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[EDU-Bite Sized Mini Series]What is Forex?Beginning with this post, I'm excited to share free educational content diving into the intricacies of Forex trading. We'll cover everything from fundamental basics to advanced concepts and terminology. My aim is to ignite your curiosity about Forex and encourage you to explore this dynamic market with me. Without delay, let's kick off this week's installment with "What is Forex". Forex, known as the foreign exchange market, stands as the epicenter of global currency trading, facilitating the exchange of currencies from various nations. Picture yourself planning an international vacation to Europe from the United States. Before embarking on your journey, you'd exchange your U.S. dollars for euros at a currency exchange booth or bank. This simple act encapsulates the essence of Forex trading on a larger scale. Every day, trillions of dollars worth of currencies are exchanged in the Forex market, driven by the needs of businesses, travelers, investors, and governments. For instance, consider a multinational corporation based in the United States that wants to expand its operations into Europe. To do so, it needs to convert its U.S. dollars into euros to pay local suppliers and employees. In this scenario, the corporation engages in Forex transactions to manage its currency exposure and mitigate risks arising from fluctuations in exchange rates. Similarly, imagine a forex trader in Japan observing economic data releases indicating strengthening economic conditions in the United States. Anticipating a potential appreciation of the U.S. dollar against the Japanese yen, the trader may decide to buy dollars and sell yen, aiming to profit from the expected currency movement. The Forex market operates continuously across different time zones, allowing traders to participate at any time of the day or night. This accessibility provides flexibility for individuals and institutions alike to execute trades based on evolving market conditions. Beyond its role in international finance, Forex impacts daily life in myriad ways. Exchange rate fluctuations influence the prices of imported goods, travel expenses, and even interest rates set by central banks, ultimately shaping the global economy. As such, understanding the dynamics of the Forex market is crucial for businesses, investors, and individuals navigating the interconnected world of finance.
Education
by Shadowing_The_Big_Boys
The Hidden Key --> Multi-Timeframe Analysis 🪀I begin by explaining the Video Idea--> Using Multi-Timeframe analysis to put together a trade idea. MTF analysis is absolutely crucial for running a profitable trading business... It's something that takes some experience but once you understand the way in which all timeframes move together it's like an Aha moment. We look at 3 timeframes.. the 1Hr, 4hr and the Daily timeframes. We observe an example from just a few days ago that outlines how it was very possible to catch a 20 pips after the Monday(3/25/24) daily candle closed bullish.. Give and rocket and leave a comment for similar content in the future!
Education
by ShrewdCatfx
2
NLC INDIA DAILY TIME FRAME - MY VIEWThe Structure looks good to us, waiting for this instrument to correct and then give us these opportunities as shown on this instrument (Price Chart). Note: Its my view only and its for educational purpose only. Only who has got knowledge about this strategy, will understand what to be done on this setup. its purely based on my technical analysis only (strategies). we don't focus on the short term moves, we look for only for Bullish or Bearish Impulsive moves on the setups after a good price action is formed as per the strategy. we never get into corrective moves. because it will test our patience and also it will be a bullish or a bearish trap. and try trade the big moves. we do not get into bullish or bearish traps. We anticipate and get into only big bullish or bearish moves (Impulsive Moves). Just ride the Bullish or Bearish Impulsive Move. Learn & Know the Complete Market Cycle. Buy Low and Sell High Concept. Buy at Cheaper Price and Sell at Expensive Price. Keep it simple, keep it Unique. please keep your comments useful & respectful. Thanks for your support..... Tradelikemee Academy Sanjay K G
BSE:NLCINDIALong
by Tradelikemee
