Get started

Contains IO script

Wyckoff Up-Thrust - This is how to identify using Speed indexClassic Wyckoff Up-Thrust formation, this is how to read it using Speed Index (annotations in sync with the chart): 1. Fib Area - this is where sellers might come in 2. FU - Fast Up wave with SI 0.4F 3. Next up wave with an abnormal SI of 1.0S while the average speed at 0.5, which means price has a hard time to move up (more sellers on the up move). Following the up wave on the down move we have double Short signals WU-Wyckoff Up-Thrust and PRS-Plutus Reversal Short and this where we enter. I hope this was helpful. Enjoy!
Education
by TradeTheVolumeWaves
Building Liquidity: What It Really Means🔵 Building Liquidity: What it really means Professional traders often need liquidity (buyers and sellers) to enter/exit large positions without moving the market too much. This means manipulating the market within a pre-determined range, which serves as the operating center for everything that follows. 🔹 How is liquidity built Price Ranging: Sideways consolidation before big moves attracts both buyers and sellers. False Breakouts (Stop hunts): Price may briefly break support/resistance to trigger retail stop-losses and fill institutional orders. News Timing: Pro traders often execute during or just before major news when volatility brings liquidity. 🔹 How can you spot a Liquidity-building zone 🔸 Volume Unusual spikes in volume: Often indicate institutional activity. Volume clusters at ranges or breakouts: Suggest accumulation/distribution zones. Volume with price divergence: Price rises but volume falls = possible exhaustion. Volume rises and price consolidates = potential accumulation. 🔸 Price Action Order Blocks / Imbalance zones: Sharp moves followed by consolidations are often pro trader footprints. Break of Structure (BoS): Institutions often reverse trends by breaking previous highs/lows. Liquidity sweeps: Price moves aggressively above resistance or below support then reverses = stop-loss hunting. 🔸 News Reaction Watch pre-news volume spikes. Look for contrarian moves after news — when price moves opposite to expected direction, it often reveals smart money traps. Analyze price stability post-news — slow movement shows absorption by pros. Wick traps and reversals around news events = stop hunting. 🔸 Narrative is Everything Higher timeframe trends show intent. Lower timeframes show execution zones. Look for alignment between timeframes in a specific direction. 🔹 Why do whales move the market in an orderly manner To fill large positions at optimal prices. To create liquidity where there is none. To trap retail on the wrong side of the move. To trap other whales on the wrong side of this move. To rebalance portfolios around economic cycles/news. 🔹 Professionals never forget what they've built When you track price, volume, and news, you’ll find specific bars that form areas that are the foundation for the short-term direction. This is pure VPA/VSA logic, the interplay of Price Analysis ,Volume Analysis and News, where each bar is not just a bar , but a clue in the story that professionals are writing. When you monitor volume, price, and news together and perform multi-timeframe analysis, it becomes clear what the whales are doing, and why. 🔹 From the chart above The market reached a weekly resistance level and then pulled back slightly after whales triggered the stop-losses of breakout traders. Prior to the breakout, whales had accumulated positions by creating a series of liquidity-rich buying zones on the daily timeframe. It's essential to understand the broader context before choosing to participate alongside them—whether you're planning to buy or sell. 🔴 Tips Use volume and price analysis together, not separately. Monitor any unusual volume bars before economic market news. Monitor news and volatility spikes to detect traps and entries. Combine this with liquidity zones (support/resistance clusters). Build a "narrative" per week: What is smart money trying to do? A smart trader understands the tactics whales use, and knows how to navigate around them.
COINBASE:BTCUSDEducation
by AlgoFuego
How to read Speed Index and Identify Potential Reversals!In this chart we removed all Plutus signals and we are reading just Speed Index and weighted Averaged Speed Index. The purpose is to identify a potential reversal at a significant location such as Fib. There are two numbers visible on every price wave swing, the first one is the wave's Speed Index and the second one is the weighted average Speed Index of the 30 waves back. What do we need to identify for a potential reversal? The answer is Abnormal Speed Index compared to the weighted average Speed Index, which means that something is cooking. Reading the chart: - Look at highest volume up wave hitting the Fib area, Speed Index at 6.2 while the average at 5.0 , higher than the average but not too abnormal. - The next down wave is where it gives you an Abnormal Speed Index of 10.4 with an average of 5.2. This is what we call their first Push Down, now definitely something is cooking. - The next up wave has a Speed Index 10.4 (Abnormal) with an average of 5.2 and that's we call a Hard to Move Up Wave (HTMU).(by coincidence these two waves have the Speed Index and average Speed Index) - Finally to make sure that all these were sellers we need price to break these waves. To Summarize this is how we approach this Short trade (annotations are in sync with chart). 1. Fib Location (potential sellers might enter) 2. The highest volume up wave to get to Fib 3. Placed AVWAP at the beginning of this up wave, because we will go short if price goes below AVWAP with the appropriate Speed Index justification. 4. First Push Down wave with SI 10.4 with AvgSI at 5.2 5. HTMU (Hard to Move Up) wave with SI 10.4 with AvgSI at 5.2 6. Our entry Short breaking the structure of the previous waves and cross AVWAP downwards. I hope this helps all you Weis Wave Speed Index owners. Enjoy!!!
