Based on the market behaviour that:-
"prices tend to return"
"Same Seiden's Supply and Demand concept",
"Banks always split their orders hence price tend to go back so banks can put their orders again"
hence the concept "Boomerang Effect".
Some traders mark big candles as a "leading indicator" that price tends to return to that price, think of a magnetic...
If you are not able to see the big picture, especially in Forex, then it is very difficult to trade these days. Market is still being traded on the various themes but only difference is that now volatility is very low and trend is kind of non-existent.
Now who is able to trade a 20 pip / day range with 20/30 pip stop-loss ( as a newbie Forex trade will put it...
If you can find a good support and resistance level or zone it will keep your bank account fed well for years.
As you can see the 1st purple arrow marks where price 1st tested this zone as resistance in 1995 when Coolio was at number 1 with "Gangstas Paradise" ( sorry if I've just made you feel old ) :p Then the price passed through this zone for the next few...
Here is a perfect example of the Elliot 5 Wave with the ABC correction waves. We can see how price broke out the downtrending channel and tested the previous support. I'm looking to go long on this pair.
Majors, Minors & Exotic Currency Pairs | BEN WRIGHT
A currency pair is the structure of the currencies, which are traded in the forex market.
According to the latest report of United Nations, there are 180 currencies around the world and
the illustrated currencies are the top 8 traded bills in...
Trading EUR/USD on the Daily Time Frame: Delete the noise, patience wins
Here I present a textbook trading set-up + a fancy little indicator known as the EAG Yume Wave.
First we need to set up our parameters, what is confirmation and what isn't?
Your analysis does not need to be over complicated, you want to be considering the key/strongest variables when you...
5 natural reactions to failure in trading
It could be very useful to understand your natural behavior when you are faced to failure in trading. All of us are facing losses, sometimes these losses can be huge when come a krach or a bad choices.
The situation in itself will not determine the reaction of the trader. It is his personality, his history facing which...
The escalade of failure in trading ! : 5 reasons why most of traders lose their money !
Reason 1 / Step 1 : The "I DON'T ACCEPT LOSING" syndrom
Reason 2 / Step 2 : The "I MOVE MY STOP LOSS" temptation
Reason 3 / Step 3 : The "AVERAGE DOWN" disease
Reason 4 / Step 4 : The "RISK EVERYTHING" game
Reason 5 / Step 5 : The "I SWEAR IT WILL NEVER HAPPEN AGAIN" lie to...
I believe that trading success relies heavily upon identifying consolidation zones. Consolidation zones provide us the right direction of the market. A consolidation happens when a market move sharply upside or downside. Later, a trader can use these consolidation zones to identify patterns, whether it be continuation or reversal.
It requires attention and care....
It's always refreshing to hear from some of the trading greats that have made a killing on the markets.
Here are ten quotes that'll make you think twice:
"Volatility is greatest at turning points, diminishing as a new trend becomes established." - George Soros
Soros cemented his position as a trading legend when he banked billions by shorting the British pound...
I recently checked my long trade at EUR/GBP and got an interesting idea. I wanted to share with you not only about the mechanics & reason behind my trade but also about the currency correlation between USD, EUR & GBP that can some-how works in my favor. (Assuming we see some "Weakness" in USD when Market reacted to the Fed statements).
The Trade :...