks are not recommendations to buy or sell anything, nor to use a specific indicator. Our aim is to highlight the most interesting recent publications to encourage learning and sharing in our community. Any open-source script publication in the Community Scripts can be picked if it is original, provides good potential value to traders, includes a helpful description, and complies with the House Rules.
AMEX:SPYEducation
by PineCoders
22
Learn Risk-Reward Ratio | Risk Management For Beginners 📚The risk-reward ratio (or risk return ratio) measures how much your potential reward (or return) is, for every dollar you risk. 📚For example: If you have a risk-reward ratio of 1:3, it means you’re risking $1 to potentially make $3. If you have a risk-reward ratio of 1:5, it means you’re risking $1 to potentially make $5. You get my point. ⚠️Now, here’s the biggest lie you’ve been told about the risk reward ratio: “You need a minimum of 1:2 risk reward ratio.” This statement is incorrect! Because the risk-reward ratio is meaningless on its own. 📚Here’s an example: Let’s say you have a risk reward ratio of 1:2 (for every trade you win, you make $2). But, your winning rate is 20%. So out of 10 trades, you have 8 losing trades and 2 winners. Let’s do the math… Total Loss = $1 * 8 = -$8 Total Gain = $2 * 2 = $4 Net loss = -$4 By now I hope you understand the risk reward ratio by itself is a meaningless metric. Instead, you must combine your risk-reward ratio with your winning rate to know whether you’ll make money in the long run (otherwise known as your expectancy). 📍THEREFORE: The key to success is the combination of the RR and Win Rate in such a fashion that yields a positive return. 📙Example: 🔘If your RR is 1:1 then you start making money with 51% win rate and above. 🔘If your RR is 1:1,5 then you start making money with 41% Win rate and above. 🔘If your RR is 1:2 then you start making money with 34% win rate and above. 🔴The higher the RR the lower is the breakeven Win Rate! Like, comment and subscribe to boost your trading! Hey traders, let me know what subject do you want to dive in in the next post?
OANDA:XAUUSDEducation
by TopTradingSignals
78
5 Things To Remember About Bull MarketsHey everyone! 👋 Bull markets are a time of optimism and growth, and they can be a great opportunity for making substantial gains. However, it's important to remember that bull markets don't last forever, and it's crucial to approach them with a healthy dose of caution while keeping your eye on your long-term goals. 🙂 Here are a few things to keep in mind when trading and investing in bull markets: 🚨 Don't get caught up in the speculative frenzy It's important to remain level-headed and avoid making impulsive decisions based on short-term gains. Take time to thoroughly research any trades you're considering. It’s always good to focus on ideas with strong fundamentals as well as technicals. 📚 Keep an eye on valuations In a bull market, it's common for prices to rise, sometimes to levels that may not be justified by a the underlying fundamentals. For investors, it can be important to keep an eye on supply and demand, valuation, and more to make sure the assets you're positioned in are reasonably priced. 🔔 Be prepared for reversals Like all good things, the Bull markets too eventually come to an end. Hence, it's essential to be prepared for a downturn. It’s always good to manage risk exposure by employing techniques such as diversification, hedging and more. 💸 Control your risk It's natural to want to hold on to the positions that are performing well, but it's important to remember that bull markets eventually come to an end. If you've made substantial gains, trailing may be a good option to lock in profits should things change quickly. Letting the winners ride by continually trailing your positions is a particularly good strategy for improving a trade’s Risk-Reward ratio. 📈 Keep a long-term perspective Trading is a marathon, not a sprint. Bull markets can be a great opportunity for gains, but it's important to keep a long-term perspective about your goals. Did you miss the big moves? Don’t get angry and make bad decisions. There will be more opportunities down the road to apply what you’ve learned. Bull markets can provide excellent opportunities, however, they must be approached with caution and with defined personal goals. Consider the risks and rewards of each investment, keep an eye on valuations, and always be prepared for a downturn. We hope you enjoyed this post! Please feel free to write any additional tips or pieces of advice in the comments section below. – Team TradingView ❤️
NASDAQ:AAPLEducation
by TradingView
70
The correlation between US Interest Rates and The US Dollar (DXYInterest rates and USD strength are positively correlated. An increase in US interest rates will typically result in a strengthening of the USD. The reason is... Foreign investors tend to flock to US assets, such as bonds and fixed bank rates for higher returns. Higher demand for US assets drives up their price, and as a result, the USD strengthens. As for the relationship between USD strength and US stock market prices, it is more complex and can have both positive and negative effects. On one hand, a strong USD can make US exports less competitive, reducing demand and potentially leading to a decrease in corporate profits. This can weigh on stock prices. On the other hand, a strong USD can attract foreign investment into US stocks, driving up demand and prices. There are other reasons for the correlation such as: Interest rate differentials When interest rates in one country are higher than in another, capital tends to flow to the country with the higher interest rates. This results in an increase in demand for the currency of the country with higher interest rates, strengthening its currency i.e US Dollar. Inflation expectations Interest rates are also closely linked to inflation expectations. When interest rates rise, it is generally expected that inflation will rise too, which makes the currency more attractive to investors. Trade flows The USD is the currency used in most international trade transactions, and as a result, changes in trade flows can have a significant impact on the value of the USD.
