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Super Trend Strategies: Mastering Breakouts & RetracementsSuper Trend Unleashed: Mastering Breakouts & Retracements Hey, fellow traders! Ever wished for a straightforward tool to cut through market noise and identify trends with precision? ✨ Meet the Super Trend indicator – a dynamic, trend-following marvel designed to simplify your trading decisions and highlight high-probability entry points. Understanding this indicator can significantly enhance your market analysis. Understanding the Super Trend: Your Trend Compass 🧭 At its core, the Super Trend isn’t just another line on your chart; it's a powerful derivative of the Average True Range (ATR) and a multiplier factor. 🧠 The ATR measures market volatility, helping the Super Trend dynamically adjust its distance from the price, ensuring it stays relevant across varying market conditions. The indicator paints a vibrant line directly on your price chart, switching between green (bullish 🟢) and red (bearish 🔴) to signal the prevailing trend direction. Interpreting the Signals – The Color Code: Green Line (Below Price): When the Super Trend line turns green and positions itself below the price candles, it signals an established uptrend. This often suggests a favorable environment for long positions, acting as a dynamic support level. 📈 Red Line (Above Price): Conversely, when the line shifts to red and appears above the price candles, it indicates a downtrend is in play. This typically implies caution for longs or potential shorting opportunities, serving as dynamic resistance. 📉 The Flip 🔄: The real magic happens when the color flips! A change from red to green often serves as a potential buy signal, while a green to red flip can indicate a sell signal. Mastering Super Trend Strategies: Insights from the BTCUSDT Daily Chart Let's dissect the BTCUSDT Daily chart to understand Four powerful strategies utilizing the Super Trend indicator: Strategy 1: The Breakout Blast-Off 🚀 Our BTCUSDT Daily chart beautifully illustrates a classic Super Trend application: The Breakout Trade. Observe the initial period where price consolidated below a clear resistance level, marked as the "Breakout" line. 🚧 This horizontal line represented a significant ceiling that price struggled to surmount. A powerful surge saw BTC breaking decisively above this resistance. Crucially, at the exact moment of this breakout, the Super Trend line simultaneously flipped from red to a vibrant green and moved to position itself below the price. 🟣 This confluence of strong price action (a clean breakout) and the Super Trend signal (a bullish flip) provides robust confirmation for a long entry. Initiating a trade at this point capitalizes on the momentum generated by the breakout and the confirmed initiation of a new upward trend. It's an aggressive yet calculated entry, based on prior price action providing the foundation. Same way there was a shorting opportunity using this Breakout Strategy as shown in the chart. Strategy 2: The Retracement Rebound 🎯 Even after a significant upward move, markets rarely ascend in a straight line. They often retrace or pull back to 'refuel' before continuing their journey. The Super Trend indicator is exceptional at identifying these high-probability pullback opportunities, offering a more conservative entry point. 🌊 Observe how, after the initial breakout and subsequent rally, the BTCUSDT price pulls back towards the active green Super Trend line. This line effectively acts as dynamic support during an uptrend. The key here is patience and confirmation: wait for a confirmation candle (like the strong green candle highlighted within the second purple circle 🟣) that clearly closes above the Super Trend or shows strong rejection from it. This 'bounce' off the Super Trend, coupled with the indicator remaining green (signaling the underlying uptrend is still intact), provides an ideal opportunity to initiate or add to a long position, riding the continuation of the prevailing trend. This strategy minimizes risk by waiting for the market to prove its intent to continue upwards from a key support level. Strategy 3 Confluence Power: How Price Action & Super Trend Confirm Uptrends! 🤝 Let's turn our attention to the BTCUSDT Daily chart to dissect a powerful entry strategy where price action and the Super Trend align perfectly. 1.Initial Downtrend/Consolidation: Observe the left side of the chart. Initially, the Super Trend is red 🔴, indicating a bearish phase or period of consolidation. Price action might be characterized by lower lows or range-bound movement. 2.The First Hint of a Shift (L to HL): The market begins to show signs of life. After establishing a clear 'L' (Low), the price then forms a 'HL' (Higher Low). This is a crucial early signal from price action – buyers are now defending a higher level than before. 3.The Super Trend Flip: Simultaneously, or very shortly after the price establishes this first Higher Low, the Super Trend indicator performs its critical flip, transitioning from red to vibrant green 🟢. This tells us that the underlying trend, as calculated by the indicator, is potentially shifting. 4.The Confluence Point: Price Action + Super Trend Green Entry! 🚀 The sweet spot, highlighted by the yellow box and arrow labeled "Price action + SuperTrend Green" 🌟, occurs precisely when the price breaks above the previous swing high to establish a new Higher High (HH), and the Super Trend is firmly established as green 🟢. Why is this a high-conviction entry? It's not just an indicator giving a buy signal; it's the market structure itself confirming a shift in momentum. The sequence of HHs and HLs unequivocally demonstrates that buyers are in control and are pushing prices higher. The green Super Trend acts as a powerful validating filter, confirming the strength and sustainability of this newfound bullish trend. 🤝 The Power of Validation: Initiating a trade at this point capitalizes on a dual confirmation: the market is telling you it's going up through its price structure, and the Super Trend is validating this intent by aligning its trend signal. This significantly reduces the likelihood of false breakouts or whipsaws. Riding the Trend: Post-Entry Confirmation ✅ Following this confirmed entry, we observe a sustained upward movement in BTCUSDT. The Super Trend line continues to trail below the price, maintaining its green hue 🟢. This serves as a dynamic support level, and as long as the price remains above it, the uptrend is considered intact. Strategy 4: 4. The Art of Omission: Recognizing False Signals with Super Trend & Price Action. 🛑 In trading, knowing when not to trade is often as crucial as knowing when to enter. While indicators like the Super Trend are invaluable for identifying trends, a common pitfall is to blindly follow every signal. Today, we delve into a critical lesson: how discerning price action can help you avoid "green light, no go" scenarios, saving you from frustrating whipsaws and preserving your precious capital. 