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TradingClue 2 - Do Your Research and Win 10 Years of Premium Welcome to TradingClue 2, the second edition of our popular cryptic treasure hunt! We know how important research, data, and planning are to markets. That's why TradingClue was created - to inspire people to do more of it. Don't ever trade or invest blindly. Do your research, dive in, and learn as much as you can. Look first, then leap. With that being said, here are your instructions to winning 10 years of Premium: 1. There are several clues hidden on TradingView - we won’t say how many - and you have to go through them in order. Once you solve one, the answer will give you the clue for the next, and so on. 2. When you’ve solved all the clues you will find a link to a form to submit your answer. Incorrect answers and multiple entries won’t be counted, so make sure you’re confident you’ve got the right answer! Only submit it once! 3. There are no ‘red herrings’ or false trails (no, the answers aren’t hidden in the T&Cs somewhere!) 4. The team at TradingView will give a few hints along the way, but - just like trading - it’s up to you to engage those little grey cells and put the work in to solve the clues. 5. You can collaborate with others and ask questions in the comments, but do not share the answer. Remember, if you figure it out and share the answer, you will actually lower your chances of winning a final prize. The prizes are: 🏆 One winner of 10 years’ free Premium access 🎉 5 x winners of 1 years’ free Premium access each ☕️ 10 x winners of our exclusive TradingView mugs The competition will close at 5 PM ET on September 30 2021 - the form will be closed at this time sharp, and no further entries will be counted. However, remember that the first prize will be drawn anonymously at random from all correct entries, so you still have the same chance of winning whenever you enter! Let’s all help each other out, but please don’t reveal the answers and ruin it for others (yes, this did happen last time). You can use the comments below to discuss. With that being said, if you read this entire post you have already made your way to the FIRST clue. The first clue is... The star of our latest promotional video has it on his profile.

Education

How to Backtest a Trading Strategy Backtesting is a manual or systematic method of determining whether a trading strategy or trading setup has been profitable in the past. A trader should backtest a strategy to help determine if a trading strategy is likely a waste of time and money, or if it shows promise and profitability in a variety of markets. While you can get software that does systematic backtesting… we prefer manual backtesting as it can be carried out by any type of trader, It is a key component in developing an effective trading strategy. There are infinite possibilities for strategies, and any slight alteration will change the results. This is why backtesting is important, as it shows whether certain parameters will work better than others. What Do I Backtest? The first thing to note is that you don’t need a full trading strategy in order to start backtesting.   For example I personally am always looking at new trading setups and candlestick formation and then backtesting them to see how effective they are.   You can test small parts of a trading strategy before putting them all together.   And of course you can and SHOULD backtest your whole trading strategy in a number of different trading situations.   How to Backtest   1) You need data to use in testing… if you are testing short term strategies on small timeframes then use at least a few weeks of trading data.  If you are using higher timeframes then you should be using years of trading data.   2. Define the strategy parameters. Entry conditions, exit conditions etc. Include as many “If X happens then I will do Y” scenarios as possible so that your strategy is repeatable.   Its essential to include risk management in these parameters too. So decide on if you are risking a percentage of your account equally on each trade, what is that percentage. If you are managing your risk in another method, clearly define it as something you are able to measure.   ALL OF THESE PARAMETERS ARE WHAT YOU ARE MEASURING AND TESTING. THESE ARE THE ELEMENTS THAT YOU CAN CHANGE TO SEE WHICH ARE MORE OR LESS PROFITABLE. 3. Use the TradingView rewind tool to go back in time and remove the predictive nature of knowing where the chart will be headed.   You could go back in time and look for trades from a year, a month or a week in the past, depending on how far back you wish to look. 4. Analyse price charts for entry and exit signals. This can be done until all trades on the chart up to the current time have been located and marked or written down  (be aware that it can take some time and be prepared that you are unlikely to be able to do all of this backtesting in one session… it could take you a few sessions of backtesting and recording the trade outcomes to fully test a strategy.) 5. Once you have competed this process, then you can start to total all of the trade results up to see how profitable or unprofitable your trading strategy / setup has been over time. What Goes Wrong in Backtesting  Typically the pitfalls and the ways that people fail at backtesting are based around not being through enough.   That could mean that people haven’t included enough data in the backtest.   It could mean that they left too many unknowns in the strategy so when using it in a live trading situation the strategy isn’t usable or realistic.  Also it could be that people don’t back test for long enough to see if the strategy is profitable or not. If you only have a small sample size of trade then even a short losing or winning streak of trades would dramatically affect the results. You need enough trades to show winning streaks, losing streaks and all between so that you can be confident that your strategy will be able to withstand those situations in live trading.   Imagine for example in your backtesting your strategy didn’t lose more than 2 trades in a row but when you start using it in live trading you get 5 losses in a row. This is a situation that hasn’t been tested so could show a different result.   The goal is to backtest for long enough and through enough so that nothing in live trading hasn’t been tested previously. While it may not be possible to fully achieve this… it should be the goal and you should feel confident enough that you have done everything possible to ensure this is the case.

Education

17:21

5 Reasons Why Investors Fail & 10 Theories of We Can Do About it Hi, welcome to this video. Most of the people lost hope in stock market as their money tied up there for a long time, or they think that after paying for investment courses they should be able to earn money from the stock market, unfortunately after 3 months, half-year even more than a year they can’t even earn back their learning fees. So, if you feel that earn money in stock market is hard, your money was tied up there, why you lose so much money in stock market, or you still can’t earn back your learning fees then this video definitely can help to avoid you from investing money to no avail and you know what to do next! Let’s start with 1st reason. Naïve • As a newbie, you are attracted by marketing wording like Financial Freedom, Secret Trading Strategy, Best Investment Class, Warren Buffett Way. • Then you thought that the tutor is 100% using the stock investment to become financial freedom. You want to be like him. • And you never really doubt about the Warren Buffett way could lead to being another Warren Buffett or not. • You were blinded by the successful testimonial but forget about the words that stay deep inside the loser’s heart. • Your logical thinking was flying away when you saw a webinar show a system or a video that can help you spot the best entry and exit point in a stock. Then after the learning, you straight away put your money in the stock market. This lead to 2nd reason call, Kupamanduka which means Frog in The Well. What you know might just tip of the iceberg. • You thought that Fundamental Analysis or Technical Analysis can use it independently. • Best company performance become your beliefs to buy the stock. Whereby there are more than 10 main factors that affect stock prices, company just one of them. • You are too focus on the Technical Indicators but leave The Way to Trade aside which is the main Key to Win the trade. • You just follow the top analyst opinion but cannot differentiate what types of analysts there are. Are they Macro analyst, Strategy analyst, Industry analyst, Individual stocks analyst or any other types that you don’t know? • You have lack of knowledge on macroeconomic factors which play a very important role that move a stock price up and down. Next will be your mentality of buying a stock, we called it Greedy • You love Bottom Fishing. • You want to sell at the Top point. • You wish to accomplish the Dream to get rich overnight in stock market. • Eventually Stock Market is your casino. The other one I called it Expectation Fog • You think that the stock price shouldn’t go down for such a long time. • You just expect that the stock price will go up again as quick as it went down, so you adding to positions once you saw white candlestick. • You keep on thinking that your favorite stock will never be disappointed you, so you ignore all the negative signs. • You simply get a few information to support your prediction of the stock and confidence that the result will become what you expect. Lastly, the reason that causes most of the people being abandoned by the stock market is Hidden Risk. You yourself are the biggest risk when you • Lack of trading discipline, • break the rules you set, • calling out your bad behavior while you losing money, • end up letting the personal feelings and emotions impact your decision-making Here are the 10 theories. First, Observe • Observe yourself when you saw the bait, find out what you need, measure the price you really need to pay. Authentication • Always raise questions that make you clear about the coin of two sides and how true of those particular statements. You don’t need other people’s success. Leap • Check out your level of knowledge in that field whenever you finished a study. The world is big, you are just not enough. Engrave • Keep the frog in mind. Your world is the well. Follow the game not yours • You need to follow the game rules not your way. Gaming • Practice to master the market. Gambling is random, stock market is value, supply, and demand. Shift • Shift your hope or expectation to reality. The result is enough for you to learn. One-sided love • Stock doesn’t know you love him/her. Only you • Only you can beat yourself. There’s must be another way to do that. Time Travel • Using your imagination to travel to your future to see what you gonna do if you win and lose for this buying decision. Conclusion, • Naïve makes you rely on the sources of learning; • Rely put you in the well; • Unrealistic grow your greed; • Fog come from your imaginary winning and your winning; • Prepare yourself from yourself; Powerful learning is your experience, let paper account practice be your partner. Everyone has their own success.