ECONOMICS:USINTREducation
by Timonrosso
6
What I've learned after backtesting So, I love backtesting. Recently I've found my self in a 3% drawdown and needed to figure out what the cause of it was and trading at this moment won't give me that answer. So, I decided to backtest. Here is what I found: 1. I'm overtrading my system I am a proud swing trader who got back into scalping the market in December 2022. It was mot my idea, but I thought I could handle it. I started out great, but then the market reminded me why I left the lower timeframes. 2. I'm not holding my trades long enough. Thanks Prop Firms! Since joining a prop firm my mind has been changed to holding trades for less time than I normally would. I don't mind holding trades for weeks or months, but prop firms give you time limits during evaluation periods. That was and still is a huge adjustment for me. Being a swing trader means I have to let my profits run. So, now, I've found a prop firm that will allow me to hold my trades with no time limits. 3. Not holding trades to my weekly and monthly targets. I need to see past my daily targets. Normally my daily risk to rewards are between 1:1 and 1:2. I'm in drawdown because I'm not recovering from my losses with these risk to rewards. So now, I'm only taking trades with RR over 1:2 and better. This way I'm trading less, holding longer(sometimes), and getting the best bank for my buck. Backtesting helped me see my mistakes and how to correct them. This is called fixing your strategy. Notice how I'm not changing my strategy. I'm tweaking my strategy to fit my mental capacity and trading style. If you find you're in a drawdown and can't see, stop trading and backtest what you're currently doing and find a way to stop the behavior thats causing your drawdown. Then, stop doing that particular thing so you can see better results. I pray this has helped you. Let me know your key takeaway by commenting below.
Education
by ShaquanLopez
53
Rule of the Majority SignalA "Rule of the Majority" (RM) signal occurs when one of the three main U.S stock indices; S&P 500 (SPX), Dow Jones Industrial Average (DJI), Nasdaq Composite (IXIC) makes a new high or low unaccompanied by the other two indices. The signals occur at major, intermediate and sometime short-term market turns. Because of the difused nature of stock market tops, RM signals are more likely to occur at stock market peaks as opposed to bottoms. I first observed the RM phenomenon after the major U.S stock market top in early 2000. This post illustrates an efective signal at the all-time high for U.S stocks - late 2021 and early 2022. The IXIC topped first on 11/22/21. SPX topped on 01/04/22. When the DJI made a solo new high on 01/05/22 it was an effective RM signal. The IXIC had on RM signal on 03/14/22 with its solo new low.
SP:SPXEducation
by markrivest
8
Strategy Coding E01: Adding a custom Trailing-StopIn my experience there are phases to creating a strategy. In this episode we will cover one of the most important steps: establishing an exit strategy. Exiting a position is crucial to risk management. If your entries are terrible but you have a good exit strategy, you might get by and not lose a lot of your capital. And vice-versa, if your entries are great, but your exit strategy is terrible, you my not make any profit. Concepts we will cover in this episode: Integrating an indicator value as a trailing stop. Lowering the trailing stop sensitivity by using the Average True Range (ATR). Customizing the ATR value. Brief introduction to 'modules'.