💰 1. Super Trend Turns Green: Around mid-May, the Super Trend flipped confidently to green 🟢, typically signaling a long entry. Price did rally initially. 2. Critical Price Action Test: Horizontal Resistance 🚧 As price rose, it hit a significant horizontal resistance around 72,000. Price rallied to this resistance, pulled back, and then tried again, but failed to make a decisive breakout above the previous peak. This formed a double top pattern or a clear ranging environment beneath the resistance. 3. The Disconnect: Green Super Trend vs. Unconfirmed Price Action ⚠️ Crucially, throughout this period, the Super Trend remained green 🟢. However, price action showed a clear lack of conviction to break out and establish new Higher Highs. The market was "chopping" or ranging, not trending. 4. The Verdict: "This Trade Can Be Avoided." 🛑 Despite the green Super Trend, the absence of a clear breakout or sustained bullish price action meant this trade should be avoided. Entering a long position here would be buying into resistance in a non-trending market, often leading to: o Whipsaws: Repeated stop-loss hits. o False Breakouts: Brief moves that quickly reverse. o Trend Reversals: As seen, the lack of conviction eventually led to a downtrend, flipping the Super Trend back to red. The Power of Confluence 🧘‍♀️ This example highlights why confluence is vital. Super Trend gives directional hints, but price action provides the ultimate confirmation (or denial) of that trend's strength. Same for Shorting as well, use power of confluence: Setting Up Your Super Trend on TradingView: A Quick Guide 🛠️ in.tradingview.com Adding the Super Trend to your TradingView chart is simple: 1.Click on the 'Indicators' button at the top of your chart. 🔍 2.In the search bar, type 'Super Trend'. ⌨️ 3.Select the official 'SuperTrend' by ‘Tradingview’ ✨ 4.The indicator will appear on your chart, typically with default settings (Factor: 3, Period: 10). Customizing for Peak Performance ⚙️ While the default settings are a great starting point, the beauty of Super Trend lies in its adaptability. You can adjust its sensitivity to better suit your trading style and the asset's volatility: Factor (Multiplier): This adjusts how far the Super Trend line is from the price. A lower factor (e.g., 2) makes it more sensitive, resulting in more frequent flips and potentially earlier signals but also more false signals (whipsaws). A higher factor (e.g., 4 or 5) makes it smoother and less sensitive, leading to fewer signals but potentially confirming trends later. Period (ATR Length): This determines the number of periods used for the Average True Range calculation. A longer period (e.g., 14 or 20) considers more data, resulting in a smoother ATR and less frequent signals. A shorter period (e.g., 7) makes it more responsive to recent price action. Experiment to find what complements your trading style and the specific market conditions! 🧪 Important Considerations & Pro-Tips for Success ✅ Not a Standalone Indicator: Super Trend excels when used in conjunction with other analytical tools. Combine it with traditional support/resistance zones, volume analysis, candlestick patterns, or other indicators like RSI or MACD for higher probability trades. 🤝 Volatility Matters: In highly volatile markets, the Super Trend might produce more whipsaws. Be mindful of the market conditions and consider adjusting the settings or confirming with other indicators. 🌪️ Dynamic Stop-Loss Placement: The Super Trend line itself can often serve as an excellent dynamic stop-loss. If the price closes on the opposite side of the line after your entry, it could signal a trend reversal and a good point to exit. 🛑 Multi-Timeframe Analysis: Always check the Super Trend on higher timeframes (e.g., Weekly or Daily if trading H4) to confirm the overarching trend before taking trades on lower timeframes. This ensures you're trading in harmony with the dominant market direction. ⏱️ Conclusion: Your Ally in Trend Trading 💰📈 The Super Trend is an indispensable tool for traders looking to identify and ride market trends effectively. Whether you're catching explosive breakouts or entering patiently on retracements, its clear visual signals can provide invaluable clarity. Master its nuances, combine it with sound risk management, and you'll have a powerful ally in your trading arsenal! Happy trading! I truly believe this easy Super Trend strategy tutorial can be a game-changer for many traders seeking clarity 💡 and profitability 💰. If you've found value in these insights, please hit the Like button on this idea 👍 and boost its visibility by sharing it with your fellow traders 🚀 (or even leaving a supportive comment! 💬). Your engagement ensures this accessible knowledge reaches and empowers more of our community 🤝. Let's build a stronger 💪, smarter 🧠 trading community together! Disclaimer: The information provided in this chart is for educational and informational purposes only and should not be considered as investment advice. Trading and investing involve substantial risk and are not suitable for every investor. You should carefully consider your financial situation and consult with a financial advisor before making any investment decisions. The creator of this chart does not guarantee any specific outcome or profit and is not responsible for any losses incurred as a result of using this information. Past performance is not indicative of future results. Use this information at your own risk. This chart has been created for my own improvement in Trading and Investment Analysis. Please do your own analysis before any investments.
Education
by ManiMarkets
2
Understanding Highs, Sell High?Highs or Lows are best observed in higher timeframes. I recommend the 4h and weekly timeframe. Highs are formed during bullish conditions. After the follow up candlestick closes as a sell/bearish after a buy is observed. To understand highs one ought to know what to look for? In the chart above each number represents a high. 1.New high 2.Previous high 3.Invalid high Next we are going to look at how price affected each high. 1.NEW HIGH This can be termed as a valid high, After price broke the previous high(2), the follow up 4h formed a wick then moved lower. 2.PREVIOUS HIGH Also a valid high. Although it got took out, it remains valid as after the 4h close, the follow up 4h candlestick never reversed as compared to high 3. 3.INVALID HIGH Although termed as invalid, when one observes such a high in real time, it is valid and can be useful as an entry model when supported by the right bias, in this case Bearish, it becomes invalid after being wicked out by the follow up candlestick and price moves lower as seen at the blue line. Invalid highs are observed when there are no highs in sight or they are too far after a candlestick/price closes against the current bias.
