This study will walk through several concepts in analyzing crude oil. The primary chart type will be a Renko chart with the block size (ticks) set to 25 (0.25 in TV) and with a timeframe set to 15 minutes. The significance of timeframe is that in TV, it will take this amount of time for the price to maintain a full block change (25 cents) in order for it to be...
👩🏻💻 Welcome to the 2nd lecture on Elliott Waves. So, Elliott Wave Theory suggests that price behavior follows a wave structure, with three waves being impulse waves and 2 being corrective waves. It can be said that these 5 waves look like the image above. ➡️For example, let's take an upward impulse, where the impulse refers to all these five waves. We observe...
Introduction In the realm of options trading, the choice of strategy significantly impacts the trader's ability to navigate market uncertainties. Among the plethora of strategies, the Strangle holds a unique position, offering flexibility in unclear market conditions without the upfront costs associated with more conventional approaches like the Straddle. This...
This is a current view of CL and some details on the consolidation that is showing up on the 50 and 25 tick charts. February resistance levels are getting tested again. The 10-tick short-term chart has shown some strength but now showing divergence as price hits the larger blocks resistance levels. 10-tick chart 25-tick chart 50-tick chart
Part 7: Some Examples of Analysis with Indicators First, let’s look at some of the key indicators that are included in the charts. Regardless of the brick size (10,25, or 50), all charts will have the same configuration. DEMA (12-period and 20-period) : These moving averages are designed to react more quickly to price changes than a traditional simple...
Part 6: How to Incorporate a Stop/Loss Strategy Incorporating stop-loss strategies into trading using Renko charts and options involves careful consideration of market dynamics, the specific characteristics of options trading, and the unique aspects of Renko charts. Here are some approaches tailored to this trading strategy: 1. Setting Stop Losses Based on...
Part 5: Devising a Strategy Based on Buying Calls/Puts When trading crude oil (CL) using options like puts or calls, the strategy involving Renko charts and pattern recognition can be finely tuned for option trading. The choice between puts and calls will depend on the identified trend and pattern signals across the three brick sizes. Here are scenarios that...
Part 4: Incorporating Patterns with Strategy Incorporating pattern recognition into a trading strategy using three different brick sizes for Renko charts can enhance decision-making by providing multiple perspectives on market momentum and trend reversals. Applying this to the WTI (CL) market, using short-term, medium-term, and long-term views with different...
Part 3: Patterns in Renko Charts Renko charts, like other charting methods, have identifiable patterns that traders look for as indicators of potential market movements. These patterns are appreciated for their simplicity and effectiveness in highlighting trends and reversals without the noise of minor price movements. Here are some common patterns observed in...
Part 2: Devising a Strategy with Renko Devising a trading strategy using Renko charts with three different brick sizes for the same market, like crude oil, and analyzing them on the same time scale can provide insights into market trends and momentum at various levels. The following is one of many possible approaches: 1. Choose Brick Sizes Select three...
Part 1: A Brief Overview In traditional Renko charts, time does not play a role in when a new brick is printed; bricks are purely based on price movement reaching a specified threshold. However, some variations and adaptations of Renko charts integrate time or other criteria to align more closely with certain trading strategies or preferences. Tradingview...
Hey Traders, We'll show you how you can find an easy trade with a high risk-to-reward ratio using some basic concepts. - Step One: Spot an uptrend where you have higher highs and higher lows. - Step two: Spot the last break of structure. - Step three: Use the Fibonacci tool and connect it from the recent lows to the recent highs. - Step Four: Watch prices...
RANGE BOX: When the price is in a ranging market look for date of when the price was last in its range. Example above shows we had the range, a breakout above and then a break back inside the range. Draw a box around the range and then identify the buy area and the sell area. This stops you from trading in the middle of the range and getting chopped up by the...
ZIGZAG Pattern is made up of 3 waves were Wave A has 5 impulse waves, Wave B has 3 corrective waves, and Wave C has 5 waves. Our main focus is riding Wave C once wave B finishes its retracements to fibonacci levels. Ideally, Wave A = Wave C. This means if Wave A made 20% move, Wave C should do the same.
If you want to trade Gold, but you don't know what strategy to trade, I prepared for you the list of 4 simple and profitable gold trading strategies. Please, note that my list includes the indicator, swing, price action and smart money strategies, so you will certainly find the one that suites you. Also, all the strategies will be strictly structure...
Overview: Since the significant bottom in June 2020, Natural Gas embarked on a compelling journey, forming a fresh impulse that concluded around the highs of August 2022 as Wave I in the Cycle Degree. The subsequent phase witnessed a corrective move, labeled as Wave II on the weekly timeframe, comprising three subdivisions: ((A)), ((B)), and ((C)). The current...
What is TRADING PLAN ? A trading plan is a systematic method for identifying and trading securities that takes into consideration a number of variables including time, risk and the investor’s objectives. A trading plan can help traders and investors to achieve consistent results and avoid emotional or impulsive decisions. A trading plan should be written in a...
Hey traders, In this post, we will discuss 3 most popular types of charts. We will discuss the advantages and disadvantages of each one, and you will decide what type is the most appropriate for you. 📈Line Chart. Line chart is the most common chart applied by analysts. Reading financial articles in different news outlets, I noticed that most of the time the...