Education
by TradeTheVolumeWaves
1
How To Setup & Use The Trend Trading IndicatorThis video gives an in depth explanation of each setting of the Trend Trading Indicator so you can understand how to set up the indicator properly and get your desired results. We cover the following: Master trend signals and settings How to configure your master trend signal timeframes correctly How to get rid of signals when the market is ranging Each type of extra signal: strong all timeframe trends, pullbacks during strong trends, trend score signals and more What timeframes and settings to use for intraday trading Customizing the settings to get the results that fit your trading style Make sure to test out your settings on various markets using historical data to ensure you have the indicator performing according to your specific parameters. If you have any questions about using the indicator or the settings, feel free to reach out to us. Happy Trading :)
COMEX_MINI:MGC1!Education
by FriendOfTheTrend
2
PEPE - This is why price explode - Speed Index ReadingThere is always a reason why price explodes either true or fake. The criteria to look at are: - Location - very important - where is the price locate - higher probability trades accomplished when the price leaves a significant location such us Fib, Sup/Res, AVWAP - The volume waves - nothing moves without volume - sometimes is not so visible by the volume waves alone because they distribute or accumulate little by little, that's why we have Speed Index - Reading Speed Index - The proper entry signal In the attached chart I will demonstrate how I read it using the above criteria (annotations are in sync with the chart): 1. Price entering Fib Area 50-61.8 - possibility of buyers to come in 2. Price touching AVWAP (three blue lines) coming from the bottom of a previous swing acting as resistance - another possibility of buyers to come in. 3. Speed Index 6.4, that's an abnormal speed index , that what I call first push up or PU, price never drops below the beginning of this wave 4. Speed Index 11.1, that's another abnormal speed index and that's what I call a hard to move down (HTMD) . What's happening here is that all the sell orders are absorbed by buy orders and price breaks on the up wave the origin of the HTMD wave. 5. Finally the entry Long with a PRL (Plutus Reversal Long) signal an up,up,up, we go!!! I hope my years of work helps you out on reading charts! Enjoy!
Education
by TradeTheVolumeWaves
LTC Long - Learn to read Weis Wave with SI- Target hit overnightLearning to read the chart using Weis Wave with Speed Index will help you understand how the market works. Speed Index is very valuable to understand if there is absorption happening in the market. Remember that absorption takes time, it takes hours or sometimes days, so you have to be patient. In this chart I will explain how to read this 1HR LTC chart using Speed Index and why we had this explosion in price. I have entered long (my target was hit overnight). Annotations on chart are in sync with my below notes. Reading: 1. We had a high volume down move (buyers could be in there but I am not sure yet) 2. We have touched 50-61.8 Fib area - If buyers would like to enter this is a great area. 3. Speed Index 29 that's an Abnormal Speed Index. Why is it abnormal? Because at that time the average Speed Index of 30 waves back was 15. I call this as the first Push or the first absorption. Buyers are entering. 4. Speed Index 78.7 another abnormal SI -> more buying 5. Speed Index 37 on a down wave that's what I call a HTMD (Hard to move down) more buying and finally a PL (Plutus Long signal) breaking by a bit the previous resistance level. This is where I have Entered Long. 6. Another HTMD , hard to move down wave with Speed Index 32.2, more buying and another Plutus long signal PRL. Therefore the explosion is completely justified because it has a history of several hours of absorption. If you were to read just volume waves you would not be able to see this coming Speed Index alerts that something is cooking and when the time is right you enter (PL signal) I hope my above explanations helped you. Enjoy!
Education
by TradeTheVolumeWaves
Using Moving Averages Like a ChaseHow Institutions May Be Using Moving Averages to Align Technicals with Fundamentals Are moving averages just for retail traders and chart watchers? Not if you're JPMorgan Chase. While many associate moving averages (MAs) with simple trading strategies, institutional giants like JPMorgan Chase likely use them very differently. Instead of relying on MAs to chase trends, they may use them as confluence tools—where technical signals meet macroeconomic insight, risk models, and long-term strategy. Here’s how JPMorgan might be using moving averages across their medium- to long-term investments—and what you can learn from it. 📊 1. Moving Averages as Investment Benchmarks At the institutional level, MAs aren’t just "buy/sell" triggers. JPMorgan likely treats the 50-day and 200-day moving averages as dynamic references that help answer broader questions: Is this trend aligned with the macro picture? Is this a real shift, or just short-term volatility? How do fund flows behave around these levels? Rather than acting on the average itself, JPMorgan probably uses it to validate investment theses and smooth out the noise. ⚙️ 2. Confluence: Where Technicals and Fundamentals Align In large portfolios, confluence is king. It’s not just about one indicator—but about multiple factors aligning to strengthen conviction. MAs might be used alongside: Macro trends (GDP growth, inflation, interest rates) Sector momentum (e.g. financials vs. tech rotation) Earnings growth and valuation models Liquidity flows and volatility data When a stock reclaims its 200-day MA and fundamentals improve, that’s a green light. When everything lines up, JPMorgan can move with more confidence. 📈 3. A Probabilistic (Not Predictive) Approach Institutions don’t deal in absolutes—they deal in probabilities. JPMorgan’s quant teams likely test how often certain MA setups lead to favorable outcomes under different market regimes. So instead of reacting to a crossover, they may ask: "How often does this setup succeed, given current economic conditions?" If the odds are strong, they’ll scale in. If not, they’ll wait or hedge. It’s a measured, data-driven approach to timing. 🛡️ 4. Risk Management and Strategic Timing Moving averages are also incredibly useful for managing portfolio risk. They offer: Clarity in volatile markets Timing cues for rebalancing Visual structure for entries/exits MAs help JPMorgan place guardrails around long-term positions—keeping strategy in check while avoiding overreactions to noise. 🔍 Final Thought: JPMorgan Isn’t Chasing Trends—They’re Refining Them The lesson for investors? Don’t treat moving averages as magic lines. Used well, they become tools of confirmation and control, not prediction. For JPMorgan Chase, MAs are likely just one piece of a much larger puzzle—blending technicals with fundamentals, data science, and market context to execute with precision. 💡 Pro Tip: You can apply the same idea to your own strategy—use moving averages to validate your thesis, not to drive it. Confluence is the key.
NYMEX:CL1!Education
by CandelaCharts
This is how to read the chart using Weis Wave with Speed IndexReading the chart: 1. We have bottom down and we pull back with high up volume waves, approaching the Fib area. Notice how SI is increasing on the up waves as we are reaching Fib from 13.3 to 15.7 to 18.4 and last not able to break previous resistance at 20.4. This means sellers are absorbing all buy orders of people entering long thinking that the trend will continue. 2. Notice the up volume wave with SI 20.4 and respective pip move right above it which is small compared to the amount of volume used - This is absorption. 3. The highest PVR bar at the beginning of the down wave - more sellers 4. Entry Short on the Plutus Short signal Notice all the Short signals following confirming the continuation of the down move! Simple as that, if you are able to read the chart and not just following signals from an indicator. Enjoy!