FOREXCOM:XAUUSDEducation
by notxf
10Y Futures Case Study: Trading the Breakout with Defined Risk1. Introduction The 10-Year Yield Futures market has recently drawn attention as it builds a constructive base and attempts to shift momentum higher. After weeks of choppy movement, price action on the 4-hour chart has resolved into a breakout scenario that could define the next leg for yields. At the heart of this case study is a double bottom formation, a classical reversal structure, confirmed at 4.321. What makes this setup more compelling is the presence of nearby support and resistance zones, providing a precise technical framework to define entries, targets, and stop placement with discipline. 2. Double Bottom Pattern The double bottom is one of the most reliable chart patterns signaling the potential exhaustion of selling pressure. It typically forms after a downtrend, with two consecutive troughs creating a strong support base before buyers regain control. In the current 10-Year Yield Futures chart, the first bottom occurred near 4.20, followed by a retest close to the same level. The neckline breakout emerged at 4.312, marking the confirmation point. Applying classical pattern analysis, the measured move points toward a target near 4.396. This alignment of structure and projection provides traders with a clear and objective technical roadmap. 3. MACD Confirmation Momentum indicators often add depth to price action analysis, and the MACD (Moving Average Convergence Divergence) is one of the most widely followed. Built from the relationship of short- and long-term moving averages, it helps reveal underlying shifts in strength. In the current 10-Year Yield Futures chart, the MACD displayed a positive divergence: while price carved lower lows during the second bottom, the MACD lines began to slope higher. This divergence often signals weakening bearish momentum and the early stages of accumulation. In this case, it reinforces the validity of the double bottom breakout and its bullish potential. 4. UFO Support & Resistance UnFilled Orders, or UFOs, represent areas where pending buy or sell orders may remain active, providing powerful zones of support or resistance. On the 10-Year Yield Futures chart, a key UFO support sits just below the breakout at 4.278, making it a logical stop-loss placement to protect the trade. Meanwhile, the upside target of the double bottom at 4.396 coincides with a UFO resistance zone. This overlap creates a clear exit area where supply may re-emerge. By combining classical charting techniques with order-flow–based zones, traders gain a structured plan that balances opportunity with risk control. 5. Trade Idea (Illustrative Case Study) In this case study, the trade idea develops around the breakout point of 4.312 with the current price at the time of writing this article of 4.321. A trader could consider going long if the market sustains above this neckline level. The projected target is the resistance zone at 4.396, while the protective stop loss can be placed just below the UFO support at 4.278. This creates a defined risk profile with a reward-to-risk ratio of roughly 2:1. Alternatively, more conservative traders might consider a wider stop beneath the second bottom, offering more tolerance against volatility but at the expense of risk-reward efficiency. Both options maintain risk clarity and structure. 6. Contract Specifications & Margin Overview The 10-Year Yield Futures (ticker: 10Y or 10Y1! on TradingView) is a cash-settled futures contract that tracks the 10-year U.S. Treasury yield directly. The gain or loss per tick per contract is as follows: 1 tick = 0.001 Index points (1/10th basis point per annum) = $1.00. According to CME’s margin schedule (which changes as market conditions change through time), the current margin requirement is approximately $300 per contract. These relatively modest requirements make the product accessible while still providing meaningful exposure to U.S. interest rate markets. 7. Importance of Risk Management Even with technically strong setups, the defining factor between consistent traders and inconsistent ones is risk management. Futures are leveraged products, meaning a small price move can translate into significant profit or loss. Using stop-loss orders helps enforce discipline, ensuring that one trade does not spiral into uncontrolled exposure. In this case, the support at 4.278 provides a logical technical area for a stop. Regardless of market outlook, avoiding undefined risk is key to long-term survival and consistency. 8. Closing Remarks The alignment of a double bottom breakout, positive MACD divergence, and key support and resistance zones creates a textbook technical case study in the 10-Year Yield Futures market. With a clearly defined entry, target, and stop-loss, this setup demonstrates how combining price patterns with momentum and order-flow levels can help build structured trade plans. Yet, no analysis guarantees outcomes, and discipline remains at the core of every approach. When charting futures, the data provided could be delayed. Traders working with the ticker symbols discussed in this idea may prefer to use CME Group real-time data plan on TradingView: www.tradingview.com - This consideration is particularly important for shorter-term traders, whereas it may be less critical for those focused on longer-term trading strategies. General Disclaimer: The trade ideas presented herein are solely for illustrative purposes forming a part of a case study intended to demonstrate key principles in risk management within the context of the specific market scenarios discussed. These ideas are not to be interpreted as investment recommendations or financial advice. They do not endorse or promote any specific trading strategies, financial products, or services. The information provided is based on data believed to be reliable; however, its accuracy or completeness cannot be guaranteed. Trading in financial markets involves risks, including the potential loss of principal. Each individual should conduct their own research and consult with professional financial advisors before making any investment decisions. The author or publisher of this content bears no responsibility for any actions taken based on the information provided or for any resultant financial or other losses.
CBOT_MINI:10Y1!Education
by traddictiv
What Bees Can Teach Us About Trading!At first glance, bees and trading seem worlds apart. But look closer, and you’ll find powerful lessons traders can learn from the hive: 🏗️ Discipline & Structure Every bee knows its role and sticks to it. Traders too must follow their plan with precision. 🛡️ Risk Management Forager bees never all leave at once; they manage risk for the colony. Traders should also protect capital and avoid going “all in” on one setup. 🔍 Pattern Recognition Bees know when and where to collect nectar. Traders rely on recognizing price patterns and market cycles. ⏳ Patience & Consistency A single bee’s contribution is small, but millions of trips create honey. Trading success also comes from consistent small gains that compound. 🧘 Emotional Control Bees don’t let fear or greed guide them; they follow their system. The same applies to traders who stay calm and disciplined. 👉 In short: Trade like a bee — structured, patient, and focused on the bigger picture. 📚 Always follow your trading plan regarding entry, risk management, and trade management. Good luck! All Strategies Are Good; If Managed Properly! ~Richard Nasr Disclosure: I am part of Trade Nation's Influencer program and receive a monthly fee for using their TradingView charts in my analysis.
TRADENATION:XAUUSDEducation
by TheSignalyst
20
price action resistance level ( without much of indicators) this is an idea about how to prepare a view on various stocks of an index , based on the index price-action analysis , here we have a bearish view on the SIXB index , based on the behaviour of price-action of recent candles ( 3h) . 3H is taken for having lesser clutter on charts and also have smaller time ( lesser than 1D candle ) frame view . there is a strong resistance level visible, which has created a selling pressure twice , which created two lower lows . and as the prices reached this resistance level , it started wobbling up-down , which shows the confusion and two forces acting on the prices ( bull and bears ). ( when the market moves swift and clean , it shows majority of the market players are in agreement of same direction ) here the prices are the resistance level as already seen , and now to take a trade here in the index or index constituents , we need a confirmation of breach of trendline, and prices plotting lower highs and lower lows . the trade target becomes the first recent support level or cluster of supports ( dotted yellow line ) approx. 4% target invalidation of this view , or stop loss is also market few pips above the recent top ( which is weaker top ) approx. 2% stop loss risk to reward : 1 :2 further breaking down the analysis for the bearish view is : observe the number of candles prices could sustain above the resistance level , very few .. and every time it managed to breach the resistance level it created a LOWER LOW .. which is much much significant thing to note. and if the trendline is breached now , we can expect a newer lower low which comes to beyond the current cluster of supports as well . based on this view on the index , one needs to check for the confluence in the major constituents of the same index being discussed . if you find the confluence between the index and the constituent , go on with the trade ... and if you don't find the confluence then that scrip becomes the candidate for further investigation which is beyond technical analysis ( like financial , fundamental analysis ) Major constituents of the index NASDAQ:LIN NYSE:SHW NYSE:NEM NYSE:VMC NYSE:MLM NYSE:APD this is just a tutorial for analysing price action , without much use of indicators , for basic starter traders . joining 2-3 blocks of such analysis gives a more robust picture ( some price action , some indicators , and some stock comparison ) hope this helps !