AMEX:SPYEducation
by Electrified
13
The 4 fears of every traderTrading in the financial markets, whether it be forex or cryptocurrency, can be a thrilling yet challenging experience. It requires a level of strategy, discipline, and risk tolerance to make informed decisions and reap profits. But, as traders, we are often faced with fears that can cloud our judgment and hinder our success in the market. To help you overcome these fears, we will delve into the four main categories that traders face: fear of being wrong, fear of losing money, fear of leaving money on the table, and fear of missing out. These fears can be crippling, but with the right understanding and approach, they can be conquered. Join us on a journey to understand these fears and how to overcome them, so you can become a confident, successful trader in the forex and cryptocurrency markets. Fear of being wrong The fear of being wrong is the most common obstacle for traders. It's only natural to want to be right all the time, but in the fast-paced and ever-changing world of trading, being wrong is an inevitable part of the process. But this fear can hold us back from making the bold and calculated decisions necessary for success. When we're too afraid of being wrong, we may avoid taking calculated risks, miss out on potential profits, or even make impulsive decisions based on emotions instead of data. But here's the thing: being wrong is a valuable opportunity to learn and grow as a trader. Every misstep is a chance to analyze what went wrong and improve our strategy for the next trade. So instead of letting the fear of being wrong hold you back, embrace it. Embrace the possibility of being wrong and use it as fuel to become a better trader. Remember, even the most successful traders make mistakes and face losses all the time. The key is to learn from those mistakes and come back stronger. Fear of losing money No one wants to watch their hard-earned capital disappear, but in the world of trading, losses are a fact of life. However, letting this fear control our decisions can be just as detrimental to our success as the fear of being wrong. If we're too afraid to lose money, we may be hesitant to take calculated risks, miss out on potential profits, or even exit positions prematurely. But here's the truth: losses are an integral part of the trading process and can be managed with a solid trading plan in place. By implementing risk management techniques, such as stop-loss orders, traders can minimize their losses and protect their capital. So instead of letting the fear of losing money paralyze you, turn it into a strength. Use it as motivation to develop a comprehensive trading plan that incorporates effective risk management strategies. Accept that losses are a natural part of trading, and use them as an opportunity to improve your strategies and refine your approach. Don't be afraid to lose money, be afraid of not taking advantage of opportunities to grow your wealth. Fear of leaving money on the table The fear of leaving money on the table is a tricky one, as it often arises when we're in a winning trade. It's tempting to hold on, hoping to squeeze out even more profits. But this can be a dangerous mindset that can lead to ignoring stop-losses and exposing ourselves to unnecessary risk. After all, you don't have a crystal ball ( and aren't an FOMC member ), so you should expect to buy the exact bottom and sell the exact top. Instead, you need to have a clear exit strategy in place and stick to it, no matter how much you feel like the trade can continue to go in your favor. By having a predetermined exit plan, we can lock in profits, manage risk, and avoid emotional decision-making. So, instead of succumbing to the fear of leaving money on the table, embrace discipline. Develop a solid exit strategy that balances the desire for profits with the need for risk management. Don't be afraid to lock in your profits, even if it feels like there's still money to be made. Trust in your strategy and stick to your plan, and you'll be in a better position to capitalize on future opportunities. Fear of missing out The fear of missing out (FOMO) is a feeling that all traders have faced at some point. It's especially prevalent in a volatile market, where prices are moving quickly, and it can be tempting to jump in without fully analyzing the situation. But succumbing to FOMO can lead to hasty decisions based on emotions, rather than logic, which can result in costly mistakes ( emotions causing mistakes...do you see a pattern? ). It's important to resist the temptation of FOMO and stick to your trading plan, even when the market is moving rapidly. By having a clear strategy in place and following it, we can avoid impulsive trades and make informed decisions that are grounded in logic and analysis. Take the time to thoroughly analyze each opportunity before making a decision. Trust in your strategy and stick to your plan, even when it feels like the market is passing you by. How to overcome our fears? For a brighter reader, it is easy to notice that these fears are omnipresent. No matter what you do or don't do during your trading day, you can't avoid these fears. Overcoming them is not easy, but it is essential for achieving success in the market. Here are a few pointers that can help you overcome these four fears and become more disciplined and consistent traders: Develop a reliable trading plan Having a well-defined trading plan can help us to manage our risks and make informed, rational decisions. A good trading plan should include our goals, risk management rules, and entry and exit strategies. By following our plan, we can stay disciplined and avoid making emotional decisions based on fear. Practice proper risk management Risk management is an essential part of trading, and it can help us to overcome our fear of losing money. By setting clear stop-loss levels and position sizes, we can minimize our losses