Candlestick charts are thought to have been developed in the 18th century by Munehisa Homma, a Japanese rice trader. They were introduced to the Western world by Steve Nison in his book, Japanese Candlestick Charting Techniques. They are often used today in stock analysis along with other analytical tools such as Fibonacci analysis.
Simple explanation about trend, support and resistance.
A trend can move in two directions. An uptrend defined by higher lows and higher highs, or a downtrend defined by lower highs and lower lows.
Then there is the sideways phase. As the name suggests, there is no trend here.
The trend line will be pulled upwards along the significant lows during an uptrend...
Hammer, The first sign of the beginning Ascending wave:
Hammer shows that the war between buyers and sellers, at the beginning of the day sellers could create significant reduction in price, with their high investments. But when the price had come to the lowest extent of it, many of buyers have entered with more investments than sellers. And again they could...
Conditions of a Perfect Hammer:
. Body height must be short.
. The total height of the candle must be taller than the Daily ATR-264. The taller the candle is, the stronger the Hammer is.
. The lower shadow’s length should be very tall. It is better to be over 75 percent of the Daily ATR-264.
. The upper shadow does not exist, or if it does, it is very small. It...
Trends are not created equal, there are 3 types of trends, I am not a trend trader that much but I can identify trends and tell the difference.
This is what I know about myself:
1- Strong trends
This education idea is about "Trend Following Pattern" using "9 Seasons Rainbow Indicator PRO".
This time, it serves as a BottomFinder perfectly.
Yesterday, just before the Dogi, 9 Seasons Rainbow Indicator PRO alerted "Time to Long", because a "Trend Following Pattern" had formed:
OverSold(Blue) in multiple time frames: 15m, 21m,30m 84m, 2H - meaning strong...
Price on a given time frame is in an uptrend if it is making higher highs (HH) and higher lows (HL) and in a downtrend, if it is making lower highs (LH) and lower lows (LL). If the price is doing anything else, it is in a consolidation pattern – range, triangle, pennant, rectangle etc.
The trend is considered in place until price is no longer making higher highs...
I know how to properly identify support and resistance levels that are backed by recent supply or demand. By this I mean, supply is what traders consider to be selling power that makes a currency value go down. Demand is the total opposite as it shows its self as support and encourages a currency's value to go up. With that said, support and resistance or supply...
quick another Trendfollowing-Strategy with three EMA`S easily to remember. :-)
I hope you enjoy it and that this is going to inspire you!
Peace and happy learning
Wanna see more? Don`t forget to follow me.
Any questions? Need detailed saignals or education? PM me. :-)
I have undertaken backtesting over the past few weeks on a number of Crypto / USD pairs using the famous Turtle Trading strategy. There are a number of good books written on this strategy and you can find the details rules online.
On all of the pairs I tested the Turtle Strategy (version 1) performed best.
The Turtle Trading strategy is a systematic...
Hey tradomaniacs and becoming traders,
here some more education for you and especially for those who started trading and heared about that weird thing called Moving Average.
I hope you enjoy it and learn something.
If you need more education just check my videos and posts tagged as education.
Peace and happy learning
Wanna see more? Don`t...
I have found out that the best breakout trades occur when a trader does the following things:
1. Finds an area of consolidation under and area of significant support if you are selling and or above resistance if you are buying.
2. Split your position sizing into 3rds so you would be able to enter at least three times because there is a very big chance for false...
It can be a very daunting task to create a trading plan/strategy that fits you without conflict. There are a lot of obstacles that inhibit the average trader from leaving a profitable trading plan or strategy as it is. Even I struggle with this which is why I have decided to publish this article. After much reflection, I have come with a few metrics you can use to...
This is a very descriptive example on how a trader can find high probability trades that are very unlikely to reverse. The markets are full of fractals so this strategy should be good for any timeframe but I highly suggest you use these timeframes as follows. If you place trades using the 4hr, use the daily for trend (example on the chart). If you place trades...
Risk & Money Management
Risk management, in my opinion, is equal in importance to psychology because it allows your trading strategy/edge to play out by keeping you in the market equity wise. There really isn’t much to risk management other than its number one rule, never risk more than 1% per trade. Risking one percent per trade allows your trading system to...
Psychology, like anything in life, plays a big role on how humans function. It affects the way we think, act, talk, and so on but when it comes to trading it affects us, oddly enough, in only one way and that’s through our emotions. Any experienced (or shall I say inexperienced) trader knows and understands the waves of overwhelming emotions that...
Its likely for the #BTC and other coins to #down #trend or at least keep sideway for sometime. As a trend following trader, We should not be looking for the dip to buy as it wont be a low risk entry point, espcially when #volume could be a misleading parameter for lower timeframes.
With some #technical #analysis grounds, proper #entry should be made when...