SEducation
by anujology
2
Mastering indecision candlestick patterns - How to use it!In this guide I will explain the indecision candlestick patterns. The next subjects will be discussed: - What are indecision candlestick patterns? - What is the doji? - What is the spinning top? - What is the high wave candle? What are indecision candlestick patterns? Indecision candlestick patterns are formations on a price chart that suggest uncertainty in the market. They appear when neither buyers nor sellers have full control, meaning the price moves up and down during the trading period but closes near where it opened. This creates a candle with a small real body and often long wicks on either side, showing that the market explored both higher and lower prices but ended up not committing strongly in either direction. These patterns are often seen during periods when traders are waiting for more information before making bigger moves. What is the doji? One of the most well-known indecision candles is the doji. A doji forms when the opening price and the closing price are almost identical, resulting in a very thin body. The wicks, which show the highest and lowest prices of the period, can be long or short depending on market activity. A doji tells us that buying and selling pressure were almost equal, which can happen during pauses in trends or before major reversals. What is the spinning top? Another type is the spinning top. A spinning top also has a small body, but unlike the doji, the open and close are not exactly the same. The wicks on both sides are typically of similar length, indicating that the market moved both up and down significantly before settling close to the starting point. This pattern reflects hesitation and a balanced struggle between bulls and bears. What is the high wave candle? The high wave candle is a more dramatic version of indecision. It has a small real body like the other patterns but features very long upper and lower shadows. This means the market swung widely in both directions during the period, but ultimately closed without making strong progress either way. The high wave candle signals strong volatility paired with uncertainty, which can often precede sharp moves once the market chooses a direction. When you see these types of candles, they are essentially the market saying “I’m not sure yet.” They often appear at turning points or before big news events and can warn that the current trend may be losing strength. However, they are not guarantees of reversal or continuation on their own. Traders usually combine them with other technical signals or chart patterns to confirm whether the market will break out in one direction or the other. ------------------------- Disclosure: I am part of Trade Nation's Influencer program and receive a monthly fee for using their TradingView charts in my analysis. Thanks for your support. If you enjoyed this analysis, make sure to follow me so you don't miss the next one. And if you found it helpful, feel free to drop a like 👍 and leave a comment 💬, I’d love to hear your thoughts!
TRADENATION:BTCUSDEducation
by Youriverse
53
The Compression Break: Identifying the Spring Before ExpansionDifficulty: 🐳🐳🐳🐋 (Intermediate) This article is for traders who want to recognize and trade explosive moves that form after periods of tight price compression. Perfect for those familiar with structure, volume, and volatility concepts. 🔵 INTRODUCTION Price doesn’t move in a straight line — it breathes. It expands when there’s imbalance, and it compresses when the market is building energy. The most powerful moves often start with a compression phase — a tight, controlled price range — before a sudden breakout. Learning to spot these “springs” before they snap can give you trades with excellent risk/reward ratios and clear invalidation points. 🔵 WHAT IS COMPRESSION? Compression occurs when price volatility shrinks, and each swing becomes smaller than the last. It looks like price is being “squeezed” between converging support and resistance levels. Common causes of compression: Liquidity build-up before a major session open Market waiting for a news release or key event Institutional positioning before a drive The tighter the range, the bigger the potential release. 🔵 WHY IT MATTERS Compression is important because: It reveals where the market is balanced and undecided It creates a high-energy environment — a small push can trigger big moves It offers tight stop-loss placement and clear breakout targets Think of it like a coiled spring: the more it’s compressed, the more explosive the release. 🔵 HOW TO IDENTIFY COMPRESSION 1️⃣ Price Action Clues Consecutive smaller candles with overlapping ranges Lower highs + higher lows (triangle formation) Reduced wick size in the final stages before breakout 2️⃣ Volume Clues Declining volume during the squeeze Sudden volume spike as breakout begins 3️⃣ Volatility Clues ATR (Average True Range) dropping to local lows Bollinger Bands narrowing (optional) 🔵 TRADING THE COMPRESSION BREAK Step 1: Define the Box Mark the high and low of the compression range. This will be your breakout reference. Step 2: Wait for Volume Confirmation Avoid jumping in on the first tick outside the box. Wait for a volume surge or strong close beyond the boundary. Step 3: Trade in the Breakout Direction Entry: After confirmed breakout close Stop Loss: Inside the compression range Target: Equal to the height of the compression box or previous swing high/low 🔵 EXAMPLE SCENARIO Price compresses for more then 10 bars into a tight range Volume steadily declines → ATR hits a local low A big body bullish candle breaks above range high with 2× average volume Entry at breakout close, stop inside range, target = box height projected upward or 1:2 RR 🔵 ADVANCED TIPS Align with higher timeframe trend for higher probability Watch for false breakouts (liquidity sweeps) before real move Combine with order blocks or VWAP to refine entries Use session timing — many compression breaks happen at market opens 🔵 CONCLUSION Compression is the market’s way of loading a trade with potential energy. When you spot it, you’re seeing the buildup before the burst. Trade it with patience, volume confirmation, and proper structure, and it can become one of your highest-probability setups. Have you traded compression breaks before? Share your best example in the comments!