Education

The importance of sticking to the plan 👊👌As traders we are our own worst enemies! A common theory with trading is as follows. 10% is having a good strategy, 30% is having good risk management and the final 60% is psychology. If we as traders fail to address the final psychology part of the sentence above then we as traders will fail in the markets. The chart shown in this idea is EURGBP working the 30 minute time frame. The strategy is a rules based mechanical approach working a 1:1 RR to fixed stop loss and take profit targets. I know I have a proven edge with this strategy as with all my ideas the built strategy tester report is at the foot of this idea shows the strategies credentials. Position sizing is correct I trade this strategy on a stand alone account for this pair and I'm happy to risk 2% per trade of my capital from said account. So where does the psychology part come in to all this? The emojis on screen show the emotions I would of been feeling with this trade once upon a time! An emotional roller coaster! The chart shows three trades. A short which hit TP followed by a long which hit SL. Then the trade I'm using for this idea which lasted a full 13 days! But this is where sticking to the plan and the rules I set help remove that emotional roller coaster. Not sticking to that plan could of created many outcomes. I could of closed for less profit than intended as part of the plan or worse still could of cut my losses only for the trade to go on and hit TP target. The above would of then led to more emotions thus effecting my future trading decisions and choices. With each trade I enter I am comfortable with said outcome whatever that maybe. That comes from trading a proven strategy, having correct risk management and then by sticking to the rules of the trading plan for the strategy. Sticking to a plan removes any subjectivity and helps take care of the psychological side of trading. I even automate my strategies now and not checking trades every minute of the day has helped removed all those up and down feelings the emojis on the chart represent. I'll end with one final thought patience has to be part of your plan. The markets take from the impatient and give to the patient ones among us. ------------------------------------------ I try and share as many ideas as I can as and when I have time. My trades are automated so I am not sat in front of a screen daily. Jumping on random trade ideas 'willy-nilly' on Trading View trying to find that one trade that you can retire from is not a sustainable way to trade. You might get lucky, but it will always end one way. ------------------------------------------ Please hit the 👍 LIKE button if you like my ideas🙏 Also follow my profile, then you will receive a notification whenever I post a trading idea - so you don't miss them. 🙌 No one likes missing out, do they? Also, see my 'related ideas' below to see more just like this. The stats for this pair are shown below too. Thank you. Darren

Education

by pow_removetheguesswork

Classic Chart Patterns That You Need To Know Hello everyone, as we all know the market action discounts everything :) _________________________________Make sure to Like and Follow if you like the idea_________________________________ In today’s video, we are going to learn the Classic reversal and continuation chart patterns, How to identify them and when to enter a trade, and how to use stop loss and take profit with these patterns. These patterns can be found in candlestick, bar and line charts. Anyone who is interested in analyzing any market and trading in general should know these so if u don’t know them have no worries after you watch this video you will. NOTE: you should always wait for confirmation when trading with these patterns. Confirmation in all of them is breaking the pattern and the market closing above or below it. Chart Patterns are divided into 2 categories : Reversal Patterns : They indicate a high probability that the existing trend has come to an end and that there is good chance of the trend reversing direction. Continuation Patterns : They indicate a high probability that the existing trend is still active and that there is a good chance of the trend continuing in the same direction. There are 2 types of these patterns : Bearish : it means that the market is going down. Bullish : It means that the market is going up Let's Start with the Bearish Reversal Patterns : 1) Double Top (75.01%) : The double top is one of the most common reversal price patterns. The double top is defined by two nearly equal highs with some space between the touches, The pattern is complete when price breaks below the swing low point created after the first high. The pattern is considered a success when price covers the same distance following the breakout as the distance from the double high to the recent swing low point 2) Triple Top (79.33%) : The triple top is defined by three nearly equal highs with some space between the touches, The pattern is complete when price breaks below the swing low points created between the highs. The pattern is considered a success when price covers the same distance after the breakout as the distance from the triple high to the furthest swing low point 3) Head and Shoulder (83.04%) : The head and shoulders patterns are statistically the most accurate of the price action patterns. The regular head and shoulders pattern is defined by two swing highs (the shoulders) with a higher high (the head) between them. The two outer swing highs/lows don't have to be at the same price, but the closer they are to the same area the stronger the pattern generally becomes. The pattern is complete when price breaks through the "neckline" created by the two swing low points. 4) Rising Wedge (73.03%) : A wedge pattern represents a tightening price movement between the support and resistance lines. the price is hypothesized to break through the support. This means the wedge is a reversal pattern as the breakout is opposite to the general trend. Rising Wedge serves as a reversal if appeared during an uptrend . Now let's Talk about the Bullish Reversal Chart patterns : 1) Double Bottom (78.55%) : The double bottom is one of the most common reversal price patterns. The double bottom is created from two nearly equal lows, The pattern is complete when price breaks above the swing high point created by the first low. The pattern is considered a success when price covers the same distance following the breakout as the distance from the double low to the recent swing high. 2) Triple Bottom (79.33%) : he triple bottom is another variation of reversal price patterns. the triple bottom is created from three nearly equal lows, The pattern is complete when price breaks above the swing high points created between the lows. The pattern is considered a success when price covers the same distance after the breakout as the distance from the triple low to furthest swing high. 3) Inverted Head and Shoulder (83.44%) : The head and shoulders patterns are statistically the most accurate of the price action patterns, The inverted head and shoulders pattern has two swing lows with a lower low between them. The two outer swing lows don't have to be at the same price, but the closer they are to the same area the stronger the pattern generally becomes. The pattern is complete when price breaks through the "neckline" created by the two swing high points . 4) Falling Wedge (72.88%) : A wedge pattern represents a tightening price movement between the support and resistance lines. the price is hypothesized to break through the support. This means the wedge is a reversal pattern as the breakout is opposite to the general trend. Failing Wedge serves as a reversal if appeared during a downtrend Let's move on now and start talking about Bearish Continuation patterns : 1) Rising Wedge (73.03%) : The Rising Wedge in the downtrend indicates a continuation of the previous trend. It is formed when the prices are making Higher Highs and Higher Lows compared to the previous price movements. 2) Bearish Flag (67.72%) : The flag is a continuation pattern that can occur after a strong trending move. It consists of a strong bearish trending move followed by a rapid series of higher lows and higher highs, These patterns are small hesitations in strong trends. The flag pattern appears as a small rectangle that is usually tilted against the prevailing trend in price. The best flag patterns have two features: 1) a very strong run in price (near vertical) prior to the setting up of the flag and 2) a tight flag that occurs right on the upper (or lower) edge of that run. This pattern is considered successful when it breaks the lower trendline and then proceeds to cover the same distance as the prior trending move starting from the outer edge of the pattern. 3) Bearish Pennant (55.19%) : The pennant often occurs in high momentum markets after a strong trending move, but the tight price formation that occurs can lead to breakouts against the preceding trend almost as often as we get continuation. The slight difference in the price pattern formation between flags and pennants is an important distinction that can make a big difference in your trading results so it's well worth being aware of while watching the market develop during your trading day. 4) Descending Triangle (72.93%) : The triangle pattern usually occurs in trends and acts as a continuation pattern. It's defined by a bearish trending move followed by two or more equal lows with a series of lower highs. The pattern is complete when price breaks below the horizontal support area and the pattern is considered successful if price extends beyond the breakout point for at least the same distance as the pattern width And finally we have the Bullish Continuation patterns : 1) Falling Wedge (72.88%) : The Falling Wedge in the downtrend indicates a continuation of the previous trend. It is formed when the prices are making lower Highs and lower Lows compared to the previous price movements. 2) Bullish Flag (67.13%) : The flag is a continuation pattern that can occur after a strong trending move. It consists of a strong bullish trending move followed by a rapid series of lower highs and lower lows, These patterns are small hesitations in strong trends. The flag pattern appears as a small rectangle that is usually tilted against the prevailing trend in price. The best flag patterns have two features: 1) a very strong run in price (near vertical) prior to the setting up of the flag and 2) a tight flag that occurs right on the upper (or lower) edge of that run. This pattern is considered successful when it breaks the upper trendline and then proceeds to cover the same distance as the prior trending move starting from the outer edge of the pattern. 3) Bullish Pennant (54.87%) : The pennant often occurs in high momentum markets after a strong trending move, but the tight price formation that occurs can lead to breakouts against the preceding trend almost as often as we get continuation. The slight difference in the price pattern formation between flags and pennants is an important distinction that can make a big difference in your trading results so it's well worth being aware of while watching the market develop during your trading day. 4) Ascending Triangle (72.77%) : The triangle pattern usually occurs in trends and acts as a continuation pattern. It's defined by a bullish trending move followed by two or more equal highs and a series of higher lows The pattern is complete when price breaks above the horizontal support area and the pattern is considered successful if price extends beyond the breakout point for at least the same distance as the pattern width 5 Rules To Always Follow I hope that I was able to help you understand Classic Continuation and Reversal Patterns better and if you have any more questions don't hesitate to ask. This is not Financial Advice its a pure Educational video. Hit that like if you found this helpful and check out my other video about the Moving Average, Stochastic oscillator, The Dow Jones Theory, How To Trade Breakouts, The RSI , The MACD , The Bollinger Bands , The Different Types Of Trading Strategies, Candlestick Charts Part 1 & 2 and 3 links will be bellow