Education
by TradeTheVolumeWaves
1
How to Enter Trades the RIGHT Way!In this video, we're tackling an important question from our community member who's been crushing it in paper trading but faces the common challenge of entering trades blindly based on alerts, fearing they'll miss out otherwise. We'll discuss: Why blindly following signals can hurt your long-term success The power of context in market structure: Why waiting for price to hit key support/resistance levels drastically improves your entries A practical approach to manage FOMO: How scaling into trades can balance quick reaction times with better entries and tighter stops Real examples of good vs. rushed entries, highlighting the impact on your risk-to-reward
CME_MINI:ES1!Education
by DiYWALLST
Understanding Moving Averages In TradingToday, we dive into a comprehensive guide on Moving Averages (MAs) — one of the most fundamental yet powerful tools in technical analysis. Whether you're a seasoned trader or just starting out, understanding how MAs work can help you better interpret market trends, identify potential entry and exit points, and smooth out price data for clearer decision-making. In this article, we’ll break down the different types of moving averages, how they’re calculated, when to use them, and common strategies that incorporate them into successful trading plans. 1️⃣ 1. What are Moving Averages? Moving averages (MAs) are statistical calculations used in technical analysis to smooth out price data and identify trends over a specific period. They help traders filter out short-term fluctuations and focus on the overall direction of an asset's price. 2️⃣ 2. Importance Moving averages (MAs) play a crucial role in technical analysis by helping traders identify trends, reduce noise, and make informed trading decisions. Here’s why they are important: Trend Identification: MAs help traders determine the overall direction of the market. Dynamic Support & Resistance: Traders watch key MAs (e.g., 50-day and 200-day) to anticipate price reactions. Trading Signals & Crossovers: Detects potential changes in trend direction. Golden Cross (Bullish): When a short-term MA (e.g., 50-day) crosses above a long-term MA (e.g., 200-day), signaling a potential uptrend. Death Cross (Bearish): When a short-term MA crosses below a long-term MA, indicating a possible downtrend. Momentum Confirmation: A steeply rising MA suggests strong bullish momentum, while a declining MA signals bearish strength. 3️⃣ 3. Moving Averages Types Simple Moving Average (SMA): Calculates the simple average of past prices. Exponential Moving Average (EMA): Prioritizes recent prices for faster response. Weighted Moving Average (WMA): Prioritizes recent prices for faster response. Hull Moving Average (HMA): Smooths trends while reducing lag effectively. Smoothed Moving Average (SMMA): Averages data with less sensitivity to noise. Triangular Moving Average (TMA): Applies a double smoothing to price data. Adaptive Moving Average (AMA): Adapts dynamically to changing market trends. Kaufman Adaptive Moving Average (KAMA): Adjusts speed based on volatility and noise. Double Exponential Moving Average (DEMA): Uses dual EMAs to reduce lag in trends. Triple Exponential Moving Average (TEMA): Enhances trend detection with triple EMAs. Arnaud Legoux Moving Average (ALMA): Minimizes lag while improving price smoothness. Variable Moving Average (VMA): Adjusts its value based on market conditions. Volume-Weighted Moving Average (VWMA): Weights price data according to trading volume Jurik Moving Average (JMA): A highly smooth and responsive MA that reduces lag and noise. Fractal Adaptive Moving Average (FRAMA): Adapts to market fractal geometry, adjusting speed based on volatility. Zero Lag Exponential Moving Average (ZLAMA): A variation of EMA that eliminates lag by compensating for past price movements. 4️⃣ 4. Calculations Moving averages are fundamental tools in technical analysis, helping to smooth price data and highlight trends. However, not all moving averages are created equal—each type is calculated differently, affecting how it responds to market movement. In this section, we’ll focus on the formulas behind a few of the most relevant and widely used types: the Simple Moving Average (SMA), Exponential Moving Average (EMA), and Weighted Moving Average (WMA). a. Simple Moving Average (SMA) The Simple Moving Average (SMA) calculates the average price of an asset over a specified period. Lag: High (delayed response to price changes) Best for: Identifying long-term trends and support/resistance SMA = P1 + P2... + ... + Pn / n Where: P1 + P2... + ... + Pn: are the prices (usually closing prices) of the last n periods. n: is the number of periods on average. It gives an equal weight to all prices in the period. ta.sma(close, length) b. Exponential Moving Average (EMA) The Weighted Moving Average (WMA) assigns higher weights to more recent prices, reducing lag and increasing responsiveness compared to SMA. Lag: Lower than SMA but higher than EMA Best for: Short-term trading strategies EMA = (Pt × α) + EMAy × (1 − α) Where: Pt: Current price (usually the closing price) EMAy: Previous period’s EMA α (alpha): Smoothing factor = 2 / (n + 1) n: Number of periods in the EMA It gives more weight to recent prices, reducing the lag compared to SMA. ema = ta.ema(close, length) c. Weighted Moving Average (WMA) The Weighted Moving Average (WMA) assigns higher weights to more recent prices, reducing lag and increasing responsiveness compared to SMA. Lag: Lower than SMA but higher than EMA Best for: Short-term trading strategies WMA = (P1 × w1 + P2 × w2 + ... + Pn × wn) / (w1 + w2 + ... + wn) Where: P1...Pn: Prices (usually closing) over the last n periods w1...wn: Weights assigned to each period (most recent gets the highest weight) n: Number of periods It reacts faster than SMA but smoother than EMA due to its linear weighting. wma = ta.wma(close, length) While there are many variations of moving averages available, the formulas covered here—SMA, EMA, and WMA—represent the most essential and commonly applied in both trading platforms and manual analysis. Understanding how these are calculated gives deeper insight into their strengths, limitations, and the types of signals they provide. 5️⃣ 5. Choosing the Right MA Choosing the Right Moving Average for Your Trading Style Choosing the right moving average (MA) depends on your trading style, time horizon, and goals. Different types of MAs have varying levels of sensitivity to price movements, so the choice should align with your trading strategy. Here’s how you can choose the best moving average based on your trading approach: Short-Term Traders (Day Traders, Scalpers) Exponential Moving Average (EMA): The EMA reacts faster to price changes, which is crucial for short-term traders who need to enter and exit positions quickly. Simple Moving Average (SMA): While less sensitive than the EMA, shorter-term SMAs (like the 5 or 10-period) can still be useful for spotting very quick trend changes. Hull Moving Average (HMA): Offers a good balance between smoothness and responsiveness, reducing lag while staying sensitive to price changes. Medium-Term Traders (Swing Traders) Simple Moving Average (SMA): Longer SMAs (like the 50-period or 100-period) are effective in identifying the general trend over a few days or weeks. Exponential Moving Average (EMA): The 20-period or 50-period EMA can work well for medium-term traders, providing a smoother trend signal while still responding to changes. Smoothed Moving Average (SMMA): The SMMA gives a smoother trend and reduces the noise, which is ideal for swing traders who look for stable trends over a couple of weeks. Long-Term Traders (Position Traders, Investors) Simple Moving Average (SMA): Longer SMAs like the 100-period or 200-period SMA are perfect for long-term traders and investors. These averages provide a clear indication of the long-term trend and act as reliable support and resistance levels. Triangular Moving Average (TMA): TMA smooths out price movements even more and is useful for capturing long-term trends. It's slower, but highly effective for those trading in longer time frames. Trend-Following Traders Exponential Moving Average (EMA): As trend-following traders rely on capturing long trends, EMAs with longer periods (50, 100, 200) are a solid choice, providing smoother signals with less noise. Hull Moving Average (HMA): The HMA reduces lag, making it a great choice for trend-following traders who want to react quickly to changes while staying in the trend. 