Education
by BigBeluga
11
XAUUSDThe Relative Strength Index (RSI), developed by J. Welles Wilder, is a momentum oscillator that measures the speed and change of price movements. • Traditionally the RSI is considered overbought when above 70 and may be primed for a trend reversal or corrective pullback in price, and oversold or undervalued condition when below 30. During strong trends, the RSI may remain in overbought or oversold for extended periods. • Signals can be generated by looking for divergences and failure swings. If underlying prices make a new high or low that isn't confirmed by the RSI, this divergence can signal a price reversal. If the RSI makes a lower high and then follows with a downside move below a previous low, a Top Swing Failure has occurred. If the RSI makes a higher low and then follows with an upside move above a previous high, a Bottom Swing Failure has occurred • RSI can also be used to identify the general trend. In an uptrend or bull market, the RSI tends to remain in the 40 to 90 range with the 40-50 zone acting as support. During a downtrend or bear market the RSI tends to stay between the 10 to 60 range with the 50-60 zone acting as resistance This study aim to implement Relative Strength concept on most common Volume indicators, such as • Accumulation Distribution is a volume based indicator designed to measure underlying supply and demand • Elder's Force Index (EFI) measures the power behind a price movement using price and volume • Money Flow Index (MFI) measures buying and selling pressure through analyzing both price and volume (used as it is) • On Balance Volume (OBV), created by Joe Granville, is a momentum indicator that measures positive and negative volume flow • Price Volume Trend (PVT) is a momentum based indicator used to measure money flow Plotting will be performed for regular RSI and RSI of Volume indicator (RSI(VOLX)) selected from the dialog box, where the possibility to apply smoothing is provided as option. Additionally, labels can be added optionally to display the value and name of selected volume indicator Secondly, ability to present Volume Histogram within the same study along with its Moving Average or Volume Oscillator based on selection Finally, Volume Based Colored Bars, a study of Kıvanç Özbilgiç is added to emphasis volume changes on top of the bars Nothing excessively new, the study combines RSI with; - RSI concept applied to some of the common Volume indicators presented with a highlighted over/under valued threshold area, optional labeling and smoothing, - added Volume data with additional information and - colored bars based on volume Thanks Vishant_Meshram for the inspiration 🙏
OANDA:XAUUSDEducation
by rudytiaw
CRUDE OIL FUTURES ## Views on the Crude Oil Futures Chart (MCX) This chart represents daily price action for *Crude Oil Futures* on MCX as of August 14, 2025. Here are some key observations and insights: ### Price Action & Trend - The trend since February shows an initial *downward movement, followed by a significant **reversal and uptrend* from late April to June. - After peaking above 6,500 in June, prices have retraced and entered a *sideways/consolidation phase*. ### Key Technical Levels - *Support levels*: 5,506 (current), 5,495, and 5,442. Price is currently testing a major horizontal support zone. A breakdown below these could trigger further bearish momentum. - *Resistance levels*: 5,663, 5,800, 5,865, 5,944, 6,184, 6,575. These are potential areas where price may pause or reverse on an upward move. ### Candlestick Analysis - The latest candle signifies a bounce off the 5,506 support with slight bullish intent (close is above open), but there’s visible bearish pressure in recent sessions. ### Volume & Sentiment - Volume for the session stands at 5.04K—slightly increased, indicating active participation around this key support level. ### Summary & Outlook - If prices sustain above the *5,500 support zone*, a rebound towards 5,663 and higher resistance levels is possible. - If the 5,500 zone fails, expect a move towards lower supports at 5,495 and 5,442. - Watch for strong bullish candles or volume spikes to confirm any reversal. *Note:* This analysis is graphical and technical in nature. Actual trading decisions should account for broader market context and news events, as technical levels can be invalidated quickly in volatile markets.
MCX:CRUDEOIL1!Education
by Hemalshah2222
1
Triangles, Flags, and Pennants — Guide to Continuation PatternsChart patterns can be mysterious — until they’re not. Let’s break down the technical trio that tells you when a trend’s just taking a breather before it flexes again. So your chart’s been pumping higher for weeks, and then… nothing. Price starts scribbling sideways. Cue panic? Maybe. But more likely, you’re staring at a continuation pattern. Triangles, flags, and pennants are the subtle “hold my beer before I try to pull a move” signals of technical analysis. They show up when markets pause — not reverse. That pause could mean your trend is catching its breath, not dying in a ditch. In other words: don’t close your longs just because things go quiet. Sometimes the market is just stretching before it sprints again. ⚠️ Symmetrical, Ascending, Descending Let’s talk triangles, the Swiss Army knife of consolidation. These shapes come in three stylish varieties: ● Symmetrical triangle: Higher lows, lower highs. Traders call this the indecision pattern, but don’t get it twisted — it may just be winding up for a breakout. Wanna see how these look in practice? Dive into our community’s symmetrical triangle ideas . ● Ascending triangle: Flat top, rising bottom. Buyers are aggressive, their patience is running out. Resistance looks like it’s begging to be broken. Check the ascending triangle ideas for your viewing consideration. ● Descending triangle: Flat bottom, falling top. This one’s more bearish than your boomer uncle who knows zero about Bitcoin BITSTAMP:BTCUSD , and yes — it’s often a precursor to a breakdown. Follow the descending triangle ideas and make sure you DYOR. Key tip : Wait for the breakout. Don’t front-run triangles unless you like volatility surprises and emotional damage. 🚩 Flags: Fast Moves, Tight Consolidations Flags form after a sharp price move — the “flagpole” — followed by a tight, slightly sloping channel that moves against the prevailing trend. They’re short-term patterns that act like pit stops during a race. ● In a bull flag, price rallies sharply, then consolidates lower in a downward-sloping rectangle. If price breaks above the upper boundary, the uptrend is likely to resume. Jump straight into the bullish flag ideas . ● In a bear flag, price crashes, then drifts higher or sideways, forming an upward-sloping consolidation. A breakdown below the lower support hints at a continuation lower. What goes up must go down — bearish flag ideas for thought. Flags are prized for their reliability and tight risk-to-reward setups. The breakout is typically swift, and traders often use the length of the flagpole as a projected target. 🎏 Meet the Pennant: The Flag’s Cousin Pennants are like mini-triangles that form after a strong price move, usually in high-volume conditions. Unlike regular triangles, they’re smaller and more compressed — a tight consolidation in the shape of a tiny symmetrical triangle. What makes a pennant different from a flag? The structure. While flags are rectangular, pennants are more pointed — a converging pattern rather than parallel lines. Pennants are often seen in high-momentum environments, and when price breaks out of the consolidation zone, it often does so with force. Get some pennant ideas straight from our community. 🧐 How to Actually Trade These Patterns Spotting a continuation pattern is one thing. Trading it with discipline is another. Here’s a basic checklist: ● Identify the trend. Continuation patterns only work when there’s a clear preceding move. If the chart is a sideways mess, maybe skip it. ● Draw your levels. Use trendlines or horizontal support/resistance to outline the pattern. Keep it clean — if you’re forcing a pattern, it probably isn’t there. ● Wait for the breakout. Don’t jump in too early. Let the price confirm your bias. Breakouts are more credible with a volume spike. ● Set your stop wisely. Most traders place stops just outside the opposite side of the pattern — below the lower trendline in an uptrend, or above the upper trendline in a downtrend. ● Target projection. Many use the height of the pattern or the flagpole to estimate a target price, though market conditions should influence your approach. 