Education

14:15

5 Important Candle Patterns that You Need to Know 5 most important candlesticks to know! Simplicity is the key to a positive result, and many traders ignore the simplicity of using these 5 MAIN candle patterns and the importance of each of them, as well as what they are. Many traders complicate everything and make trading more complicated than necessary. Using only these 5 candle patterns together with other basics of technical analysis is all you need to successfully make money in the market! Learn to read the market like a book, read candles-it's like reading words on a page. Candlesticks are the language of the market, and to understand the market, we must be fluent in the language of the markets. Knowing exactly where to find and trade these 5 candle patterns can change your trading forever. Candlesticks combined with other methods of applying technical analysis can be incredibly powerful in understanding where financial markets can go. It is important to remember that candlestick patterns are a physical representation of human psychology and decisions made in the market. Think deeper. The candles that you see on your charts, actually give you clear signs of what the dominant side (buyers or sellers) wants to do next. ❤️ Please, support our work with like & comment! ❤️

Education

by SignalProvider

11 Education Posts For Beginners will help you so Much 11 Education Posts. and Full Course Content Here For Beginners will help you so Much Check The Description Below

Education

by GentleGoldenEngine

Updated

Patterns of possible market correction or reversal 😎Trend reversal or correction chart patterns announce a reversal of the current trend on the observed chart. The output of the figure is made, theoretically, in the opposite direction to the movement that precedes the formation of the pattern. In an uptrend, a reversal pattern indicates a bearish move. On the contrary, in a downtrend, it announces an upward movement. It works in all temporalities but, the longer the temporality of the candles, the better the pattern will do and the more effective

Education

Updated

💡🎓 The Philosophy of Technical Analysis 🎓💡 To continue awareness our art of Technical Analysis, this idea is an educational post and summary of The Philosophy of Technical Analysis, from Technical Analysis of the Financial Markets, by John J. Murphy, 1999, Page 2-5 The Philosophy of Technical Analysis 1. Market Discounts Everything The cornerstone of TA is that anything that can possibly affect the price, is reflected in the price. - All that is required is a study of price action - Price action reflects shifts in supply and demand - If demand exceeds supply, prices rise - If supply exceeds demand, prices fall The underlying forces of supply and demand are the economic fundamentals of a market. This action is the basis of all economic and fundamental forecasting. It follows then that if everything that affects market price is ultimately reflected in market price, then the study of that market price is all that is necessary. Charts themselves do not cause markets to move, they simply reflect the bullish or bearish psychology. By studying price charts and a host of supporting technical indicators, the chartist in effect lets the market tell him or her which way it is most likely to go. The chartist does not necessarily try to outsmart or outguess the market. All of the technical tools discussed later on are simply techniques used to aid the chartist in the process of studying market action. The chartist knows there are reasons why markets go up or down. He or she just doesn't believe that knowing what those reasons are is necessary in the forecasting process. 2. Price Moves in Trends The concept of trend is absolutely essential to the technical approach. The whole purpose of charting the price action of a market is to identify trends in early stages of their development for the purpose of trading in the direction of those trends. In fact, most of the techniques used in this approach are trend-following in nature, meaning that their intent is to identify and follow existing trends. - Prices move in trends, a trend in motion is more likely to continue than to reverse. - A trend in motion will continue in the same direction until it reverses. - Issac Newton's first law of motion is empirical evidence of this. This is another one of those technical claims that seems almost circular. The entire trend-following approach is predicated on riding an existing trend until it shows signs of reversing. 3. History Repeats Much of the body of technical analysis and the study of market action has to do with the study of human psychology. Chart patterns, for example, which have been identified and categorised over the past one hundred years, reflect certain pictures that appear on price charts. These pictures reveal the bullish or bearish psychology of the market. Since these patterns have worked well in the past, it is assumed that they will continue to work well in the future. They are based on the study of human psychology, which tends not to change. Another way of saying this last premise is; History repeats itself The key to understanding the future lies in a study of the past What are your thoughts? yemala

Education

Updated

China FUD History June 2009 China bans the use of digital currencies to buy real-world goods and services to curtail video-game currencies subverting the yuan. www.cnet.com December 2013 Banks banned from Bitcoin People’s Bank of China and the IT ministry orders banks not to be a part of Bitcoin transactions. But, interestingly enough, people could still be a part of Bitcoin trading. www.bbc.com March 2014 False Report of Bitcoin Ban in China A false report circulates of an outright ban on all Bitcoin transactions in China. BTC price drops. www.coindesk.com September 2017 Closure of Local Exchanges China demands the closure of local exchanges, citing cryptocurrencies in money laundering, drug trafficking, and smuggling. As a result, traders move towards overseas exchanges via VPNs. www.bbc.com techcrunch.com April 2019 Warning to Miners A draft published by the National Development and Reform Commission (NDRC) in April 2019 sought the public's opinion on a list of industries it wanted to promote or restrict. Among those it wanted to phase out: Bitcoin mining, which it said was among the sectors that did not adhere to relevant laws and regulations, were unsafe, or polluted the environment. Yet half a year later, when the final plan was published, Bitcoin mining had been removed from the list. www.reuters.com October 23, 2020 China bans people selling Crypto The world’s second-largest economy, China just recently published a draft law that seems to ban entities from issuing digital cryptos. nairametrics.com DEC 01, 2020 Authorities shut off electricity to Bitcoin miners in China’s Yunnan province Local media reports indicate electricity producers in Yunnan, China’s fourth-largest province by Bitcoin hash rate, have been ordered not to provide power to crypto mines. cointelegraph.com May 2021 Payment gateways banned The authorities ban financial institutions and payment gateways from offering services related to crypto. The authorities also warned against speculative cryptocurrency trading. June 2021 Mining crackdown The government seeks the end of Bitcoin mining hardware in the Sichuan province and Inner Mongolia, citing environmental pollution and excessive resource consumption as reasons. July 2021 CCB gets heavy China’s central bank shuts down a company that allegedly provided software services for virtual currency transactions. It also tightens the warnings for institutions. May 2021 State Own Bank In China Bans Bitcoin Transactions CITIC Bank has issued a statement prohibiting their clients to use their accounts for Bitcoin transactions. Per a Wu Blockchain report, the state-owned bank seeks to “maintain the legal currency status” of their national currency the Yuan (RMB). bitcoinist.com Jun 2021 State Council of China Reiterates Ban on Bitcoin Mining and Trading: BTC Price Drops Below $37K cryptopotato.com Chinese Search Engines Block Binance, Huobi and OKEx Various sources report that all search engine platforms in China have blocked results for major crypto exchanges u.today China’s Xinjiang and Qinghai regions ban cryptocurrency mining Xinjiang and Qinghai regions in China are now banning cryptocurrency mining after Inner Mongolia tightened its crypto mining ban last month. forkast.news Chinese central bank orders lenders to cut cryptos’ financial lifelines The People’s Bank of China has told the country’s big banks and other finance sector heavyweights to cut off financing sources for cryptocurrency transactions. forkast.news AUGUST 2021 China shuts down website and social media of high-profile blockchain center forkast.news September 2021 China's Central Bank Says All Crypto-Related Transactions Are Illegal, Bitcoin Plunges 5 Percent u.today Other sources: www.btctimes.com fintechmagazine.com