and protect our capital. This can give us the confidence to take on appropriate levels of risk and pursue potential trading opportunities. Realize that your ego is the enemy How many times have you held a losing position past your stop loss and literally prayed for the break-even? Did anything fundamentally change about your position? No, you just didn't want to take the loss, am I right? See, even though we know that losses are part of the process it is still very hard for us to accept that any trade can go against us. And sometimes you do everything right, and still lose. Every trading system works with probabilities. Losses are normal. Let your ego go and stop trying to force a win out of every single position you take. ( Add this to your daily affirmation ritual if you must ) Stay focused on the long term It's easy to get caught up in the short-term movements of the market, but it's important to remember that trading is a long-term game. By focusing on our long-term goals it becomes easier to stay disciplined. Every losing day can get you closer to your long-term goal, as long as you sit down, analyze what happened, and learn from it. Take regular breaks Trading can be mentally and emotionally exhausting, and it's important to take regular breaks to recharge and refocus. By stepping away from the markets for a while, you can clear your mind and come back to our trading with a fresh perspective. This can help you avoid making rash decisions. Learn from your mistakes This is the big one. Realize that nobody is perfect, and everyone makes mistakes in their trading careers. It's important to learn from these mistakes and use them as opportunities for growth and improvement. By analyzing your past mistakes and adjusting your strategies accordingly, you can become better trader and overcome your fears. Consider automating your trading process Our trading platform does a fantastic job of keeping your emotions out of trading. You can set multiple take profits and stop losses, understand your risk-to-reward ratio, the trade's impact on your portfolio and much more before you even place the trade. You can backtest your strategies, trade them live automatically, and much much more. Leveraging technology in your favor can yield a tremendous difference in your trading results, as it did for our 15 thousand users. Conclusion The four main fears that traders face - fear of being wrong, fear of losing money, fear of leaving money on the table, and fear of missing out - can have a significant impact on our success in the markets. However, with the right approach and mindset, these fears can be overcome and transformed into positive drivers for our trading. By accepting that being wrong is a natural part of the trading process, managing our risks, having a clear exit strategy, and resisting the temptation of FOMO, we can overcome these fears and become more confident and successful traders. By doing so, we can capitalize on opportunities, make informed decisions, and achieve our trading goals. So embrace these fears, overcome them, and take control of your trading journey.
PEPPERSTONE:GER40Education
by CleoFinance
36
10 Golden rules of investing Investments are neither complex nor difficult. There is a set of golden rules that help investors stay on track to achieve their ultimate financial goals. When it comes to money management, investments play a key role in creating wealth. At first, it can be difficult for you to decide which product to choose, where to invest, how much to keep, and so on. But as you continue, you will get a better understanding of how the investment market works. Keep in mind that no matter how disciplined you are and no matter what rules you follow, investing comes with risks and you can still get back less than you invested. Here is our summary of the 10 Rules Every Investor Should Know: 1. Do your own research Don't blindly trust what someone says on the internet, make sure it's backed up by multiple credible sources. Most people are biased about the cryptocurrencies they own, so naturally they can't say anything but good things about the coins in their portfolio while attacking the ones that aren't. Do your best to understand the positives and negatives of cryptocurrencies and develop an unbiased opinion. 2. Set clear goals Knowing your financial goals and the time frame for which you are investing can help you stick to your strategy. For example, if you have long-term goals, such as saving money for your children's education or for a personal retirement that may be decades away, you may be less tempted to invest before that time. 3. Never invest in something you don't understand Before investing in any investment, take the time to research it thoroughly so you understand exactly what is involved and what the risks are. Funds, for example, issue a Key Investor Information Document (KIID) or a Key Information Document (KID) that explains the fund's main functions and fees. You must read this before investing. If you are investing in individual projects, make sure you know what the company is doing and how it plans to make money in the future. In the cryptocurrency market, projects also have various documentation, white paper, roadmap. Before investing, you need to study all this and subscribe to the social networks of the project in order to understand the general mood of the project and investors and be aware of the latest news. 4. Don't put all your eggs in one basket Today, this rule is more relevant than ever. We all know the saying "don't put all your eggs in one basket", but it's especially important to apply this rule when investing. Spreading your money across a range of different asset types and geographies means you won't be too dependent on one type of investment or region. This means that if one of them performs poorly, some of the other investments may make up for those losses, although there are no guarantees. 