- Price neither overbought nor oversold
- Price overbought on Stochastic Oscillator - Price reversed at key level (111), may function as strong resistance
- Price oversold on Stochastic Oscillator - Price experiencing instability at strong support level
- Price broke briefly below EMA (25, close) and returned above, the following candlestick - Price neither overbought nor oversold
Pictured above is a graph of Royal Dutch Shell vs brent crude, the correlation coefficient between them, and the commodity channel index tracking the volume weighted moving average of Shell. I tested this indicator on a few energy stocks: RDS, MRO, BP and XOM. Negative correlation between brent crude and an energy stock coupled with an overbought CCI seems to...
The Alligator offsets all changed to zero, colors changed to match a common "rainbow" strategy and the MACD is set extra long for confirmation/filtration. Once these two show the trend stochastic is used for entry-exit points with additional filtration provided by Heiken Ashi. Happy trading.
Good morning, traders. Price is attempting to push its way through the descending wedge's resistance as H4 RSI is pushing through its own resistance. H4 MACD is curled up and nearing a bullish cross above centerline. As we can see, the green target, which is based on the height of the wedge, is near the previous swing high. Traders need to be cautious as price...
Good morning, traders. Price has continued within the flag and bounced off the 38.2% retracement on the D1 chart as I mentioned I was watching for yesterday. H1 is printing a short-term double bottom with a target of $3620, once price closes above the swing high of $3586 which would confirm it. H1 RSI is just under neutral at 47.3 and butting up against...
- Price approaching previous support/resistance
- Price directly above EMA (25, close)
- Price approaching strong support … Pair has only been able to cross once since June of 2017
- Price retraced to 0.5 fib level, may continue on previous down trend
- Price directly above EMA (25, close), following tentative downward trend line
I had this on my hard drive, I thought I would wipe the dust of it and write in in a clean manner in a post, helps me think more clearly. I need, and everyone can benefit from (new intermediate advanced legend even), having all of this in their mind: 1) Advice that trading is 95% psychology ===> Throw it in trash container Worse advice I have ever seen, or I...
I show two 4H charts on how it is possible to get more out of a low RSI as a trend follower. Note this is not meant to apply to other forms of trading strategies.
For someone that wishes to get an edge using technical indicators, which ones would be some of the best ones to have into your arsenal? To answer that question I will look at which ones are the most popular, I am only looking at oscillators here, overlays are not used that much (not talking about moving averages). First of all I tried looking at what hedge funds...
Histograms such as MACD histogram or my Ichimoku histogram give two kind of trading signals. One is common and is triggered on each price bar. The other happens less often but is extremely powerful. The common signal is triggered by the slope of the histogram. When the most recent bar is greater than the one before, the slope is bullish. This is saying that bulls...
My bread and butter is RSI and MACD divergence, I cannot look at 15 charts or more at the same time so I use alerts with those. But I know to trust my own judgement over what some indicator tells me. In these examples, and I could show countless more, what eyes tell us is what is right, not what the oscillators tell us. Yes, I know, I am comparing 2 different...