Education

Updated

Improving Consistency In Trading This is always one of the biggest challenges to becoming a full time profitable trader. Almost all traders will have a battle against becoming consistent. Its something that I definitely struggled with when starting out in my trading journey.  I would go through weeks of profitable trades and building my account and then equally go through losing streaks and essentially wiping out my wins. Or simply from one week to the next my trading results would fluctuate like crazy… This will inevitably have a detrimental effect on your trading results but more importantly it will have a major negative effect on your mentality and well being as you become more and more frustrated with inconsistent trading results. So today I wanted to sit down and go through this in topic to explain some ways to combat this problem and improve your consistency. Expectations Firstly its important to define the goal… what does consistent trading look like FOR YOU? Because believe it or not, the answer to that question is different for different people.   So, are you looking to be consistent over the course of each day? Over the course of each week?… Define a time period that is realistic for you to determine your consistency and make sure it has enough time to measure enough trades to account for wins and losses. Are you looking to be consistent in terms of profit over this period of time? Or are you looking to be consistent in terms of percentage of trades won and loss? Secondly its important to know that you WONT win every trade.. so any goal that sets out to do so won’t be realistic and won’t be achievable.   Winning 80% of your trades is a VERY consistent win rate percentage.   No Silver Bullet The honest truth is that there’s no secret formula or special sauce that will turn an inconsistent trader into a consistently profitable one overnight.  As with everything it will take gradual steps of improvement but I can share with you some methods and insights to help speed that process up.   Consistent Results Come From Consistent Processes  The main reason behind inconsistent results is that traders are using an inconsistent process for each trade they place.   If one trade is placed based on one strategy and then you are not using that same strategy on the next trade then you can expect any trading results will reflect that.   Its important to understand your strategy in trading intimately… you should have the confidence in your strategy that if you were to lose a trade, you are confident that over time your strategy will work out.   Typically this scattergun approach where traders jump from one strategy to the next is the main cause of why their results are inconsistent.   Review Your Strategy Finally you must of course have a very robust strategy to use in the first place… if the strategy you are using isn’t robust and doesn’t provide an ‘edge’ on the market… if you haven’t done the research and backtesting necessary to know your edge on the market then you can be sure that any result from using that strategy will be inconsistent.

Education

07:14

Candlestick Charts Part 3: Continuation Hello everyone, as we all know the market action discounts everything :) _________________________________Make sure to Like and Follow if you like the idea_________________________________ NOTE: some pattern could be reversal and continuation patterns depending if its in an uptrend or downtrend. Today's video will be about the Candlestick Chart : Continuation Patterns. Continuation Patterns are candlestick patterns that tend to resolve in the same direction as the prevailing trend. So lets start by talking about the different types of Patterns : Bullish Continuation Patterns Bearish Continuation Patterns And they are divided into 3 groups : Weak Patterns Reliable Patterns Strong Patterns We Start with the Strong Continuation Patterns : 1) Rising Three Methods : is a five candlestick bullish continuation pattern. The first candlestick is a large bullish candlestick that takes place during an uptrend. Then a group of two to four small body candlesticks (either bullish or bearish) retreat within the price range established by the first day’s real body bullish candlestick. The final candlestick of the pattern is another large bullish candlestick that closes above the first day’s closing price. 2) Falling Three Methods : is a five candlestick bearish continuation pattern. The first candlestick is a large bearish candlestick that takes place during a downtrend. Then a group of two to four small body candlesticks (either bullish or bearish) slowly ascend within the price range established by the first day’s real body bearish candlestick. The final candlestick of the pattern is another large bearish candlestick that closes below the first day’s closing price. 3) Deliberation in an uptrend : A deliberation structure is comprised of three Japanese candlesticks. All three are bullish (green). The first is a candlestick with a small body followed by a large full candlestick. Finally, the last candlestick also has a small body and forms a star. 4) Concealing Baby Swallow in an uptrend : The Concealing Baby Swallow is a four-line candlestick pattern, which appears so rarely. Two Black Marubozu candles appearing one after the other are very uncommon situation on the candlestick charts what limits the appearance of this pattern. Now Lets Talk about the Reliable Continuation Patterns : 1) Bullish Separating Lines : Bullish separating lines pattern is a two-candle bullish continuation candlestick pattern that comes up in the middle of a bullish trend. It indicates that the current bullish trend is about to continue after a temporary pullback. 2) Bearish Separating Lines : The bearish separating line is known as a bearish continuation pattern. The first line is a white candle that comes up as a long line in a downtrend. The second line is made up of a black candle that comes up as a long line. Both bars will open at the same price, and then the prices are separating. 3) Bullish Matching High : This pattern involves two or more matching highs. On a lower timeframe chart this pattern will look like a support or resistance being broken. Breakouts are used by traders a trigger to enter the market with the momentum of the breakout signaling a new leg of a trend. 4) Bearish Matching Low : This pattern involves two or more matching lows which if broken is a signal that there will be a resumption of the current trend. 5) Upside Tasuki Gap : It is a bullish continuation candlestick pattern which is formed in an ongoing uptrend. This candlestick pattern consists of three candles, the first candlestick is a long-bodied bullish candlestick, and the second candlestick is also a bullish candlestick formed after a gap up. The third candlestick is a bearish candle that closes in the gap formed between these first two bullish candles. 6) Downside Tasuki Gap : Downside Tasuki Gap is a bearish continuation pattern that forms in the middle of a downtrend. The first candle is bearish, and is followed by a negative gap and another bearish candle. The third candle is bullish and closes right in the gap between the first two bars. And Last but not least The Weak Continuation Patterns : 1) Advance Block : The advance block is a three bar pattern. The pattern appears as a block of three white, rising candlesticks, each with a shorter body than the last. The candles should not have overly long shadows as these can sometimes develop into other pattern types such shooting stars and hanging men. 2) Stick Sandwich : The stick sandwich candlestick pattern can occur in both bull and bear markets. The stick sandwich candlestick pattern consists of three candlesticks, where one candlestick has an opposite colored candlestick on both sides. The closing prices of the two candlesticks that surround the opposite colored candlestick must be same. 3) Bullish Side by Side White Lines : – It occurs during an Uptrend; confirmation is required by the candles that follow the Pattern. – The First Candle is white. – Then there is a Gap Up between the First and Second Candle. – The Second and Third Candle are white, their Real Bodies have the same length; moreover they have the Open at the same level (More or less) and is above the Real Body of the First Candle. 4) Bearish Side by Side White Lines : – It occurs during a Downtrend; confirmation is required by the candles that follow the Pattern. – The First Candle is black. – Then there is a Gap Down between the First and Second Candle. – The Second and Third Candle are white, their Real Bodies have the same length; moreover they have the Open at the same level (More or less) and is below the Real Body of the First Candle. 5) Bullish On Neck Line: The on neck candlestick is a continuation pattern. In an on neck pattern, the first candle is Bullish and the second one is Bearish. The first candle’s body is long while the second one is shorter. The second candle closes near the first one or close to the first candle. The pattern gets its name because at the point where the closing prices of the two are nearly the same or same, it forms a horizontal line which looks like a neck or a neckline. 6) Bearish On Neck line : The on neck candlestick is a continuation pattern. In an on neck pattern, the first candle is bearish and the second one is bullish. The first candle’s body is long while the second one is shorter. The second candle closes near the first one or close to the first candle. The pattern gets its name because at the point where the closing prices of the two are nearly the same or same, it forms a horizontal line which looks like a neck or a neckline. I hope that I was able to help you understand Continuation Patterns in Candlestick Charts better and if you have any more questions don't hesitate to ask. Hit that like if you found this helpful and check out my other video about the Moving Average, Stochastic oscillator, The Dow Jones Theory, How To Trade Breakouts, The RSI , The MACD , The Bollinger Bands , The Different Types Of Trading Strategies, Candlestick Charts Part 1 & 2 links will be bellow