6️⃣ 6. How To Use Moving Averages Moving averages (MAs) are one of the most widely used tools in technical analysis due to their simplicity and effectiveness in identifying trends, smoothing price data, and signaling potential market reversals. They are used by traders to help spot entry and exit points, determine the direction of the market, and define dynamic support and resistance levels. Here’s a deeper dive into how moving averages are used in trading: Identifying Trends Uptrend: When the price is consistently above the moving average, it indicates a bullish trend. The longer the period of the moving average, the smoother it becomes, showing the overall direction of the market. Downtrend: Conversely, when the price is consistently below the moving average, it indicates a bearish trend. Sideways/Consolidation Market: When the price hovers around the moving average without a clear direction, the market is often in a consolidation phase. Support and Resistance Levels Support Levels: When the price is above a moving average and then pulls back to touch it, the moving average often acts as a support level. Traders anticipate the price to bounce off the moving average and resume its uptrend. Resistance Levels: When the price is below a moving average and then rallies back to it, the moving average often acts as a resistance level. This resistance can lead to a reversal or consolidation as the price struggles to break above the MA. 7️⃣ 7. Golden Cross & Death Cross One of the most well-known signals involving moving averages is the crossover of short-term and long-term moving averages. These crossovers are used to signal potential trend changes and provide traders with entry and exit signals. Golden Cross: Occurs when a short-term moving average crosses above a long-term moving average. Death Cross: Occurs when a short-term moving average crosses below a long-term moving average. Golden Cross This is considered a bullish signal, indicating that an uptrend may be starting or strengthening. When it happens: A common example of a Golden Cross is when the 50-day moving average crosses above the 200-day moving average. The short-term trend is gaining strength and could signal the beginning of a sustained uptrend. Why it works: The Golden Cross indicates that recent prices are moving higher and that momentum is accelerating. It suggests that buying pressure is overpowering selling pressure. Death Cross This is considered a bearish signal, indicating that a downtrend may be imminent or already in place. When it happens: A typical example of a Death Cross is when the 50-day moving average crosses below the 200-day moving average, signaling that the short-term trend is weakening and a bearish shift may be in play. Why it works: The Death Cross shows that short-term price movements are declining relative to longer-term trends, and it indicates increasing selling pressure. 8️⃣ 8. MA Strategies Trend Following The trend following strategy focuses on identifying and capitalizing on strong price movements in one direction. Trend Identification: Moving averages are used to identify whether the market is trending up or down. The most common trend-following strategy is to buy when the price is above a key moving average and sell when it’s below. Trend Confirmation: Once the trend is identified using MAs, traders can enter trades that align with the trend. The idea is to "ride the wave" of the trend as long as possible until there is evidence of a reversal or loss of momentum. MA Crossover Moving average crossovers are one of the most popular and widely used strategies in technical analysis. Crossovers occur when a short-term moving average crosses over a longer-term moving average, signaling potential trend changes. Short-Term Crossovers: These are typically faster and more sensitive, which can help traders spot quicker market changes. Short-term crossovers tend to generate more signals, but they can also lead to more false signals in choppy or sideways markets. (9 EMA & 21 EMA Strategy) Long-Term Crossovers: These are slower and less frequent but tend to produce more reliable trend signals. Long-term crossovers filter out market noise and provide a clearer view of the overall market direction. (The 50/200-Day Moving Average Strategy) Mean Reversion Mean reversion is based on the idea that prices tend to return to their average over time. How to Identify Overextended Prices Overbought and Oversold Conditions: When the price is significantly above or below a moving average, it may be overextended. In such cases, traders expect the price to revert to the moving average. Using MAs as a Benchmark: Traders can use longer-term MAs, like the 50-day or 200-day moving averages, to identify overextended conditions. If the price moves significantly above or below the moving average, it is often seen as an opportunity for mean reversion trades. Trading Moving Average Pullbacks Pullbacks: A pullback is when the price moves against the prevailing trend, temporarily retracing toward the moving average before resuming its original trend. Buying Pullbacks in Uptrends: In an uptrend, traders look to buy when the price pulls back to a moving average like the 50-day or 200-day MA, assuming the trend will continue. Selling Pullbacks in Downtrends: In a downtrend, traders look for selling opportunities when the price temporarily rallies back to a moving average, anticipating a return to the downtrend. 9️⃣ 9. Key Takeaways Moving Averages (MAs) smooth price data, helping identify trends, entry, and exit points. Trend Following Strategies use MAs to align trades with the market’s direction (uptrend, downtrend). Support & Resistance: MAs act as dynamic levels where prices may reverse or consolidate. Crossovers: - Golden Cross (50/200-day crossover) signals a bullish trend. - Death Cross (50/200-day crossover) signals a bearish trend. - Short-Term Crossovers (9/21 EMA) provide faster signals for active traders. Mean Reversion Strategy: Prices often revert to their moving average after being overextended. Pullback Trading: Enter trades when prices pull back to key MAs during trends. Combining Indicators: - RSI confirms MAs’ buy or sell signals. - MACD crossover strengthens trend direction confirmation. - Bollinger Bands help assess volatility, confirming price targets and trends. Timeframe Selection: Short-term traders use quicker MAs (e.g., 9 EMA), while long-term traders prefer slower MAs (e.g., 200-day SMA). Best MA Settings: For trend-following, use 50/200-day MAs; for short-term, use 9/21 EMAs. Stay sharp, stay ahead, and let’s make those moves. Until next time, happy trading!