🤔 So, What Could Go Wrong? Glad you asked. Plenty. ● Fakeouts: Just because it looks like a breakout doesn’t mean it’s real. Wait for confirmation — volume, a close outside the pattern, or your favorite indicator giving the green light. ● Shaky patterns: Not every triangle-looking pattern is a triangle. Sometimes it’s just noise. Don’t make up patterns. The market doesn’t care about your geometry. ● Overleveraging: Continuation patterns look reliable, but no pattern is bulletproof. Position sizing still matters. Don’t bet the farm because a pennant gave you butterflies. 💡 Pro Tips from the Chart Trenches ● Set alerts on trendline breaks so you’re not glued to the screen like a caffeinated hawk. ● Use pattern recognition tools if you’re a newer trader — but verify manually. No software is a crystal ball. ● Trade continuation patterns in the direction of the trend. Countertrend flags are usually bear traps in disguise. 📌 One Last Thing: Pattern ≠ Prediction Chart patterns don’t tell the future. They tell a story about buyer and seller behavior. Continuation patterns? They’re just the market saying, “Yeah, we’re still into this trend. Just grabbing some break first.” Use them as one part of a system. Combine them with momentum indicators, volume, or good ol’ fashioned risk management. Because in the end, it’s not about how many triangles you find — it’s about how many fakeouts you avoid. Off to you : Spotted any textbook triangles or sneaky flags this week? Or caught a pennant fakeout that wrecked your stop loss? Drop your best (or worst) continuation pattern story below. You never know who might learn something from your chart scars.
Education
by TradingView
21
Bullish Energy in Natural Gas: -DMI Extreme + Wedge BreakoutThe Spark in the Gas Market Natural gas has been quietly simmering in recent weeks, building pressure beneath a surface of consolidation. Traders watching closely will have noticed a rare alignment — one that history shows can potentially precede outsized moves. We’re talking about the convergence of two powerful signals: a -DMI yearly extreme and a falling wedge breakout. In the past, this combination has marked moments when bearish momentum had run its course, giving way to swift and decisive bullish reversals. Now, that same alignment is flashing again, inviting a closer look at the technical landscape and the potential opportunities it presents. Why This Setup Matters The -DMI (Directional Movement Index) measures the strength of downward price moves. When it pushes beyond two standard deviations above its yearly linear regression channel, it signals an overextended bearish phase. Historically, these extremes have often coincided with market bottoms in Natural Gas Futures. Layer on top a falling wedge — a bullish reversal chart pattern — and the probability of an upside move gains weight. The wedge compresses price action into a narrowing range, reflecting reduced volatility and setting the stage for a potential explosive breakout once resistance gives way. The current breakout level sits near 3.18, with technical projections aligning closely to a well-defined UFO resistance (UnFilled Orders) zone around 3.90. The Technical Story Unfolds Looking at the daily chart in the present, the -DMI has recently breached the +2 standard deviation boundary of its 252-period regression channel — a rare occurrence that, as said, has preceded multiple major bullish reversals in the past year. When this condition appeared, downside momentum often faded, making room for buyers to take control. This time, the current signal aligns with a falling wedge that has been developing for weeks. Price is about to break above the wedge’s upper boundary at approximately 3.18, suggesting a potential trend reversal. The Trade Blueprint Direction: Long Entry: 3.18 (confirmed breakout above wedge resistance) Target: 3.90 (wedge projection + UFO resistance) Stop Loss: 2.858 (below wedge and technical support floor) Reward-to-Risk Ratio: ~2+ to 1 This structure allows traders to define risk tightly while targeting a meaningful upside move. The setup applies equally to both Natural Gas Futures (NG) and Micro Natural Gas Futures (MNG), offering flexibility in capital allocation. For smaller accounts or those wanting to reduce margin exposure, the MNG contract delivers the same tick size precision with only one-quarter of the notional value. The Contract Advantage Natural Gas Futures (NG) represent 10,000 MMBtu per contract, with a minimum tick size of 0.00025 — equivalent to $2.50 per tick. Micro Natural Gas Futures (MNG) are one-tenth the size at 1,000 MMBtu per contract, with the same 0.00025 tick size equaling $0.25 per tick. Margin requirements vary with volatility and exchange adjustments, but at the time of writing, the CME lists initial margin for NG in the range of $3,500 per contract, while MNG margins are proportionally lower at $350 per contract. This creates flexibility for traders to scale positions or manage risk without altering the technical logic of the trade. Both contracts trade nearly 24 hours per day, Sunday through Friday, offering the ability to react to global energy market shifts in real time. Risk Management as the Safety Valve Defining risk is the cornerstone of any trade plan. The stop loss at 2.858 is not arbitrary — it sits below both the wedge’s lower boundary and a nearby technical support level. If price were to close below this level, it would undermine the bullish thesis and call for an exit. Using smaller MNG contracts can help align risk with account size, allowing for partial position scaling and better drawdown control. Equally important is avoiding undefined risk scenarios, particularly in a commodity as volatile as natural gas. Precision in both entries and exits reduces exposure to intraday whipsaws while maintaining the trade’s structural integrity. Closing the Loop The natural gas market has aligned a rare set of conditions — a -DMI yearly extreme and a falling wedge breakout — each of which has historically preceded significant upside moves on their own. Together, they offer a compelling technical case for a defined, risk-managed long position targeting the 3.90 zone. While no setup guarantees success, this one seems to offer clarity: a well-defined entry, stop, and target, supported by historical probability and pattern structure. In volatile markets, those moments of clarity are worth paying attention to — and acting on with discipline, and always depending on the trader’s trading plan. When charting futures, the data provided could be delayed. Traders working with the ticker symbols discussed in this idea may prefer to use CME Group real-time data plan on TradingView: www.tradingview.com - This consideration is particularly important for shorter-term traders, whereas it may be less critical for those focused on longer-term trading strategies. General Disclaimer: The trade ideas presented herein are solely for illustrative purposes forming a part of a case study intended to demonstrate key principles in risk management within the context of the specific market scenarios discussed. These ideas are not to be interpreted as investment recommendations or financial advice. They do not endorse or promote any specific trading strategies, financial products, or services. The information provided is based on data believed to be reliable; however, its accuracy or completeness cannot be guaranteed. Trading in financial markets involves risks, including the potential loss of principal. Each individual should conduct their own research and consult with professional financial advisors before making any investment decisions. The author or publisher of this content bears no responsibility for any actions taken based on the information provided or for any resultant financial or other losses.