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GANN Theory Finally Completed Strategy I took a couple of months off to read a book i found on Amazon on Andrew Gann the inventor of GANN theory. After finishing his article i theorized that it could be transformed in these modern times. This will a Membership to perform, Alerts mean allot to people that want to automate the thought process behind this. Please note that i am not a paid person posting this, i been trading for 16 years ever since i graduated from High School, I went to college to understand Pattern Recognition. Believe it or not there is a pattern to every aspect of our Lives. I have the MTF Support and Resistance from Annan Set to Daily . Poor Mans Volume Profile ___ this is critical for plotting the GANN BOX onto the Charts with little to no thought process. To plot the GANN BOX (not the GANN fix Box or the GANN angles) You are taking the Gann Box Placing it on the Poor Mans Volume Profile DAILY chart. For an Uptrend you go UP 2 and right 2 , you'll understand when you plot it. For Down Trend down 2 right 2 . Sideways (rangebound) oddly special one. Up 1 Right 2 Down 1 Right 2 . When your plotting on the charts LOCK the Gann on the chart. I use Daily Right 2 because i set it at the beginning of the MONTH and its good for until the NEXT month. you set alerts on the GANN FIB LINES. (ENTRYS) BASED... If you are having issues with plotting this LET ME KNOW... its gets very automated when you plotting it. The Poor Mans Volume Profile takes the calculations out of the picture. Posting a picture of the Points your going up or down 2. How you Plot it on the Poor Mans Volume Profile. last step is to LOCK it on the Daily CHART. Alerts need to the be set on the 2 of the Gann Lines. ( set to Crossing ) Subscription premium allow you to set an unexpired alert. If you want to Swing with this strategy. You have to do something different by Anchoring on the Weekly and trading on the 30 min or 1hr you can swing with this. But as yourself are you going to swing or are you going to Day-trade this. Stop loss is a very touchie subject that everyone should think about doing... Personally i use 4 different methods Count 5 bars back, last Swing point, or Halfway between the two fibs of entry. if i am feeling lucky just on the other side of the Fib Entry point. * the Lucky part of this one is if it goes bad you have a very LOW LOW risk of loosing allot of hard earned capital. Generally I will use the 5 bars back method. CM- Slingshot set to Conservative. Next 2 will be the Exits on the Trades and Indicators to take the Trade. DYNAMIC RSI - DRSI for short just tweak the color on this one, from DreadBlitz. ____ MTF RSI from Chris Moody 14 70 30 D D 30 ___ set a color where you can see the MidPoint. NOTE: When Entering you are looking at the Chart___ when it crosses the GANN FIB line. after the Bar completes, look at the DRSI and MTF RSI midpoint cross. (after the Cross has Happen and you can Confirm it on both u can now Enter the Trade.) The exit point is when the DRSI goes Solid Filled color, secondly this effect will be happening on the MTF RSI. I take all of my trades on the 15min timeframe with an Anchor on the Daily Chart. Anchor meaning MTF MTF MTF MTF all of them are set to the daily. I want to make thoughtful readings based on the Daily Overall proceedings of the market direction.

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Triangle Patterns - Advanced Analysis Chart patterns describe distinct structures in financial time series. Their occurrence helps technical analysts predict future price variations. Triangle patterns form a part of the most studied patterns by technical analysts and have been well documented over the years, with some even applied to climate time-series data (1). In this post, we perform an analysis of ascending, descending, and symmetrical triangles patterns. We provide a description of each pattern and its implications, as well as a model of the price variation within each described pattern. We also review the literature in order to find their deterministic cause. To knowledgeable investors, chart patterns are not squiggles on a price chart; they are the footprints of the smart money. - Bulkowski (2) 1. Ascending Triangles Ascending triangles are characterized by a series of rising local minima (higher lows) and a series of local maxima staying at a relatively fixed level. A line is drawn from the rising minima, forming an upward sloping support line. Another line is drawn from the maxima, forming a horizontal resistance line. The apex represents the point where both lines intersect. Ascending Triangles have a bullish bias. Once the price breaks the resistance line we can expect a rapid increase of the price. This breakout is often accompanied by an increase in volume, while the volume prior to the breakout was declining. Note that this is not a pre-requisite. Example of ascending triangle on CALX daily. 2. Descending Triangles Descending triangles are characterized by a series of declining local maxima (lower highs) and a series of local minima staying at a relatively fixed level. A line is drawn from the declining maxima, forming a downward sloping resistance line. Another line is drawn from the minimal, forming a horizontal support line. Descending Triangles have a bearish bias. Once the price breaks the support line we can expect a rapid decrease of the price. Like ascending triangles, this breakout is often accompanied by an increase in volume, while the volume prior to the breakout was declining. Example of descending triangle on CORN daily. 3. Symmetrical Triangles Symmetrical triangles are characterized by a series of declining local maxima (lower highs) and a series of increasing local minima (higher lows). A line is drawn from the declining maxima, forming a downward sloping resistance line. Another line is drawn from the minima, forming an upward sloping support line. Both support and resistance lines should have an approximately equal slope. Symmetrical triangles do not have a particular bullish or bearish bias, and are sometimes used to indicate market uncertainty. The expected outcomes depend on where a breakout is occurs. If the price breaks the resistance, we can expect an increase of the price, while a breakout of the support can be followed by a decrease of the price. Example of symmetrical triangle on PFO daily. 4. Pattern Modelling Describing price variations within patterns with a general mathematical formulation can help us describe more complex occurrences of the patterns. Consider the price within a valid triangle as y'(t) , with support S(t) and resistance R(t) . We can describe y'(t) as follows: y' = S + A × (R - S ) + e with A(t) approximately periodic and in an approximate range (0,1) and e(t) as noisy component. We can see that A(t) is subject to linear damping (the amplitude of price variations within the triangle tend to reduce linearly over time). This model is very general and can be further developed, but it can be used as the basis for assessing the validity of triangle patterns in the next section. 5. Pattern Validity The validity of a triangle pattern can depend on a wide variety of factors and can change from analyst to analyst. The price concentration around the support/resistance should be relatively even, that is price should fill the triangle (as described by Bulkowski). Bulkowski strongly suggests at least two minor highs and two minor lows should be inside the triangle formation. An additional filter is introduced by Bulkowski, the 5% failure , suggesting that a breakout should have a relative distance superior to 5% from the broken line in order to avoid reversals. Our previous model can be used to determine the validity of a potential triangle pattern. The apex angle is directly related to the magnitude of A(t) and e(t) , with lower angle values returning a lower signal to noise ratio. This is bad since A(t) is an essential component for the structure of the triangle. If A(t) ≈ e(t) then we cannot validate the presence of a triangle pattern, since it is more likely to have been the result of noise. 6. Measure Rule The measure rule allows anticipating the magnitude of a breakout. This allows the trader to easily set take profit/stop losses, which enables a higher control over the risk a trader would be taking trading a triangle pattern. For ascending triangles the predicted magnitude of a breakout is equal to the value of the resistance minus the first local minima inside the triangle. For descending triangles the predicted magnitude of a breakout is equal to the value of the first local maxima inside the triangle minus the support value. For symmetrical triangles, the predicted magnitude of a breakout is equal to the highest local maxima inside the triangle minus the lowest local minima inside the triangle. We can see that for ascending and descending triangles, a breakout of the non-horizontal line would imply a weaker breakout the closer the price is to the apex. In fact, the breakout magnitude would decay linearly. This is also true for symmetrical triangles. This is mentioned by Fisher (3): - The more the price moves to the very end of a triangle, the weaker will be the breakout in either direction. 7. Theoretical Explanation Of The Occurrence Of Triangle Patterns Explaining the presence of patterns in financial time series is a challenging task. Under a purely efficient market the presence of patterns would simply be the realization of random fluctuations. A more challenging question would be: "how could market participants cause triangle patterns?" If we assume that market participants cause the patterns, we know from the pattern descriptions that a mechanism inducing damped oscillatory variations exists. This oscillation is explained by Caginalp and Balenovich by two groups having asymmetric information/opinions (4). Certain analysts describe triangle patterns as a temporary control switch between sellers and buyers, with scenarios being determined by the amount of energy exhausted by buyers and sellers. 8. Conclusion In this post, we provided a description of triangle patterns. We highlighted the link between the signal-to-noise ratio and the apex angle of a triangle in order to determine its validity, as well as the measure rule for predicting the magnitude of a breakout. We finally briefly mentioned the theoretical explanation behind the occurrence of triangles patterns in the market. This subject is complex and lacks further research, we highly recommend reading Caginalp & Balevonich on the subject. Bulkowski offers an extensive number of statistics regarding triangles in his encyclopedia of chart patterns. 9. References (1) Kaiser, J. (2016). Chart Pattern in Climate Time Series Data . Urban & Regional Resilience eJournal. (2) Bulkowski, T. N. (2021). Encyclopedia of chart patterns . John Wiley & Sons. (3) Fischer, R., & Fischer, J. (2003). Candlesticks, Fibonacci, and chart pattern trading tools: a synergistic strategy to enhance profits and reduce risk (Vol. 209). John Wiley & Sons. (4) Caginalp, G., & Balevonich, D. (2003). A Theoretical Foundation for Technical Analysis . Capital Markets: Market Microstructure eJournal.