CME_MINI:ES1!Education
by CandelaCharts
LiteCoin (LTC) - Chart reading with Weis Wave with Speed Index Lesson 15 Methodology: 1. Largest up volume wave at the bottom after while (probable buyers but let's confirm using AVWAP and Weis Wave with Speed Index and it's Plutus Signals. 2. Placed AVWAP at the beginning of the previous down wave and wait for price to pullback to it. 3. Price Respects AVWAP. 4. Abnormal Speed Index 40.8 is a sign that price has a hard time to move down. 5. Enter Long on PL signal. ... and up we go!!!! Target Fib area which was reached! No entries now - Fib could risky!
Education
by TradeTheVolumeWaves
What on Earth Is a Circuit Breaker?!Every couple of days since April 2nd, everybody's been talking about a stock market halt all day. You're left there trying to Google it so you're not the only person in the group chat who doesn't know what's going on. But actually, nobody else in your group chat knows what's going on either. They're low-key Googling it under the desk. You don't have to know everything in the market to be a "seasoned" trader. What does get disappointing is when people guess instead of providing facts or a direct link to an article about market halts. So, this is your quick-but-detailed-read article/ guide to market halts and circuit breakers. Send it to your friends in that group chat. Why today's dump happened in the first place? More on that later. It's a long story. 🥹 What is a circuit breaker? It's simple: a circuit breaker is a 15 minute OR whole-day market-wide HALT when the market reaches 1 of 3 decline levels. It all depends on the level, how fast the decline is, and potentially other factors that we are not aware of. Keep in mind this is not something we have to deal with often. When does it happen? And what stock does it track? Good question. The halt is triggered following declines in the S&P 500 only . That is: AMEX:SPY SP:SPX $CME_MINI:ES1!. If these level 1 & 2 are reached before 3:25 PM EDT , there is a 15 minute market-wide trading halt. Meaning you cannot enter or exit positions. If level 3 is reached at any time in the day, the entire day's trading will come to an end. Level 1: -7.00% | 15 minute halt Level 2: -13.00% | 15 minute halt Level 3: -20.00% | Entire day halt So when the S&P 500 index reaches -6.98%, be sure a halt is coming very soon at -7.00%. Sure, like today, "they" might pump it and use that as support and prevent a halt (we got very close to -6.35% on CME_MINI:ES1! if I'm not mistaken). But it's good to be vigilant and make sure you're not in any daytrades. Does CME_MINI:NQ1! NASDAQ:QQQ CBOT_MINI:YM1! trigger the halt also? No. The halt is only triggered by the S&P 500. The Nasdaq Composite famously moves much more than S&P 500, so a 7% drop in S&P is way more dramatic than a 7% drop in Nasdaq and it's highly likely at -7% in S&P that Nasdaq would be at -8% or -9%. Although, both are undoubtedly decimating for any long positions. Why does this rule exist? This was introduced after Black Monday of 1987 where the market was free falling ( DJ:DJI dropped 22.6%) with no safety stops in place to prevent a market-wide disaster. This prevents further panic selling and massive stop loss raids, and also gives institutional traders time to zoom out and see the bigger picture. How close did we get recently? Today we got within 0.7% of getting a 15 minute halt. See for yourself: And the intraday 15 minute chart: FUN FACT: What if I shorted the top on CME_MINI:ES1! ? Assuming your time machine goes back 24 hours (some time machines only go back 10 years minimum), you'd have booked 1500 ticks at $12.50 per tick. So around $19k per contract. You know that's not too bad. It's almost a Toyota Camry per contract. Do better! 😆 How do I trade this? Do you really have to? Please do not FOMO & catch a falling knife. Trade light. The market is open for the rest of the year. Trade with a stop loss, and remember, if you FOMO'd and bought at -3% just because it's down 3%, you'd have gotten decimated. Use the charts not the % on your screen. 🔥 Hit the follow button for free educational content because knowledge is free. KD out.