5. The greater the potential return, the higher the level of risk The prospect of higher returns may be attractive, but there is usually a greater risk of losing funds. Think carefully about your approach to risk. You may be more comfortable choosing less risky investments, even if returns are likely to be lower. However, remember that no investment is without risk, and there is always a chance that you can return less than you invested. If, nevertheless, the temptation to enter a highly profitable and high-risk asset eats you up from the inside - invest, however, with a very small part of your total deposit. 6. Long-term investments are not always accompanied by high returns. First of all, it is necessary to understand for ourselves what profitability we want to receive from a company or project. Reading the documentation and roadmap, we do not assume that the company will exist for decades. First of all, we argue that with due efforts, the capitalization of the project can double. Yes, it may take several years. However, the goal should be expressed in terms of percentage of profit, and not in terms of the investment period. After all, it may happen that the value of assets will return to the price values of a decade ago or, even worse, the company will simply close. 7. If something seems too good to be true, it usually is. Beware of highly speculative investments that seem too good to be true, don't follow the crowd and invest (or sell) just because other people do. For example, many investors invested in the digital currency bitcoin in the second half of 2017, when its price rose, but its value fell by half in a month. In mid-December 2017, Bitcoin was trading at almost $20,000, but by mid-January 2018, it had fallen below $10,000. Those who at that moment could not cope with stress and sold “at the bottom” lost A fortune. 8. Income reinvestment or cost averaging can help increase overall returns The DCA strategy helps to avoid asset volatility and allows you not to constantly monitor a company or project. If you are not looking for a quick return on your investment, then you may want to consider reinvesting your funds to buy more of your investment, which will potentially increase in value and increase your overall profit. Simply put, your earnings also generate a return, which is known as compound interest. However, keep in mind that reinvesting income rather than receiving it as cash means you could lose it or see its value drop. If any income you receive is automatically reinvested – for example, if you invest in shares directly and subscribe to Automatic Dividend Reinvestment (ADR) – you will also not be able to choose the price at which you will buy any additional shares, so it can be low or high. 9. Review your portfolio and rebalance Markets are constantly changing, and so are your investments. You will be investing for many years, so it is important to carry out regular checks to stay on top of your money. Sometimes your initial asset allocation can get out of balance, so you need to rebalance it. For example, the market can fluctuate in different directions, effectively changing the percentage of your investment. Do you want to work on maintaining a percentage that will help you reach your goals? If you don't take action, you can have a lot more of one asset class than another when the market fluctuates. As part of the rebalancing process, you buy or sell certain investments to return to your desired asset allocation. This can help prevent a portfolio from being too aggressive when the goal is to minimize risk. In addition, by rebalancing you will avoid having too many assets of a certain class and restore your portfolio back to the original set of assets. 10. Don't try to time the market In an ideal world, you could buy investments just before they appreciate and sell before they fall. However, no one knows which direction the stock markets will move next, so trying to predict market ups and downs can result in you buying or selling at the most inopportune times. Buying and holding investments can help you stay committed to your investments for the long term by avoiding panic decisions when the markets are volatile. If you want to start investing, use these golden rules. By using these simple investment strategies, you can make your money work for you and take care of your future. If you think that the potential reward is not worth the risk, then investing is not for you.
BITSTAMP:BTCUSDEducation
by Crypto4light
65
🟢Support🟢 & 🔴Resistance🔴 in TradingView Land !!!👨‍🏫Hello, guys🤪; I'm Pejman, and today we will change the regular TradingView to TradingView Disneyland🎡 . I want to tell the story of Snow White and the trader dwarfs. Once upon a time🌞, in the kingdom👑 of Stocktopia, there was a young princess👰‍♂️ named Snow White Charts. She was the heir to the realm of Stocktopia. Still, unlike her father, the King of Stocktopia, a successful businessman🧔‍, Princess needed help understanding the stock market. She often lost money💸. One day, while walking in the forest🌿🌲, Princess Snow White Charts stumbled upon an old house called Dwarf traders. She became curious and decided to visit this house🏠. Dwarves lived in this house🏠 whose job was to help the traders. They directed the price of different stocks by creating support and resistance lines or zones, and each dwarf was responsible for one of them. The Princess did not know anything about these lines. So she decided to stay to learn about these powerful lines. One of these dwarves, named Doc, looked older and wiser than the other dwarves. The Princess enlisted the help of Doc to learn how these lines worked. Doc was proficient in various methods of technical analysis and had an exceptional talent for simplifying complex issues😝. So he tried to teach these lines to the Princess👰‍♂️ in the simplest and best way possible. If you also want to master technical analysis like Doc before learning support and resistance lines/zones, read the following post to learn what technical analysis is. 