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What is the relative strength index? - Guide Part 40 The RSI is an oscillator type indicator that reflects the relative strength of bullish movements, compared to bearish movements. It is used by traders to measure the strength of a trend and detect end-of-trend signals. The RSI indicator provides valuable market information and trading signals. Measures the interaction between up and down movements, and normalizes the calculation so that the index fluctuates in a range from 0 to 100. RSI Formula Contrary to many opinions, the RSI indicator is a leading indicator among stock market indicators. The RSI formula has 2 equations present that are involved in solving the formula. The equation of the first element receives the initial relative strength cost (RS), which is the average of the bullish closes above the average of the bearish closes, during a period "N" represented in the following calculation: RS = Exponential moving average of 'N' bullish periods / Exponential moving average of 'N' bearish periods (in absolute cost). The cost of the RSI indicator is calculated by indexing the indicator to 100 using the following formula: RSI = 100 - (100/1 + RS). Interpret RSI - How the RSI indicator works The RSI indicator is valid for any asset and any time horizon. As we have already said, it suggests the relative strength left to the asset in question. It comprises 2 static lines, at 30 and 70 (although a line can be increased by 50 to give extra information) and a moving average (RSI average). This average is what serves as a point of reference. The RSI indicator window could be as follows: How to interpret the RSI? • RSI indicator around degree 30: reflects oversold levels, as well as suggests that costs have accumulated relative strength. In this situation, we are talking about a situation in which costs have fallen sharply and now displacement could lose steam. • RSI indicator around degree 70: reflects overbought levels, as well as also suggests that costs do not have accumulated relative strength. This is a situation where costs have risen sharply and displacement is likely to weaken. • The RSI indicator oscillates horizontally around the 50 degree: it assumes that the market is lacking a trend. The 50 degree is the middle line that separates the bullish and bearish countries of the indicator. It should be noted that in other terms it is configured by default. The closer the degree is to the 100 area, the fewer trading signals will be identified by the RSI indicator. The closer you are to the 50 degree, the more signals you will have (including false signals). Therefore, this trading indicator gives data about the direction of the market trend, but also (and above all) about its strength. This will help the stock market investor to decide whether he wants to continue the trend or, on the other hand, to monitor a change in trend to change direction. It should be considered that once costs are overbought and / or oversold, it is once aggressive scenarios are commonly seen in the same direction, that is, if we see overbought in cost, it is feasible that we see an aggressive upward scenario. and, on the other hand, if costs remain oversold, costs have the possibility of interpreting an aggressive downward scenario. RSI Technical Study - Interaction of RSI with Trend Lines The design of the RSI trend lines uses the same methodological concepts as in the cost curves. You simply have to connect the vertices of the RSI indicator and trade the separation on the trend line. • To draw an uptrend line on the indicator, you must connect 2 or 3 or more vertices of the RSI indicator while increasingly higher views appear. • However, a descending line is drawn connecting 3 or more peaks as the viewpoints descend. The separation of a trend line from the RSI could indicate a viable continuation or reversal of costs. Make sure that the dissolution of a trend line in the indicator frequently precedes the dissolution of a trend line in the main chart of your asset, thus providing an advance warning and a possibility to anticipate the movement and establish the trend. • RSI example: technical study with trend lines Is the RSI 14 the best option? Several scalping traders will trade RSI 14. But what does RSI 14 mean? Simply that you select 14 periods in the indicator settings once you add it to your Tradingview chart. Therefore, you can choose the number of periods yourself in the RSI calculation. The shorter the number of periods, the faster the RSI will follow the current market trend. • For a 9 RSI on a 1 minute chart: the RSI indicator corresponds to the average of the last 9 min. • For a 14 RSI on a 5 min chart: the RSI indicator is the average of the last 70 min. • For a 25 RSI on a 1 day chart: the RSI is the average of the last 25 days. Advantages and disadvantages of the RSI indicator The main advantages of the RSI indicator are: • This indicator makes it possible to see at a glance if the market is in overbought or oversold zones • It is simple to interpret • It enables you to easily decide a trend in the stock market • It is a very effective technical indicator in short-term trading, especially for scalping. • Experienced traders mainly find that their performance is greatly enhanced by the conjunction of the RSI indicator tactic and pivot points. • This indicator is constantly also combined with other technical study tools, such as MACD or stochastic. The disadvantages: • The RSI in the stock market is not a miracle solution to continually succeed in the stock market • Like any other technical indicator, it can also offer wrong trading signals. • Less accurate when used in markets with low volatility • In a market with a deep trend, the RSI can remain in the same overbought or oversold area for a long time. • For all the markets in which you want to invest, you need to detect the appropriate RSI setting.

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by UnknownUnicorn18500526

How To: Combine Technicals & Fundamentals To Find Great Stocks With the markets taking a bit of a battering, I thought I'd show you some more of TradingViews advanced tools to perhaps help you find better quality stocks that might be more resilient to these corrections by combining both Technical Analysis indicators along with some really easy to understand at a glance Fundamental Analysis metrics. In this video I will cover: 1. How to use the TradingView Screener to find good stocks which didn't pull back much or even went up against the overall market pull back. 2. How to use Moving Averages to find stocks with lower volatility that might be better for buy and hold type investors. 3. How to use the TradingView Income Statement summary tool to quickly identify and help shortlist stocks with better overall fundamentals. 4. How to see using the TradingView Post Market data which stocks are already being bought back into AFTER the market has closed. 5. How to flag the ones you like and then save them into a TradingView Watchlist you can then review later. 6. How to save your TradingView Screener set up, and have any new stocks matching your criteria to be automatically emailed to you.