AMEX:SPYEducation
by kingdips
1
The Trump PatternWhen Donald Trump took office in 2017, the U.S. stock market experienced dramatic fluctuations—marked by steep declines followed by eventual rebounds. This pattern, which we'll call the "Trump Pattern," repeated itself during his presidency and is now emerging again as a point of interest for investors. While the specific causes of these market shifts varied, key factors—particularly tariffs, inflation concerns, and Federal Reserve (FED) actions—played critical roles in the market's rise and fall during Trump’s presidency. The Trump Pattern: The Market Fall and Recovery 🏁 1. The Start of the Trump Presidency (2017) When Donald Trump was elected in 2016, the market responded with a combination of excitement and uncertainty. Initially, the market surged due to tax cut expectations, deregulation, and optimism about a business-friendly administration. But as Trump's presidency fully began in January 2017, concerns over trade wars and tariff policies began to dominate investor sentiment. The market initially dipped after Trump began pursuing a protectionist trade agenda, especially with China. As concerns about tariffs escalated, stock markets reacted negatively to potential trade wars. 💶 2. The Tariff Crisis of 2018 The first major example of the "Trump Pattern" emerged in 2018 when Trump began implementing tariffs, particularly on Chinese imports, and announced new tariffs on steel and aluminum. This caused major market disruptions. The S&P 500 fell dramatically during this period, dropping by as much as 8.6% from its February peak in 2019. Companies that relied heavily on international trade, like Apple, General Motors, and Ford, experienced significant stock price declines. In fact, Apple’s stock fell 9.5% on days when new tariffs were announced, as their costs for manufacturing overseas rose. The uncertainty surrounding the global economy, combined with rising tariffs, created fears of a trade war, leading to sharp market declines. 📈 3. Market Recovery: FED Rate Cuts and Tax Cuts Despite the tariff-induced volatility, the market didn’t stay down for long. After significant market falls, the Federal Reserve (FED) began implementing interest rate cuts to combat slowing economic growth. These actions helped stabilize the market and even fueled a rebound. FED rate cuts made borrowing cheaper for consumers and businesses, stimulating economic activity and boosting investor confidence. Additionally, tax cuts, a cornerstone of Trump’s economic policy, provided further support, particularly for corporations. As a result, after the initial market drop in 2018 and early 2019, the market rebounded, continuing to climb as investors reacted positively to these fiscal and monetary policies. 🎯 The 2024 and 2025 "Trump Pattern" Emerges Again Fast forward to 2024 and 2025, and we’re seeing echoes of the "Trump Pattern" once again. New tariffs, introduced in 2025, have reignited concerns about a trade war. These tariffs, particularly on Chinese imports, have once again caused market volatility. The stock market has fallen in recent months due to concerns about these tariffs and the impact they might have on global trade. For example, when new tariffs were introduced in early 2025, the market saw a sharp sell-off, with the S&P 500 falling by over 1.8% in a single day. Companies that rely on international trade, like Tesla and Ford, have seen their stock prices drop in response to concerns about increased production costs. The broader market decline, much like in 2018, was driven by fears that tariffs could slow down the global economy and hurt corporate profits. However, there is optimism that the same pattern will unfold, where the market eventually recovers after these initial drops. ⚠️ 4. FED Rate Cuts Again? As inflation concerns persist, the Federal Reserve is likely to step in once again. Like previous cycles, we expect the FED to cut interest rates to stimulate the economy. This would be aimed at reducing borrowing costs, encouraging investment, and helping businesses weather the impact of higher tariffs and global uncertainty. The FED’s actions are typically a key driver of market recovery in the "Trump Pattern." Investors have come to expect that a market downturn triggered by political or economic disruptions can be offset by the FED’s supportive monetary policies. ⚖️ Navigating the Trump Pattern: What Should Investors Do? The "Trump Pattern" highlights that during periods of heightened uncertainty, especially due to trade policies like tariffs, the market will often experience short-term declines followed by long-term recovery. Here are a few strategies investors might want to consider: Stay Diversified : During periods of volatility, having a diversified portfolio can help cushion against the risks posed by market swings. Invest in Domestic Companies : Companies that rely less on international supply chains might fare better during periods of trade policy changes and tariff uncertainty. Focus on Growth : Once the initial market decline subsides, look for sectors that stand to benefit from a recovering economy, such as tech or consumer discretionary stocks. Look for Inflation Hedges : Given the potential for inflation, consider investments that tend to perform well during these times, such as real estate or commodities like gold. 📝 Conclusion: The Trump Pattern in Action The "Trump Pattern" demonstrates how the market tends to react in cycles during the early months of each presidency. Typically, the market falls at the start due to the uncertainty surrounding Trump’s trade policies, particularly tariffs. However, after these initial drops, the market often rebounds thanks to FED rate cuts and other policies aimed at stimulating the economy. Looking ahead to 2025, we're already seeing signs of this pattern in action as tariffs are back on the table and market volatility has followed. However, history suggests that patience might pay off. Once the FED steps in and cuts rates, a market rebound is likely, following the same trend we saw in 2017-2019.
CME_MINI:ES1!Education
by CandelaCharts
2
China: 34% Tariffs Against US, Impact on Forex Market Hello, I am Forex Trader Andrea Russo and today I want to talk to you about China's response to US Tariffs. China's recent decision to impose 34% counter-tariffs on US products represents a significant development in trade tensions between the world's two largest economies. This move, which will take effect on April 10, is a direct response to the 10% tariffs imposed by the United States. The announcement has already had repercussions on global markets, with stocks recording sharp declines. In this article, we will analyze the motivations behind this decision, its economic implications and the impact on the Forex market. Motivations Behind the Counter-Tariffs China's decision to impose counter-tariffs is a strategic response to the aggressive trade policies of the United States. The 10% tariffs imposed by the US are aimed at correcting what is perceived as an unfair trade deficit and protecting domestic industries. However, China sees these tariffs as a threat to its economic growth and the stability of its exports. The 34% counter-tariffs are therefore an attempt to rebalance the trade balance and put pressure on the United States to review its policies. Global Economic Implications The imposition of counter-tariffs has economic implications that go far beyond the two nations involved. Trade tensions can trigger a series of chain reactions that affect the global economy in various ways: Increased Production Costs: Companies that rely on imports of raw materials and components from the United States will see an increase in production costs, which could be passed on to consumers in the form of higher prices. Slower Economic Growth: Trade tensions can lead to a slowdown in global economic growth, as companies may reduce investment due to economic uncertainty. Inflation: Rising prices of imported goods can contribute to inflation, reducing the purchasing power of consumers and increasing costs for businesses. Forex Market Impact The Forex market, known for its sensitivity to geopolitical and economic events, is not immune to the effects of the trade tensions between China and the United States. Here are some of the main impacts: US Dollar Volatility: The increase in tariffs could weaken the US dollar, as trade tensions tend to reduce investor confidence. Demand for US goods could decrease, negatively impacting the value of the dollar. Strengthening of the Chinese Yuan: China could see a strengthening of the yuan, as its economy could be perceived as more stable than that of the United States in this context of trade tensions. Federal Reserve Monetary Policy: The Federal Reserve could be forced to review its monetary policy, with possible interest rate cuts to mitigate the economic impact of the tariffs. This could further impact the Forex market, increasing volatility. Conclusion China's decision to impose counter-tariffs of 34% on US products represents a significant development in the trade tensions between the world's two largest economies. The economic implications of this move are vast and complex, affecting not only national economies but also the global Forex market. Investors and analysts will need to monitor these developments closely to fully understand their implications and adjust their strategies accordingly.
