Gap Trading Strategy Rules-How To Trade Gaps
1. You need to choose a currency pair with a high level of volatility. btcusd is a good example but any currency pair that forms a weekend gap should also be good.
2. When the trading day starts on Monday, look to see if there is a gab. Make sure that the gap is at least 5 times the average spread for the pair. For...
Honorable Mentions
This week we've seen a flurry of new open-source scripts hit TradingView, empowering it's users with trading ideas and programming techniques. "By Traders For Traders" by Dunhua-Yao , a potent modification of JustUncleL's "Price Action Candles", uses tighter criteria for 'Hammers' and 'Shooting Stars'; "Blau Divergence RSI", by blindfreddy ,...
I'm not sure of the exact figures, but I think TradingView has about 7M+ users. That's 7M+ people working towards the same end. 7M+ people with insights and ideas. 7M+ people with access to an in-house programming language tailored for trading and technical analysis. Yet despite this there's only a small, mumbling community for discussing Pine, trading and how to...
If you have been trading or interested in trading for some time, I am sure you have heard some online "teachers" say that you MUST have a 1:3 or 1:5 R/R in order to be profitable.. That is absolutely FALSE! If you hear a "professional trader" say that, odds are they are not truly a trader.. A professional trader understands that R/R & win % are correlated. The...
The highly anticipated release of the How to read structure tutorial is finally here! Thank you for your patience traders, lets get right into it. In Section one and two of the how to read structure tutorial, we spent a lot of time going over the process that I use to identify potential reversals as well as what I consider to be confirmation of a trend reversal....
By the time you are done with this tutorial, You will understand Structure, Trends, Reversals & much more! This tutorial will teach you how to dig deep into the charts & analyze where price is likely to go next!
Reading Structure can be difficult when you first start trading, however most professional traders (if not all) understand structure very well and it is...
Note: A prerequisite tutorial about trends is posted in the related links below.
Oscillators can be a very useful indicators in trading if used correctly. However misusing them will only return disappointing results.
Some of the most popular examples of oscillators are the stochastics, and relative strength index . I will use stochastic in this tutorial, but...
Bullish Shark Ratios
B (XA) = 0.618 Maximum
C (AB) = 1.13 ~ 1.618
D (BC) = 1.618 ~ 2.240
D (XC) = 0.886 ~ 1.13
StopLoss Below D
Targets : 0.382 & 0.618 CD of CD
Go Long when point D is completed according to above ratios and when it is confirmed with oscillator such as RSI Divergence
What is an Uptrend:
Uptrend: A series of higher highs and higher lows. Each highs surpasses the previous high and each low is either above or equal to the previous low.
If you are able to spot this structure on any chart, then you can clearly say the trend is up.
The opposite is true for a downtrend.
How the trend is reversed?
A break of the structure of...
This is a clear illustration for how support and resistance change roles when a breakout occurs. This is not a rule that most happen, but it usually does.
Starting point at the latest higher low of the previous bullish trend.(It was a typo on chart, its higher low not higher high)
When a breakout below support materializes, the level usually reverses its role to...
This is not a forecast that the pattern will complete. This is just an illustration of the harmonic 5-0 pattern. (Price could go in any direction from current levels).
The Pattern
The first requirement for the pattern is a new low that exceeds the prior low( Point B and X)
Point B should be within the range of 1.13 and 1.618. Shouldn't exceed 1.618...
Here is another example of how the high and low for high wave candles are usually trade-able support and resistance levels. I think the chart explains it all.
When spotting a long legged candle(long shadows) its important to keep an eye on the high and low of the candle as potential key levels of resistance and support. In many cases those levels act as barriers...
*Correction: It's a LH not LL on the weekly chart
This is an attempt to demonstrate one way I use to approach the market and find potenital trades.
Starting from the higher time-frame - Weekly Chart
identinfied highs and lows to clearly identify the trend(Bearish)
Drawn the main falling trend line, and the fibonacci retracement levels.
The latest upside...
1. Trading is not a get rich quick scheme. It is a normal investment that gets traders return on capital.
Have you ever met a trader making double-digit percent return per month on a consistent manner?
Trading professionally with proper money management would likely get you a return of few percents a month. From my personal experience a 3-5 percent return on...
Introducing another posts type named " Watch This Candle", I will try to spot and explain the main important candlesticks patterns. I wish you like it. If you do please comment and agree so i...