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The Reasons We Follow An Algorithmic-Systematic Approach To All We have been trading and investing in markets for decades since the early 1980s. Experienced and successful traders and market participants tend to remember their losses and mistakes instead of victories. Profits feed the ego; losses are teachers for those who realize that valuable lessons come from adversity instead of triumph. Everyone has an opinion- The only objective measure is the current price The trend is your only friend- News, experts, and all other information are subjective Trading and investing can be stressful A plan and discipline are the building blocks for success You have to be in to win- Drawdowns are a part of any trading or investing system A batting average of .300 is good enough to get a professional baseball player into the Hall of Fame in Cooperstown, New York. Each time a future hall of Famer steps up to the plate, a success rate of below 30% is good enough for infamy. Trading and investing are similar. No one is correct in their market calls all of the time. When approaching any market, there are always three potential outcomes, a profit, a loss, or a breakeven. The success rate of calling a market correctly takes a back seat to other factors. We have seen market participants who have had the foresight to call the market correctly 75% of the time and still wind up losing money. Conversely, a seasoned trader can be right 20% of the time and still make an overall profit. I usually write about specific markets on Trading View, but it is essential to look at the methodology, mindset, and path to growing capital over time this week. We follow an algorithmic-systematic approach to trading and investing. Our models come from decades of experience and the knowledge gained from mistakes that led to losses. We all have the same goal; to make money and grow our capital. The route to achieving the goal is what separates the winners from the losers. Everyone has an opinion- The only objective measure is the current price I am sure we have all heard an “expert” or pundit tell us that the current price of an asset is wrong. They may provide many compelling and convincing reasons, but they are 100% wrong when challenging a price level. An asset price at any moment in time is always the correct price for one objective reason. It is the level where buyers and sellers meet in a transparent environment, the market. The “experts” and pundits take a subjective leap of faith when using the terms expensive or cheap. Too many variables establish a price. The only accurate measure of value is the current price itself. The trend is your only friend- News, experts, and all other information are subjective Prices are snapshots. Trends are the living and breathing extension of price action. Many market participants become junkies, watching each news event, “expert” forecast, and other exogenous events that could push asset prices higher or lower. They make investment or trading decisions based on what they hear and see. The approach is flawed for three significant reasons: Trading off what one sees and hears is stale before it reaches our ears and eyes. Others have seen the news or forecast before us, and some had seen it before it appeared on a medium for all to see. The translation of an event, forecast, or news item is purely subjective as it assumes, we will make a correct analysis. The expression “buy the rumor and sell the news” or the converse runs counter to even the most complete analytical decision-making approach. Finally, reacting to any stimulus involves a primary human response, emotion. Emotions are a trader or investor’s worst enemy. They trigger responses and decisions based on fear and greed, a deadly duo that increases the chances of mistakes, miscalculations, and irrational behavior. A market’s trend is purely objective as it reflects the path of least resistance of a price based on market consensus and sentiment. Prices tend to move to levels on the upside and downside that can defy logic, run counter to reason and are not rational. Trend following blocks out logic, reason, and rational thought and favors one of the leading theories of physics. Newton’s first law states that a body at rest will remain at rest unless an outside force acts on it, and a body in motion at a constant velocity will remain in motion in a straight line unless acted upon by an external force. Trend following embodies Newton’s first law of physics. Asset prices reflect the market’s sentiment, which is the inertia that drives those prices. If Sir Isaac Newton were a modern-day trader or investor, his mantra would be the trend is your only friend as it is compatible with his first law. The physical sciences are objective. Trading and investing can be stressful We have found that decision-making creates stress. When we buy or sell an asset based on anything but the market’s trend, we make a subjective judgment. The attempt to buy at the bottom or sell at the top is a value judgment that runs counter to logic as it implies the sentiment and current prices are incorrect, a fatal flaw. Sometimes some market participants get lucky, but that only reinforces a strategy that leads to future mistakes. Picking tops or bottoms in a market is a strategy that rewards the ego as it gratifies that one called the market correctly. However, ego and vanity lead us down a dangerous path. In the 1997 film, The Devil’s Advocate, Al Pacino, the actor who played Satan, said, “Vanity-definitely my favorite sin.” Reducing stress comes from following the path of least resistance. We use an algorithmic, systematic approach to trading based on models that remain long during a bullish trend and short during a bearish one. We never miss a significant trend as we are constantly long or short the assets in our portfolio. We do not adjust our risk positions on an intra-day basis. We only reverse risk positions based on closing prices at the end of a session and execute the position at the start of the next session. Our proprietary models come from decades of trading and investing experience in a wide range of markets across all asset classes. We never look to sell tops or buy bottoms. We are long at the top and short at the bottom. However, we tend to capture significant trends, taking the filet mignon out of price trends. We have found that our mechanical approach, with a better than even-money win rate, reduces stress as it takes any decision-making out of the equation. The only job is to follow the rules, always remaining in the markets on the long or short side and reversing positions based on the model’s instructions. A plan and discipline are the building blocks for success Emotions lead to impulsive behavior. Acting on impulse leaves little or no time for planning and throws discipline out of the window. Albert Einstein said that the definition of insanity is doing the same thing repeatedly and expecting a different result. Impulsive decision-making is the root of Einstein’s insanity definition. Any risk position in any market must have a plan, which is simply balancing the financial risk versus the potential reward. Before pressing the buy or sell button, we must establish risk parameters for trades or investments when not following an algorithmic approach. The discipline is following the plan. Many market participants run into problems when a risk position goes against them, and they have no plan for risk and reward, or they modify it to allow them to stick with a wrong decision. Turning a short-term trade into a long-term investment is a common mistake. The mistake comes from a subjective call that the market price is incorrect. A way to prevent this is to remind yourself that the market price is always the correct price. We are often wrong; the market is never wrong. You have to be in to win- Drawdowns are a part of any trading or investing system We are constantly long or short the highly liquid assets in our investment portfolio because we never know when a significant trend will begin. Being in a risk position that follows trends is the only way to catch the bulk of a bullish or bearish trend. Drawdowns or losses are a part of life and any trading or investment approach. A choppy market near the high or low end of a trend will result in short-term losses. However, that is the price for capturing the long-term trend. There is no free lunch in life, and the same goes for trading and investing. The goal is always the same for every market participant, to make money over time and build wealth and our nest eggs. The strategy is what separates winners from losers. We take a long-term systematic approach and do not veer from the path. We know that drawdowns are a part of any investment or trading approach. We are in it to win it on a long-term basis. Join us for the Monday Night Call each week - all you have to do is use the link below. There's also a link to sign up for early access to these articles as well. Trading advice given in this communication, if any, is based on information taken from trades and statistical services and other sources that we believe are reliable. The author does not guarantee that such information is accurate or complete and it should not be relied upon as such. Trading advice reflects the author’s good faith judgment at a specific time and is subject to change without notice. There is no guarantee that the advice the author provides will result in profitable trades. There is risk of loss in all futures and options trading. Any investment involves substantial risks, including, but not limited to, pricing volatility, inadequate liquidity, and the potential complete loss of principal. This article does not in any way constitute an offer or solicitation of an offer to buy or sell any investment, security, or commodity discussed herein, or any security in any jurisdiction in which such an offer would be unlawful under the securities laws of such jurisdiction.

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Comparing a strategy with and without Safety Orders One important thing when day trading or scalping is risk management . To find the good balance between risk and reward . So I compared the same strategy with and without Safety Orders. Here's an idea explaining how safety orders work if you didn't know: The strategy used for this example is a daily pivot & consolidation breakout. Before I explain the results, a few definitions: Net profit = Gross Profit - Gross Loss. Basically the total profit earned by winning trades minus the losing trades. Percent Profitable = Percentage of winning trades divided by losing trades. I like to call it the winrate. Profit Factor = Profits divided by Losses. It tells how many times your profit is bigger than your loss. A strategy becomes profitable when the profit factor is greater than 1. Max Drawdown = Maximum consecutive losses. AKA, the biggest lose streak. A good indicator of how risky your strategy can be. A last few details: Both strategies have an intial capital of 10 000 €, 0.1% commission on each trade, and each order is a market one, to make sure everything gets filled. █ STRATEGY 1 - Take Profit & Trailing Stop Loss The strategy has a 7% Take profit and a Trailing Stop Loss that starts at 11%. Each order buys with the total capital without compounding (fixed 10k €) With 52 trades closed, the strategy has a profit % of 147 . It suffered a max % drop of 15.5% . The profit factor is of 2.19 . And finally, the winrate is 76.9% █ STRATEGY 2 - Take Profit & Safety Orders + Stop Loss The strategy has a 7% Take profit, 10 Safety Orders, each spaced by a 1% step, and a stop loss at 11%. Now the base order will only buy 100 €, while each safety order will buy 990 €. This is to ensure that the total capital is used and not more. Also note that the take profit is based on total trading volume. As the safety orders get filled, the target drops a bit lower. With 263 trades closed, which is due to the safety orders (5 per trade in average), the profit % drops to 79 . That is almost half of strategy 1. But, the max % drop is divided by more than 2 : only 6.9% ! The profit factor almost doubled , as it is now at 3.8 . Also, the Percent profitable increased to 83.6% . █ CONCLUSION This comparison is just an example. I did this little process over hundreds of strategies and the outcome is always the same: safety orders reduce the risk, even though they also reduce the net profit a bit, the overall profit factor is increased . So should you use them? It is up to you, but my answer is a big yes . Tips on automation: The simplest way to automate this is to place the safety orders using limit orders when the entry alert is received. Then close all deals upon take profit. If you want to use market orders, you'll have to place each safety order as the price drops through the steps. Indicators used in this example have restricted access. See my profile signature for more info. The backtest results for this pair are shown below.