Education
by Andrea_Russo_SwipeUP
Hidden Forces: Decoding Buyer & Seller Activity on ChartsTotal Volume vs. Volume Delta: The total volume on the chart includes both buys and sells, making it less useful for analysis. Volume Delta, however, shows whether buyers or sellers dominated within a candle. A green Delta candle means more aggressive retail buying; a red one means more retail selling. This helps analyze market sentiment beyond price movement.
 Price & Delta Relationships: 1. Price and Delta move together → Organic movement, likely driven by retail. 2. Delta moves, but price doesn’t → Retail is heavily biased in one direction, absorbing limit orders. Possible smart money trap. 3. Price moves, but Delta doesn’t → Retail didn’t participate in the move. Lack of belief or failed market-making attempt. 4. Price moves against Delta → Strong indication of market manipulation. Large players using aggressive strategies against retail.
 Market Manipulation & Smart Money: * Whales leverage retail psychology and order flow to position themselves. * Retail often gets caught in fake moves, unknowingly providing liquidity to big players. Final Thought: By analyzing Delta and price movement together, we can spot hidden large buyers and sellers and understand market dynamics beyond surface-level price action.
Education
by supremum_ar
HOW-TO: Optimizing FADS for Traders with Investment MindsetIn this tutorial, we’ll explore how the Fractional Accumulation/Distribution Strategy (FADS) can help traders especially with an investment mindset manage risk and build positions systematically. While FADS doesn’t provide the fundamentals of a company which remain the trader’s responsibility, it offers a robust framework for dividing risk, managing emotions, and scaling into positions strategically. Importance of Dividing Risk by Period and Fractional Allocation Periodic Positioning FADS places entries over time rather than committing the entire position at once. This staggered approach reduces the impact of short-term volatility and minimizes the risk of overexposing the capital. Fractional Allocation Fractional allocation ensures that capital is allocated dynamically during building a position. This allows traders to scale into positions as the trade develops while spreading out the risk. Using a high volatility setting, such as a Weekly with period of 12 , optimizes trend capture by filtering out minor fluctuations. Increasing Accumulation Factor to 1.5 results in avoiding entries at high price levels, improving overall risk. Increasing the Accumulation Spread to a higher value, such as 1.5 , expands the distance between buy orders. This leads to fewer trades and a more conservative accumulation strategy. In highly volatile markets, a larger distance between entry positions can significantly improve the average cost of trades and contribute to better capital conservation. To compensate for the reduced number of trades, increasing the Averaging Power intensifies the position sizing proportionate to price action. This balances the overall risk profile by optimizing the average position cost. This approach mimics the behavior of successful institutional investors, who rarely enter the market with full exposure in a single move. Instead, they build positions over time to reduce emotional decision-making and enhance long-term consistency.
NASDAQ:TSLAEducation
by fract
10
How to manage your money in a way to get out of a bull traplet's say for example you bought 50 shares of BITX (bitcoin 2X bullish) on March 07, at Pivot for $45.50, and now you along with a lot of other longs are trapped. Each time the market rallies other bulls get out at a loss on every rally. Causing another downturn.. trapping you further. IF Your strategy is like mine so you won't close the trade in a loss, but you are wasting valuable time. Also suppose you have 30 or 40% of your overall portfolio that is reserved for shorting. When you take profits on the shorts, instead of saving the money for yor next short, you buy 50 more shares at the current market price of 37. Now you can get out halfway to your original target, at $41 by selling both, at the same time. you made money on your long, enough to eliminate the loss if you sold the first lot below your original target. In this example you can sell at $41, which is a lot easier to reach than $45 which might take another week. To determine the level you an get out simply add the two prices and divide by 2.
CBOE:BITXEducation
by dryanhawley
Predicting sell off, 30"++ in advance of a head and shouldersLet's examine how a head and shoulders is usually formed by a wave 4 and 5 and an A & B wave, the C wave is the sell off after the head and shoulders. I use this pattern to predict a head and shoulders AT THE RIGHT NECKLINE. In this case 90 minutes in advance.. So 6 X 15 minute candles in advance we can predicted a H & S and a selloff, sound valubale? if you understand this concept please give a thumbs up. To go over price action again, we are going up on 5 waves. Wave 4 creates the left shoulder. After wave 5 we come down on an A wave, that is the right neckline. This is where You can predict an B wave UP, and if it doesn't go higher than the previous wave 5, we will get a typical head and shoulder sell off after the wave B up.