🤓👇 Doc showed the following picture to the Princess. Can you tell what the role of support lines is before reading Doc's explanation❓👇 As you can see in the picture, the candles are placed in a downward trend, and they go down🔴 like playful children🧒🧒 playing on the slide. Doc explained that support lines are like a bouncy castle🕍 for price. When the candles reach these Lines, they'll push them up just like a trampoline; the price will grow. Remember that they prevent the price from moving too far down or falling.😅 The candles are safe on the support lines, so Sleepy sleeps peacefully. Doc believes that when a stock's price hits support lines, it can indicate a potential buying opportunity. Still, when it breaks down🔴 the support line, it can show a possible selling opportunity; but I will discuss this in the following. Now you may ask, what are resistance lines❓ The exact same question came up for Princess Snow White Charts😁. First, look at the chart below.👇 Resistance lines are like the roof of a bouncy castle. In an uptrend🟢, when the candles are happy and constantly jumping higher and higher, the resistance lines prevent them from going further. The resistance line is guarded by Goupy, who pushes the candles down🔴 like a bully, whenever the candles hit the resistance line. Let's suppose all these price lines & dwarfs want to lead candles in a particular direction. Now that you are familiar with support and resistance lines, you might have the same question as Princess👰‍♂️had again. How to recognize and find these lines❓ According to Doc, there are several ways to find these lines: Past Price Data: Sir John says: "Price data is like a roadmap, showing you where the market has been and where it might be heading." Looking at past price data is like checking the tracks of a criminal. It may be seen, but it is simply not correct. You can know how he behaved in the past because he may repeat the same behavior in the future. So, to better understand the price, you must also know its past. Even Philip Fisher also believes that: "Price data is the lens through which we can see the market's true nature." Previous Lines: By finding previous support and resistance lines, it's as if you've found a criminal's 🔫 recorded files. Price data is the story of the market, and those who ignore it are doomed to repeat their mistakes. You can't predict the future without understanding the past, and the market's past performance is the best indicator of its future performance. Wow, speak of the devil🤐, I forgot that indicators also have important points to say too. Indicators: Maybe price data is like a roadmap🚨 or past lines like a criminal recorded file. But indicators are like GPS. Indicators are the GPS of the financial markets, and they guide us to our destination and help us avoid getting lost. Indicators are the financial markets' fingerprints, revealing the underlying patterns and trends. Doc and I found some indicators helpful in identifying supply(resistance) and demand(support) zones, such as: Moving Average/Parabolic SAR/Bollinger Bands/Ichimoku Kinko Hyo/Fibonacci/Pivot point There are many ways to recognize these lines and even indicators that help you find them like an assistant, but you should still try to know and learn them yourself. For example, Doc says there are additional support and resistance lines. Like the slides in the game, they can be straight or sloping, going up🟢 or down🔴. I'm kidding, but they really have these types 🙂. In the previous pictures, I showed you only static lines. Now, look at the pictures below because I will show you all the types of these lines with examples. For example, if the support and resistance lines are like a road🛣 on the ground, they are called static support and resistance lines . Now, what if this road turns into steep ropes❓ Well, it is known that they are called dynamic support and resistance lines . For example, if you want to go mountain🗻 climbing, it is as if you are climbing with dynamic support. In general, in an upward🟢 trend, dynamic support lines like a ramp🚧 prevent the price from falling. Now that we are talking about climbing let's introduce another game🎲. The zipline🤐😄. The price decreases from the dynamic resistance lines like a zipline in downward🔴 trends. 😄 I must say that theoretically, the price will go down after hitting the dynamic resistance lines and these lines prevent price growth🟢. Dynamic resistance or support is also called a trend line. Trendlines are helpful in many parts of technical analysis, such as classical patterns. Just take a look at the below post. You will find that trend lines help us effectively identify these patterns or trade with them. That's how I am! COOL!😎😎.👇 Don't worry and don't rush because, as said: Patience is bitter, but its fruit is sweet. Soon I will teach all these patterns in future posts, but we have to go step by step together.😎😎😎 But I must add that the price is also very playful😛. The price may cross these lines, be above the resistance or below the support, and escape from them. "If price can make a credible breakout, this could be a good place to trade and make some sweet dollars," Doc whispered to Princess Snow White Charts. What is a valid breakout❗️❓ This was the question that arose in the Princess's 👰 mind, and I think it is your question as well. Imagine that the resistance line is like a prison that confines the candles. A diligent & playful candle needs the support of buyers to escape from this prison. If the buyers support it, it can get out of this prison. After escaping the breakout candle, if another candle, called the confirmation, escapes from this prison and jumps above the breakout candle, the way will be clear for other prisoners, and they can run. So a valid breakout will happen. A valid breakout is created with a strong candle called a breakout candle(such as the Marubozu candle); after