Trendlines are support/resistance. Here you can see a massive downward triangle from after the 20k rally at the end of 2017. There is also decreasing volume until the breakout downward, where we have a spike of volume. After this, we can see that we entered the bull market after finally breaking the downward trendline in April 2019.
Triangle is a classic price action pattern that is applied by technical analysts to make predictions trading different financial markets. Depending on the shape of the triangle, there are three main variations of this pattern. Its meaning changes dramatically from one to another so it is crucially important for you to know the difference. 👉 The symmetrical...
Triangle is a classic price action pattern that is applied by technical analysts to make predictions trading different financial markets. Depending on the shape of the triangle, there are three main variations of this pattern. Its meaning changes dramatically from one to another so it is crucially important for you to know the difference. 👉 The symmetrical...
Support and Resistance , trendline
Happy Friday, ladies and gentlemen. The topic of our first educational post for the day is the following: How to spot a possible market reversal. Of course, there are many strategies and various methods one can implement to identify a reversal in the markets. The method that we will be talking about today is relatively simple and really effective. We use two...
It's all about context, and a lot of it is luck. When did you see the chart first? How you see it when you open it can do a lot to effect your long vs short bias. If you happened to be looking at the chart after the extra stuff was formed, but before the eventual break, you probably have no problem getting long by chopping off the tops. If you were looking at...
Showing how to create a channel and duplicating it to find areas of future support and resistance. Look for 2 obvious long wicked candles; connect them via a channel, resize the channel to see how it might fit in with previous support/resistance, clone it and stack them(either on top or bottom). I find its more accurate than a pitchfork. Channeling or drawing...
In this post I am taking a deeper look at trendlines with the intention of making better informed decisions on whether to invalidate it or not. The biggest naturally occurring question mark is in reference to "dangling stuff", and how as long as price is still making a higher low then we say that the trendline remains valid. ---------------- Bonus for the very...
If you are struggling with the identification of accurate trading entries, you definitely should try confluence zones . Note: there are hundreds of variations of confluence elements. In this example, we will discuss trend lines and fibonnachi. ❗️To identify a confluence zone, the price must follow a trend line (it should match higher lows if the market...
Triangle Correction: In addition to the 3-wave correction patterns, there is another pattern that appears time and time again. It is called the Triangle pattern. The Elliott Wave Triangle approach is quite different from other triangle studies. The Elliott Triangle is a 5- wave pattern where all the waves cross each other. The five sub-waves of a triangle are...
Supply and Demand Forex – The driving force behind changes in price is supply and demand. When there are more buyers than sellers, the market price will move up. Conversely, when there are more sellers than buyers, the market price will move down. When buyers and sellers are more or less even, the market will range. These simple concepts are very powerful and...
Following price action is at the core of markets. One glance at a chart can show you a trend, trade idea, or serve as a quick way to check the holdings in your portfolio. Candlestick charts are one of the most popular ways to look at price action. A single candlestick shows the high, low, open, and close for a specific time period. This means that a lot of price...
Happy Friday, ladies and gents, and welcome on our another educational post for the day. Today, we are gonna talk about positive currency correlations and examine how they impact our trading. But to begin with, what is currency correlation? Currency correlations are a statistical measure of the extent that currency pairs are related in value and will move...
If you are struggling with the identification of accurate trading entries, you definitely should try confluence zones . Note: there are hundreds of variations of confluence elements. In this example, we will discuss trend lines and fibonnachi. ❗️To identify a confluence zone, the price must follow a trend line (it should match higher lows if the market...
Each week on the 4 hour time frame charts: Monday and/or Tuesday will set the low of high for week's price action. If you can use the Fib. Ret tool and look ahead of current price action will retrace, then you can figure where the golden zone of 38.2% to 61.8% of Fib ret tool is: Rules: 1) Measure low to high of last move on 4 hour chart. 2) Figure where the...
Fibonacci Channels are used to determine fibonacci support and resistance levels within an identified trend. These channels can easily be drawn in both uptrends or downtrends to find potential areas where price action could change. Uptrend When drawing a Fibonacci Channel on an uptrend, a clearly identified trend needs to be established with higher lows ...
Looks like BTC was on a bearish trend in the hourly candles for quite some time until it started forming a reversal pattern trending upward. If BTC holds the hourly bands up we could see it trend up and rally higher once it passes 60k, if it breaks the upper bands we could see a return to bearishness
This startegy works well for anything whether you are Trading Options or Long-term investment. Please keep in mind that when trading options time can be your best friend/ or worse enemy. Practice and develop a plan before you go full throttle into trading. Have any questions? Send me a message.