BITSTAMP:BTCUSDEducation
by dryanhawley
9
Use Buy The Dip Like a LynchWhile we can’t say for certain that Merrill Lynch specifically uses VWAP (Volume Weighted Average Price) in their strategies, one thing is clear: they certainly rely on sophisticated statistical tools and data-driven insights to inform their investment decisions. Merrill Lynch, known for its expertise and successful track record, employs a range of techniques to navigate market fluctuations and identify profitable opportunities. In the fast-paced world of trading, every decision counts. One strategy that has stood the test of time is Buy the Dip (BTD). This approach involves buying assets after they’ve experienced a temporary drop, anticipating that the price will bounce back 📉➡️📈. However, timing the dip correctly can be challenging without accurate data and predictive tools. This article explores how to enhance your Buy the Dip predictions using OHLC Range Map and 4 VWAPs set to Century on TradingView. What is the Buy the Dip Strategy? 🤔 The Buy the Dip (BTD) strategy is simple yet effective. Traders buy an asset after its price has fallen, believing that the dip is temporary and the price will soon rise again 📉➡️📈. The challenge, however, is knowing when the dip is truly an opportunity rather than the start of a longer-term downtrend. This is where data-driven insights come into play. Rather than relying solely on intuition, having the right tools can make all the difference. With the OHLC Range Map, traders can gain a clearer understanding of price action, which helps identify whether a dip is worth buying 💰. Strategies for Predicting Buy the Dip Levels 📍 Spot the Dip Using 4 VWAPS set to Century Spot the Dip Using OHLC Range Map 1. Spot the Dip Using 4 VWAPS set to Century 🎯 Load 4 VWAPs on the chart, and configure them as follow: 1st VWAP: Source - Open, Period - Century 2st VWAP: Source - High, Period - Century 3rd VWAP: Source - Low, Period - Century 4th VWAP: Source - Close, Period - Century When the price approaches key support or resistance zones, such as VWAP bands, particularly for well-established assets like ES, NQ, BTC, NVDA, AAPL, and others, there's a high probability of price reversal. By combining this with price action analysis, you can identify precise entry points for a position with greater accuracy. 2. Spot the Dip Using OHLC Range Map 👀 The OHLC Range Map is a powerful statistical tool designed to plot key Manipulation (M) and Distribution levels over a specific time period. By visualizing these levels, traders can gain insights into market behavior and potential price movements. For example, when analyzing the ES chart, we can observe that the bearish distribution level has already been reached for the next 12 months. This suggests that the market may be poised for a reversal, with the expectation of higher prices in the near future. By identifying these critical levels, traders can anticipate market trends and adjust their strategies accordingly. Key Takeaways 🔍📊 Buy the Dip (BTD): The BTD strategy involves buying assets after a temporary price drop, expecting a price rebound. Enhancing BTD Predictions: Using OHLC Range Map and 4 VWAPs on TradingView improves the accuracy of Buy the Dip predictions. Spotting the Dip with 4 VWAPs: Configuring 4 VWAPs (Open, High, Low, Close) on a chart helps identify key support and resistance zones for potential price reversals. Using the OHLC Range Map: The OHLC Range Map helps pinpoint Manipulation and Distribution levels, aiding in market trend anticipation and timing. Combining Tools for Precision: Integrating the OHLC Range Map and VWAPs with price action analysis allows for more accurate Buy the Dip entry points.
COMEX:GC1!Education
by CandelaCharts
Understanding Buy The Dip In TradingBuying the dip is a trading strategy where you take advantage of temporary price drops in an overall uptrend. The goal is simple: enter the market at a lower price before it resumes its upward move. It sounds easy, but knowing when and how to do it makes all the difference. In this guide, we’ll explore key setups, ideal market conditions, and smart risk management techniques to help you trade dips like a pro. 🚀 1. Understanding Market Structure 🏗️ Before jumping into a trade, it’s crucial to understand how price moves. A strong uptrend is characterized by higher highs and higher lows—this is where buying dips can be very profitable. But beware: not every drop is a buying opportunity. Some dips are part of a pullback, a temporary retracement before the trend resumes, while others signal a complete reversal—the last thing you want to buy into. Key levels to watch include support zones, Fibonacci retracement levels, and high-volume areas. These zones act as potential turning points where the price is likely to bounce. 2. Proven Setups for Buying the Dip 🎯 🔢 Fibonacci Retracement Support When the price pulls back within a strong trend, it often lands on key Fibonacci levels like 38.2%, 50%, or 61.8%. These act as natural support points where buyers step in. If a strong bullish candle appears at one of these levels, it can signal a solid dip-buying opportunity. Combine this with an oversold RSI and rising volume, and you have a strong case for entry. 🎭 Liquidity Grab (Stop Hunt) Markets love to shake out weak hands. Sometimes, the price dips below a previous low, triggering stop-loss orders before reversing sharply. This is called a liquidity grab—smart money accumulates positions while retail traders panic. If the price quickly reclaims the level it just broke, it’s a strong buy-the-dip signal. Look for big buy orders, a sharp recovery, and bullish candlesticks to confirm entry. 📊 Anchored VWAP Test Institutions often base their trades around VWAP (Volume Weighted Average Price), especially when anchored from a significant swing low. When the price revisits this VWAP in a strong uptrend, it’s a potential dip-buying zone. Watch for bounces off VWAP, rising volume, and confluence with other support levels for confirmation. 🔥 Point of Control (POC) Revisit Markets move towards areas of high liquidity. If the price revisits the Point of Control (POC)—the price level where most volume is traded in a range—it often serves as strong support. When price pulls back into the POC and finds buying interest, it’s a great spot to enter. Look for strong reactions, failed attempts to move lower, and confluence with Fibonacci levels. 📏 Previous Range Support A breakout from a trading range is significant, but the price often returns to retest the range high as new support before continuing higher. If this happens on low selling pressure and aligns with moving averages or VWAP, it can be a golden buy-the-dip opportunity. Look for bullish reactions, buying volume, and strong candles off the level. 3. When Buying the Dip Works Best ✅ Not all dips are worth buying. The best setups occur when: The market is in a strong uptrend, making higher highs consistently. 📈 Volume is high, showing that buyers are stepping in. 🔥 Macro conditions support upside movement, like favorable economic news. 📰 4. Risk Management: Protecting Your Capital 🛡️ Even the best traders take losses. What matters is how you manage risk: Set a Stop Loss 🎯: Always place a stop below key support levels. Position Sizing 📊: Never risk more than a small portion of your capital per trade. Have an Exit Plan 🚪: Know where you’ll take profits, whether it's at a resistance level or a trailing stop. Scale In and Out 🎢: Enter gradually instead of all at once, and take profits along the way to lock in gains. Key takeaways 🎤 Buying the dip can be a powerful strategy—when done correctly. The key is patience: wait for strong trends, allow price to reach significant levels, and confirm with volume and momentum. Combine technical analysis with solid risk management, and you’ll improve your chances of success in the markets. Happy trading! 🚀
CME_MINI:ES1!Education
by CandelaCharts
6
Buy and Sell buttonsHello Amazing TradingView team, I have idea that I would think make things easier for traders. On the Buy and Sell buttons if you can change the size of the front and make bigger the price numbers for the two numbers that are the second and third from the end. It would really help the price that we are looking at really stand out. Some other platforms do this like meta trader 4, that's really the only thing I like better about meta trader 4. Thanks so much for listening to my suggestion. Brett
Education
by bwarren00
1