that, a candle as a confirmation candle will confirm this breakout. Don't worry about selling below the Support line or buying above the resistance line. If a valid breakout has occurred, the target stock will decrease/rise further, and the trend will not stop or end anytime soon. Let's walk through an example of a valid breakout with Doc. As you can see, the price broke this line with a strong candle and made a confirmation candle. As a result, we consider this a valid breakout. If you have noticed, finally, the price went back to this line to greet the previous line. This movement is called Pullback . In general, to say that a breakout is valid, there are several conditions: Preferably, the breakout candle and the confirmation candle are the same color. The point where the breakout candle closes must be above resistance or below support. The breakout must have happened with the body of a candle, not with the candle's shadow. Even the closing point of the confirmation candle should be above the resistance breakout candle or below the support breakout candle. But I should mention that the trading volume increases when a valid breakout occurs. Now that you know a valid breakout, we can also check an invalid breakout, so dive down🔴 to the chart below. As you can see, the price tries to be playful😜😜 and break the support line. But there are no buyers to support the price for this movement, so this breakout will be temporary and short-lived. The price will soon return below the Support line. The invalid breakouts are sometimes known as bull traps or bear traps which I will explain in future posts. I advise you to only sometimes look for a straight line for support or resistance. I use support and resistance lines in my analysis to draw trend lines. But when I want to determine the support and resistance of a currency, I draw them as support and resistance zones. Using zones makes you no longer involved in each line's small & fake breaks, and you won't make mistakes with each break. Now that you have learned almost everything about these lines😎😎, it's time to start fishing and apply these tips to real trades. I have considered all the necessary items for trading with these lines in the chart below. You might understand the reason for trading by looking at the picture before reading the description. ( The First Method ) The picture shows the price below this resistance zone, and they tried to escape several times. Still, finally, when the trading volume and the number of buyers increased, it could cross its resistance zone with a strong candle(breakout candle), and then the confirmation candle formed. Now, as traders, we should place our Entry Point(EP) slightly higher than the confirmation candle. And also, be careful;😱 maybe this break is invalid, or it returns below its resistance. So we place our Stop Loss(SL) a little lower than the breakout candle. Now, look at this chart again. But I am going to teach you another method for trading. ( The Second Method ) You should only sometimes enter into a position at one point. For example, when the price returns to its resistance to greet(Pullback), it's a good time to divide your money into two parts & re-enter the position. With this, your average Entry Point will be lower, and the Risk/Reward(RR) ratio will increase. ( I know that the Risk/Reward(RR) is something that some of you are unfamiliar with, so don't worry cause I'm going to talk about it in future posts.) There is another way to trade with these lines. (The Third Method) You've got another way to trade with two Entry Points. You can enter the position when the pullback accrues; the other entry point is a little higher than the highest price before the pullback. In this method, you will be more confident about the position, but at the same time, the Risk/Reward (RR) is decreased compared to the previously mentioned methods. The Stop Loss is the same as the others. ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- Prince Snow White Charts learned all these tricks along with Doc and the other Dwarves. Excited to try this new knowledge, he immediately returned to Stocktopia😊and applied what he had learned to his trading. To his surprise, his trades became more profitable. The king was pleased with his daughter's improvement, & these lessons were taught to all the traders in the kingdom👑 of Stocktopia. From that day, Stocktopia was known as the kingdom with the most successful traders, thanks to the wisdom of Doc and Princess Snow White Charts.😊😊 Stocktopia's traders lived happily ever after, thanks to the protection and guidance provided by the Seven Dwarfs of Support.😇😇 I hope you enjoyed this story and use support and resistance lines/zones in your trading. But never forget that before using any new method, try it several times to master that method.😎😎😎. Now let's leave the world of stories and return to the real world of traders. Take advantage of the following posts. In the end, I wish you health and success.
Education
by pejman_zwin
80
HOW TO: Identify Stocks That Might Have More Significant Upside Just thought I would share one super simple way that you might be able to use the TradingView screener to look for companies that have been more significantly sold off than others and - IF - they do recover to their old previous highs which ones might have more upside potential to them. I am only using Market Cap to sort them initially in this example, but you might like to add in financials or filter them by industries or sectors or whatever your own personal criteria is. Who knows which way the market or individual stocks will continue to go. Recover or Collapse. The goal for this exercise is to simply end up with a list of stocks that you would like to keep an eye on or discuss with your professional advisor to evaluate further and to be ready for when you think its time to re-enter the market or re-balance your existing holdings. Hope you found it useful.