NYMEX:NG1!Education
by traddictiv
Think of RSI like a car’s speedometer: The speed (RSI) changes b"Think of RSI like a car’s speedometer: The speed (RSI) changes before the position (price) changes direction." 1. What RSI actually is? RSI (Relative Strength Index) is just a math transformation of price data. It measures the ratio of recent upward moves to downward moves over a period (often 14 candles) and compresses it into a 0–100 scale. 2. Why RSI sometimes “moves first” This isn’t magic — it’s because RSI is sensitive to the speed and size of recent price changes, not just direction. - If price is still going up but at a slower pace, RSI can already start turning down. - If price is falling more gently than before, RSI can start curling up before price actually reverses. 3. Why traders care about RSI reversals? - If RSI starts turning down from an overbought level while price is still climbing, it can be an early warning of a possible price top. - Same for the opposite: RSI turning up from oversold while price still dips can signal an upcoming bounce. 4. RSI above or below 50 50 on the RSI is the “momentum neutral” line. - When RSI is above 50, recent gains outweigh recent losses → momentum is bullish. - When RSI is below 50, recent losses outweigh recent gains → momentum is bearish. 5. The “delay” you see The delay is more about your eyes than the math: - RSI smooths recent price moves (average gains/losses), so it reacts slightly ahead to changes in momentum. - Price must actually reverse for you to “see” it, but RSI reflects that change in momentum first. - Think of RSI like a car’s speedometer: The speed (RSI) changes before the position (price) changes direction. 6. How to deal with noise* in RSI? Use higher timeframes (1D, 1W, 1M) to confirm signals from small charts. *Noise in trading = small, random price movements that don’t reflect the bigger trend. On a 1-minute or 5-minute chart, there’s a lot of this — caused by scalpers, bots, spreads, liquidity gaps, and normal market “chatter.”
BINANCE:BTCUSDEducation
by MiguelFTCurado
1
RSI Divergence - Daily ChartsWhat is RSI Divergence? RSI Divergence occurs when the price action and the RSI indicator move in opposite directions. It signals a potential trend reversal or correction. As shown in the chart, Clearly marked the real time scenario. Manipulation can be done in the prices but they cant manipulate RSI meter. 🔻 Types of RSI Divergence 1. Bullish Divergence Price makes lower lows RSI makes higher lows 🔁 Suggests weakening bearish momentum → potential upward reversal 2. Bearish Divergence Price makes higher highs RSI makes lower highs 🔁 Suggests weakening bullish momentum → potential downward reversal Enhance your trading with simple concepts. Go deep not broad.
NSE:HEROMOTOCOEducation
by SwingAcademy
BTCUSD at point of decision Bitcoin on the 15-minute timeframe is moving within a broad ascending channel. Price is currently around $116,331 and consolidating inside a symmetrical triangle, sitting near the channel’s lower support. There are signs of a potential bullish move, with a possible breakout aiming toward the $118,800 area, which aligns with the channel’s upper boundary. The chart also marks previous demand around $114,000, suggesting it could act as support if price drops. While the main idea leans bullish, there is a possibility of a fake breakout before moving lower, showing caution that momentum might fail. Let’s see a breakout on either side before taking a trade.
BITSTAMP:BTCUSDEducation
by Valentino34
MEMEFİUSDT CHART ANALYSİS WHAT IS A CRYPTO WALLET? Cryptocurrency wallets, or simply crypto wallets, are places where traders store secure digital codes needed to interact with a blockchain. They do not actively store your cryptocurrencies despite what their name may lead you to believe. Crypto wallets need to locate the crypto associated with your address in the blockchain, which is why they must interact with it. In fact, crypto wallets are not as much a wallet as they are ledgers: They function as an owner’s identity and account on a blockchain network and provide access to transaction history.
