NewCycleTrading

NewCycleTrading

Day trading can be a quick way to capture intraday profits. However, not all accounts are suitable for day trading or can afford the pattern day trader requirements. If a trader has already completed three day trades in the past five trading days, it leaves them with two options when they have a profit on a newly opened position. 1. Either close the position,...

NewCycleTrading

Is there a pattern to your trades? Anyone trading options knows how little effort it takes to build up a healthy volume of transactions. But you should be aware of one rule that could inhibit your ability to trade options too often in a margin account. In the past, day trading represented the wild west of the market. It was possible for day traders to move in...

NewCycleTrading

The strategies and ideas presented in this guide have been designed to provide you with a comprehensive program of learning. The goal is to guide you through the learning experience so you may be an independent, educated, confident and successful trader. There are numerous variations of traditional options strategies and each has a desired outcome. Some are very...

NewCycleTrading

Here is a method to track current trends and spot reversals. This technique combines two separate indicators, the Bollinger Bands (BB) and the T-Line . Bollinger Bands contain three parts. First is a 20-period simple moving average, the middle band ( purple line ). Second is the upper band and third is the lower band ( blue lines ). Both of the upper and...

NewCycleTrading

Many traders start out with a sensible plan, only to abandon it because of the way the markets move. This abandonment of a smart plan may lead to potentially large net losses. In entering a trade, it is sensible to set two goals: the point where profits will be taken, and the bail-out point where losses will be cut. If you buy-to-open a long option, you should...

NewCycleTrading Updated 

We recently shared posts on the nature of Bollinger Bands, Bollinger Band Snaps, and OOPS Patterns. NASDAQ:TSLA looks to be setting up for a possible move lower based on those technical indicators. On both July 2nd and July 6th, we have seen gaps to the upside, OOPS Patterns. Both days, the open of the bar was higher than the previous day's high. We have yet...

NewCycleTrading

The Awesome Oscillator (AO) is displayed as a histogram showing the market momentum based on a comparison of the simple moving average (SMA) of the last 5 price bars median to the simple moving average of the last 34 price bars median. MEDIAN PRICE = (HIGH+LOW)/2 AO = SMA(MEDIAN PRICE, 5)-SMA(MEDIAN PRICE, 34) When the momentum of the past 5 bars is weak...

NewCycleTrading Updated 

The strategies and ideas presented in this guide have been designed to provide you with a comprehensive program of learning. The goal is to guide you through the learning experience so you may be an independent, educated, confident and successful trader. There are numerous variations of traditional options strategies and each has a desired outcome. Some are very...

NewCycleTrading

Divergent bars help a trader identify a potential shift in the current price trend. Divergent bars are an effective technical tool for futures, options, and stock traders using any timeframe. A divergent bar is defined as the following: 1. A potential shift from a bullish trend to a bearish trend is evidenced by the current price bar showing a higher high...

NewCycleTrading

The “OOPS pattern” was developed by trader and author Larry Williams. It was named, according to Williams, for the all too common experience among traders when a broker would call his clients to report that a position was stopped out and say, “Oops, we lost.” This was due to the market gapping from one trading day to the next due to an overreaction from some...

NewCycleTrading

Bollinger Band Snaps (BBS) Timing of options trades are elusive, especially during dynamic price trends. There is one technique, however, that reliably and consistently allows you to time trades. The Bollinger Band Snap (BBS) signal occurs at very precise moments during a bullish or bearish trend, and vastly improves timing of both entry and exit. The chart...

NewCycleTrading

Bollinger Bands Timing for options trades relies on many price signals and confirmation. Even so, knowing when trends are likely to continue or to end is a skill of its own and many traders have timed entry and exit poorly because the trend was misread. One signal helps overcome this problem. Bollinger Bands (BB) track the trend with three bands. The middle...

NewCycleTrading

The information in this guide is intended to get you started with your understanding of options, the terminology, and their basic characteristics. In addition to this guide, it is recommended that you study all information available under the education section of your broker’s website. Most brokers who cater to options traders provide good information that will...

NewCycleTrading

The information in this guide is intended to get you started with your understanding of options, the terminology, and their basic characteristics. In addition to this guide, it is recommended that you study all information available under the education section of your broker’s website. Most brokers who cater to options traders provide good information that will...

NewCycleTrading

The information in this guide is intended to get you started with your understanding of #options, the terminology, and their basic characteristics. In addition to this guide, it is recommended that you study all information available under the education section of your broker’s website. Most brokers who cater to options traders provide good information that will...