NASDAQ:AMZNEducation
by zAngus
5
Fitting patterns to your bias? I saw a post in twitter which marked a particular converging triangle on BTCUSDT chart on 4H timeframe (As shown below) and implying more bearishness ahead. But, is it really correct analysis? Risk of drawing patterns manually is that we can fit any pattern to price action based on our bias. To overcome this, we need to follow a standard method to draw patterns on chart. Below is my algorithm for drawing patterns. Draw zigzag on chart Find and draw a trend line joining 2 or more pivot lows where price has not breached the trend line towards downside. Find and draw a trend line joining 2 or more pivot highs where price has not breached the trend line towards upside. While drawing, trend lines can touch the pivot candle at any point. But, candles should not lie outside trend line. Take fake outs into consideration to make minor adjustments. At least one among the above trend line should join 3 or more pivots. Another one can have just two pivots. Do you see clear pattern after following these steps? If yes, then you found your pattern and also a skill to define them objectively without bias.
Education
by Trendoscope
146
TOP ASSETS of the AI NARRATIVEThe release of ChatGPT into an open test version allowed everyone to use AI for their own purposes and needs. We were able to independently evaluate all of the benefits of AI. This trend has resulted in a surge in the number of projects in the crypto industry that use AI technologies. This idea is about the most effective and promising projects. FETCH.ai A product ecosystem in which the flagship products are: CoLearn – joint creation and training of a neural network Axim – combining and analyzing ML-based data Atomix – providing stable liquidity and getting profit from the income generated by the protocol Metrics of the $FET token: Price: $0.27 ATH price:$0.9475 Market.cap: $220m ATH market.cap: $708m FDMC: $930m Over the past 2 months, the $FET token has grown 4 times. SingularityNET A network of decentralized interconnected AI that can be combined to form a single AI that outperforms separate private components. Singularity NET is also a project incubator for AI-based projects in a variety of fields. Metrics of the $AGIX token: Price: $0.2 ATH price: $1.03 Market.cap: $235m ATH market.cap:$452m FDMC: $400m Over the past 2 months, the $AGIX token has grown 2 times Artificial Liquid Intelligence A network that aims to create a metaverse called Noah's Ark in order to preserve humanity's culture, history, and collective intelligence. AlethiaAI developed iNFT technology for AI-powered NFT avatar creation, animation, and generation Metrics of the $ALI token: Price: $0.036 ATH price: $0.12 Market.cap:$58m ATH market.cap:$86m FDMC: $362m Over the past 2 months, the $ALI has grown 3 times Ocean A data monetization protocol based on ERC-721 and ERC-20 data tokens. Any user can buy and sell datasets on the project's marketplace Metrics of the $OCEAN token: Price: $0.26 ATH price:$1.7 Market.cap: $164m: ATH market.cap: $322m FDMC: $378m Over the past 2 months, the $OCEAN token has grown 2 times ORAICHAIN Layer 1 blockchain for AI-powered data economy and Oracles. Oraichain combines AI and blockchain for innovation and, as a result, should revolutionize both directions to make them compatible and integrable. Oraichain focuses on providing decentralized platforms for data and AI, standardizing methods to validate AI-based calculations on the chain, and ensuring AI correctness. In the field of blockchain, Oraichain focuses on the scalability and compatibility of its oracle solutions and services with other networks in order to expand the usefulness of the Oraichain ecosystem Metrics of the $ORA token: Price: $4.24 ATH price: $102 Market.cap: $8.7m ATH market.cap: $77m FDMC: $83.9m Over the past 2 months, the $ORAI token has grown 4 times BitTensor Bittensor is an open source protocol that provides a decentralized blockchain-based machine learning network. Machine learning models are co-taught and rewarded in TAO based on the information value they provide to the team. TAO also provides external access, allowing users to extract information from the network and tailor its activities to their needs. $TAO is not traded on DEX or CEX; the only way to purchase $TAO is through the OTC market and transfer tokens to the polkadot wallet. Since the beginning of trading in $TAO in July, the price of the token has increased nearly tenfold Conclusion The advancement of AI adoption and usage, as well as the benefits that it provides, ensures the growth of AI projects in addition to the positive market. We implement and use AI for our operational tasks as a company that wants to be successful in the market and gain advantages. Write in comments your thoughts about mentioned projects and ways of using AI for you! Thanks for reading
Education
by Samura0x
29