MEducation
by EngineeringRobo
Some Traders Only See The Bait, But Not The HookLet’s get one thing straight: if you seriously think you’ve discovered a “secret” setup that you saw in a YouTube video with 1 million views, and it’s right there on the chart – clean, centered, elegant – congrats. You’re already on the hook. Welcome. You’re liquidity. 🧼 “Clean breakout” = dig your own grave, enthusiastically It’s honestly beautiful how thousands of traders see the same “clean breakout,” the same “double bottom,” the same “bullish engulfing,” and all believe they’re geniuses. They enter confidently, with a “perfect oversold” RSI, a “confirmed” MACD, and maybe even the moon in Capricorn. Then, of course, the market spits their orders back in their face at 300 km/h. Standard response? “It was manipulation.” No, bro. It was bait. You were the fish. You bit. The market says thank you for your participation and moves on. 🧠 If you see what everyone else sees, it’s useless What most don’t get is this: if a setup looks “too clean,” it will most probably not work. If you see it, everyone sees it. If everyone thinks something is “about to explode,” that means it’s being used – to attract orders. Your money. Your emotions. Exactly what bigger players need to exit, gracefully – on your dime. The market is like an exclusive party: if you found out about it, it’s already lame. 💅 That warm feeling of “certainty”? Yeah, you’re screwed The irony? The moments when a trader feels most certain are exactly the moments when they’re most exposed. The market wants you to feel relaxed. Wants you to think “this is the one.” It’s like a drug dealer giving you your first hit for free, with a smile. Not because he likes you, but because he knows you’re hooked. So when you feel “sure” – check your mouth. You might already be on the hook. 🤡 “But it was an A+ setup!” Of course it was. The A+ setup – seen, tested, recycled, and re-sold thousands of times. The one that works great in textbooks, backtests, webinars, and in the wet dreams of those who think they just need “a perfect strategy”. But the market isn’t here to validate your setup. It’s here to take your money. From whom? From those who still think it’s a “fair game.” Spoiler: it’s not. 🤔 If you’re gonna bite, at least ask: who’s holding the line? Look at any “clear opportunity” and ask the magic question: “Who benefits from what I’m seeing right now?” If the answer is “me ” – you’re in trouble. If you don’t know – you’re in even more trouble. The market is full of traps dressed up as opportunities. Hooks that move slowly, with sexy candles, to lure in the kind of trader who only learned the “buy low, sell high” part – but skipped the chapter on “ don’t bite every shiny thing you see. ” 🎬 Bottom line: The market doesn’t try to fool you. You’re already doing that yourself. The market doesn’t need complex tricks. All it needs is people in a hurry, easy to excite, who never ask the right questions. Who see a green candle and think, “This is it.” Who don’t bother looking for the hook because they’re too busy dreaming about the profits. If you want to trade seriously, it’s simple: Don’t ask “Where do I enter?” Ask: “Where do they want me to enter?” And if you’re already there… run. 🧭 Alright, now seriously ( I mean, I tried to be funny above – but let’s get real for a second ) Let’s look at a few concrete recent examples from the market: 📉 EUR/USD On Monday, I mentioned that price was testing resistance and could offer a nice selling opportunity. But… I changed my mind. (You know... dynamic probabilities ) The pattern was way too clean, too clear, too pretty. And of course, price broke above. Because if it looks too obvious – it’s probably already bait. 🟡 XAU/USD (Gold) Since yesterday, I’ve been talking about the potential for an upside breakout. Why? Because 3380–3385 resistance zone is way too clean. Everyone sees it. Everyone talks about it. Everyone sells there. Which makes me ask: if everyone’s expecting a drop… isn’t that, once again, just bait? Here is my Gold analysis from today: BTC/USD We all see the confluence of support. The perfect alignment. The setup that screams “Buy me.” But what if it’s too perfect to be true? What if it’s just another classic trap – the kind that gets everyone excited before the drop comes. 💡 Now don’t get me wrong – this isn’t about abandoning technical analysis. Far from it. For me, it’s essential. But we’ve got to use it differently. ✅ Not as a treasure map ❌ But as a battlefield map showing us where the traps are laid So maybe… don’t bite like a lizard the second something shiny pops up on your chart. Instead, ask yourself: “Does this make sense… or does it make too much sense? ” Because in trading, when something looks too clean – that’s exactly when it gets dirty. Disclosure: I am part of TradeNation's Influencer program and receive a monthly fee for using their TradingView charts in my analyses and educational articles.
TRADENATION:XAUUSDEducation
by Mihai_Iacob
20
Pennant — Trend Is Your Best Friend 🚩 Pennant — Trend Is Your Best Friend 📈 drive.google.com 🔍 Introduction The Pennant is a trend continuation pattern, resembling a small triangle that forms after a strong initial move (known as the “flagpole”). It is similar to the Flag pattern, but with one key difference: the body of the Pennant is formed by two converging trendlines, rather than parallel ones. 📐 Pattern Description The Pennant forms after a strong, impulsive price move, indicating that the trend is likely to continue after a short pause. Like the Flag, the Pennant consists of two main components: The flagpole — a sharp, directional move (either bullish or bearish) The Pennant body — a brief consolidation shaped like a symmetrical triangle 🔺 🟢 A bullish pennant forms after a strong upward move 🔴 A bearish pennant follows a strong downward move 🧠 Market psychology behind the pattern: After a big move, many traders expect a reversal and begin taking counter-trend positions. But when the breakout occurs in the direction of the original trend, it triggers a wave of new orders, pushing price even further. That’s why the Pennant is often used to enter trades in the direction of the dominant trend. 📉 Volume behavior is also key: High volume during the initial move Low volume during the Pennant’s consolidation Rising volume on the breakout This volume pattern reflects renewed trader interest and often leads to a more explosive breakout compared to a Flag, due to the tightening nature of the consolidation. ⚠️ A weak or sloppy move before the Pennant weakens the signal and increases the risk of false breakouts. 🎯 Entry & Stop-Loss Strategy 📥 Entry: After a confirmed breakout above the Pennant’s resistance (or below it for bearish setups) 🛑 Stop-loss: Placed just below the last local low before breakout 💰 Profit Target: Partial take profit at the top of the flagpole Full target = the height of the flagpole projected from the breakout point (aka the Measured Move) Always account for key support/resistance levels to define the potential range 💡 The Pennant often offers great risk/reward due to its tight structure and explosive potential. 💡 My Pro Tips for Trading Pennants ✅ Pennant Pattern Criteria Trend continuation pattern A strong, nearly vertical move preceding the Pennant Triangle-shaped consolidation (two converging lines) The Pennant body must be shorter than the flagpole The lowest point of the Pennant should not exceed half the length of the flagpole Breakouts should happen in the direction of the initial trend Tight range before breakout increases accuracy 📈 What Strengthens the Signal Sharp, clean, directional initial move (strong flagpole) ⚡ High volume on the initial move, and volume surge on breakout 💥 ⚠️ What Weakens the Signal Choppy or weak price action before the Pennant 🫤 Lack of volume during the flagpole or breakout 💤 ✅ Examples of My Winning Pennant Setups 🔗 EURUSD Bearish Pennant — Ready to Drop ❌ Examples of My Losing Setups 🔗 XAUUSD Bullish Pennant — Failed Follow-through 💬 Do You Trade Pennants? They’re one of the most powerful continuation patterns when paired with clean price action and volume confirmation. What’s your experience with Pennants? Share your wins — and fails — below 👇👇
Education
by ProfessorSingapore
1
Understanding Trend Reversals: Switch Levels & Peak Formations EAs traders, one of our biggest challenges is identifying the trend and recognizing when it's rolling over to form a peak formation. In this video, I’ll give you a quick yet powerful introduction to the theory behind switch levels and peak formations — key concepts for understanding trend strength, spotting reversal zones, and determining when a high or low is potentially locked in. Whether you’re a beginner or refining your strategy, this video will help you better develop your bias by recognizing when a trend is losing momentum. 📌 Topics Covered: What are Switch Levels? Identifying Peak Formations How to Confirm a Locked-In High or Low Reading Trend Strength and Shift Signals
Education
by TC888
2