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YOUR SUCCESS IN TRADING | Expectations VS Reality 💰🤔☠️ Hey traders, Being a full-time trader & running a coaching program for the last three years, I met hundreds of struggling traders from different parts of the globe. Guess why the majority of them could not make it? What was the main reason for their bad luck? It wasn't their trading strategy, nor their technical analysis. The source of their failure was the expectations. Trying different trading strategies, following the signals of different signal providers, these traders expected quick gains and exponential account growth. They were actually in a state of a constant search of a holy grail, of a magic wand that will open Pandora's box to them. Just a single losing trade made them skeptical while the first losing streak made them drop the strategy and return back to the search. They keep spending thousands of dollars on trading strategies promising them close to 100% win rate. There is this common mantra, the stereotype about a pro trader: a guy with 4 screens making a quick buck on each and every market rally, driving Lambo, and living in a mansion. Unfortunately, the reality is different. Ahead you will encounter loneliness, losses, pain, and disapproval. The road to success in this game is long and dangerous. Get ready to see the skepticism in the eyes of your relatives and friends. Many years and tons of money must be spent in order to make it. But even mastering the system, becoming a consistently profitable trader you will not constantly beat the market. Your wins will just slightly outperform your losses giving you the means for living. If you are ready for that if you are courageous enough to start and to proceed no matter what, you are already one step ahead of the majority. Be prepared to work hard and practice much, set a correct goal, and sacrifice your presence for the sake of an independent and prosperous future. Are you ready? ❤️Please, support this post with a like and comment!❤️

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by VasilyTrader

Updated

Trade management - Best Trailing Stop Loss Strategy Educational Video On Trade management, Tribute video to my 700 followers on Trading view Key concepts of this article were taken from the book “How to Make Money in intraday trading”, Guru Ashwani Gujral, which is a very nice book for new traders.

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08:04

by Tradeplannifty

How To Use Financial Ratios To Make Better Decisions Financial Ratios help you evaluate a company. Most financial ratios will show you how much money you're paying for a specific piece of the business. Let us give a few examples: Price-to-Sales Ratio = Market Cap / Sales The Price-To-Sales ratio or PS ratio tells you how expensive a company is relative to its total sales. The formula is calculated in two different ways: divide the company's market capitalization by its revenue or divide the current stock price by revenue-per-share. Because this ratio is being calculated with live price information, you can also watch it in real-time on the chart as we've shown in this example above. If a company has a market cap of $10 billion and revenue of $1 billion, well that, that implies a PS ratio of 10. You're paying $10 for every $1 in sales. You can do ratios like this for all aspects of the company. For example, PE ratio or Price-To-Earnings ratio measures the Market Cap / Earnings. This tells you how much you're paying for every dollar of earnings. Keep in mind that Financial Ratios are not perfect. They are also not a buy or sell recommendation. Instead they are shortcuts, ways to quickly evaluate a company, compare its underlying fundamentals, and study that company relative to other companies. You also must remember that financial metrics can change quickly with a single earnings report. A company's future expectations are also just as important. A company like Apple might have a high PE ratio, but if they're building and growing revenue into the future, their PE ratio could come down over time. Remember, Financial Ratios and Financial metrics in general paint a picture of the underlying business and its earnings potential. Here are some other resources to get you started: 1. Read more about Financials on TradingView in our Help Center. 2. You can also code your own strategy or indicator using this financial information . 3. We've also created a library in our Help Center so you can learn more about every Financial metric. Here are some other financial ratios that you may find interesting and how they're calculated: PE Ratio = Market Cap / Earnings PB Ratio = Market Cap / Book PEG Ratio = PE / Earnings Growth Quick Ratio = (Cash + Cash Equivalents + Current Receivables + Short Term Investments) / Current Liabilities Dividend Yield = Dividends Per Share / Price EV Multiple = Enterprise Value / EBITDA To access all of the Financial Ratios available to you, click the Financials button at the top of your chart. From here, you can select many different Financial metrics and study markets at a deeper level. More importantly, you can combine the study of Technical and Fundamental analysis at the same time. Meaning you can evaluate the fundamental side of the business including its earnings and valuation while ALSO studying price action and planning a trade. Please feel free to share your feedback and comments below! Thank you for reading.

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How To: Build Your Own Private Signals Service Using TradingView Many traders - especially beginners - rely on others to tell them what stocks to trade and when to place their entries and their exits. What I want to show you is not so much how to trade or what strategy to use, but once you have found a strategy that YOU like, how to set up this strategy in TradingView and get automated alerts when a stock meets your criteria. This video covers: How to setup your TradingView Chart How to add built-in or custom TradingView Indicators to your chart How to customise those indicators How to find stocks that match your criteria using the TradingView Screener How to save your set up How to set up a TradingView Alert How to get alerts sent to your phone or email or screen How to check TradingView News to see what catalyst might have caused the alert How to use TradingView Text Notes Hope the video was useful.

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20:00

Updated

Difference between Centralized and Decentralized crypto-exchange If you find the analysis useful, please like and share our ideas with the community. Any feedback and suggestions would help in further improving the analysis! One of the USPs of Blockchain technology is ' Decentralization .' It means that no single entity or organization has the power to influence or control the network. Decentralization is rapidly picking pace, with several apps being built on this exact premise. These decentralized apps or ‘ DApps ’ are being built on existing blockchain networks, such as Ethereum, Solana, Polkadot, and so on. With the exponentially rising demand for cryptocurrencies, it was only a matter of time for the crypto exchanges to come sprawling up. Cryptocurrency exchanges can be broadly classified into centralized and decentralized exchanges. What is a centralized exchange? The way a centralized exchange operates can be considered similar to a bank. Depositing cryptos onto a centralized exchange such as Binance essentially means transferring it to a wallet held by the exchange. When we deposit fiat currency such as the US dollar or any other currency to buy crypto, that crypto is also held in the exchange’s centralized wallet. What is a decentralized exchange? With decentralization picking up, the cryptocurrency exchanges want to get into the decentralization space too. These decentralized exchanges are also known as DEX. Currently, there exist more than 35 DEXs globally. One of the most popular ones is Uniswap, which appears to have recently gotten into trouble with the SEC. Other players include Kyber, Bancor, etc. Traders simply swap tokens with each other, and there’s no middlemen involved here. Key points of contention between centralized and decentralized exchanges: Fees: In the case of centralized exchanges, there is a fixed fee which is usually a percentage of the transaction amount. In decentralized exchanges, it works out to be gas fees, which can sometimes vary. Ownership of your crypto holdings: Crypto wallets have two keys, public and private keys. Public keys are shared with anyone who wants to send you cryptocurrency, while a private key is what you use to access your own wallet. Centralized crypto exchanges don't give their users the private key. It essentially means that the holdings are not actually owned by the users, but by the exchanges. In some decentralized exchanges, the entire process of buying and selling is performed ‘on the chain.’ The holdings are with the user and not held by any central agency. However, keeping the holdings on the exchange can lead to a faster execution since the user does not need to provide access. But this can be the reason for the crypto theft as well! Case in point: In 2018, $713 million was stolen with most of them coming from the Coincheck exchange hack. In a Decentralised Exchange, users are generally free from these risks! Privacy: A decentralized exchange script usually does not have a central authority involved. Therefore, no requirement will be imposed on them. One can sign in and start trading without any identity verification. Additionally, Anonymity allows the user to access the tools which are not available otherwise. Centralized exchanges require the users to perform a KYC to trade cryptos. It is not the case with decentralized exchanges. It means that the user would not need to hand over the documents to any single entity. Liquidity: Barring the large centralized exchanges, several others suffer from a lack of liquidity. It is a major concern that ultimately leads to the downfall of the exchanges. The larger exchanges such as Binance, Coinbase, etc. have high liquidity. Decentralized exchanges usually follow a different method of price discovery and don't suffer from problems of illiquidity. Some decentralized exchanges also have Automated Market Makers (AMM). AMMs look to solve the liquidity problem without depending on large traders using smart contracts — self-executing computer programs that ensure liquidity on the exchange. The AMM algorithms have pre-defined requirements for an entity or individual to become a liquidity provider. Anyone who meets these criteria can become part of the liquidity pool, and hence maintain continuous trading. Do give a follow if you liked the content. Keep supporting:) -Mudrex

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