Study of PSU Bank Index/actions that can be taken by an investorFor last few weeks we have been looking at indices. By the study of a particular index we then try to determine about investing in components of that index or the stocks that from that particular index. In the series we will today have a look at PSU Bank Index. PSU Banks and the index of PSU bank consisting of banks like Bank of Maharashtra, Canara Bank, CBI, Indian Bank, IOB, Punjab and Sind Bank, Punjab National Bank, SBI, UCO bank and Union Bank of India had a consistent run till the index reached a near channel top at 7418.75 from there it corrected about 11.5% and made a low of 6561(near channel bottom) recently. After taking the support of 50 days EMA the index is seen to be rising again by giving 2 consistent Green candles to end the week. In the coming week if resistance of 6919 is broken by PSU Bank Index and we get a closing above 6920, there is a possibility of a proper 5 to 10% rally in the sector with resistance at 7092, 7265 and 7437. Consider 6574.15 as a support. If in case of a down turn due to local or global factors we get a closing below 6574 we might see a weakness in the sector. The shadow of candles created this week looks positive for the upcoming week in this sector and RSI is also showing strength. In this we when we get indication of a sector becoming strong we should look at fundamental and technical strength of constituents of that particular sector and there is a possibility of making an investment pick from the same. Thus using this model, you can try to determine tops of current rally or trend. You can reverse the process and try find of the probable bottom in case of downturn. Trend lines / Peaks / Valleys and Fibonacci levels will also give you probable supports and resistances in the path. You can become an expert by studying and drawing and reading charts every day. The more you practice the better accuracy you can achieve. Disclaimer: Investment in stocks and mutual funds is subject to market risks, please consult your investment advisor before taking financial decisions. The data provided above is for the purpose of analysis and is purely educational in nature. The names of the stocks or index levels of spot Nifty mentioned in the article are for the purpose of education and analysis only. Purpose of this article is educational. Please do not consider this as a recommendation of any sorts.
NSE:CNXPSUBANKLong
by Happy_Candles_Investment
GOLD BUYgold was working in bullish trend and is making a retracement to its bullish trend also in H4 its moving downwards in a channel also another confluence is gold has made a support level inside a downwards channel I am expecting a bullish move in near future to its previous resistance level which is also a very strong phycological level so we will be waiting for gold to break the channel and put our trade here too we have a beautiful chance to put our longs because on this support level we are seeing bullish price action if it breaks this level we will be putting shorts otherwise we will be going long but my strong intuition is GOLD LONG
OANDA:XAUUSDLong
by Wakeel_Saab
BTCUSD 120 MINS TIME FRAMEThe Structure looks good to us, waiting for this instrument to correct and then give us these opportunities as shown on this instrument (Price Chart). Note: Its my view only and its for educational purpose only. Only who has got knowledge about this strategy, will understand what to be done on this setup. its purely based on my technical analysis only (strategies). we don't focus on the short term moves, we look for only for Bullish or Bearish Impulsive moves on the setups after a good price action is formed as per the strategy. we never get into corrective moves. because it will test our patience and also it will be a bullish or a bearish trap. and try trade the big moves. we do not get into bullish or bearish traps. We anticipate and get into only big bullish or bearish moves (Impulsive Moves). Just ride the Bullish or Bearish Impulsive Move. Learn & Know the Complete Market Cycle. Buy Low and Sell High Concept. Buy at Cheaper Price and Sell at Expensive Price. Keep it simple, keep it Unique. please keep your comments useful & respectful. Thanks for your support..... Tradelikemee Academy Sanjay K G
BITSTAMP:BTCUSDShort
by Tradelikemee
4
SUZLONG DAILY TIME FRAMEThe Structure looks good to us, waiting for this instrument to correct and then give us these opportunities as shown on this instrument (Price Chart). Note: Its my view only and its for educational purpose only. Only who has got knowledge about this strategy, will understand what to be done on this setup. its purely based on my technical analysis only (strategies). we don't focus on the short term moves, we look for only for Bullish or Bearish Impulsive moves on the setups after a good price action is formed as per the strategy. we never get into corrective moves. because it will test our patience and also it will be a bullish or a bearish trap. and try trade the big moves. We do not get into bullish or bearish traps. We anticipate and get into only big bullish or bearish moves (Impulsive Moves). Just ride the Bullish or Bearish Impulsive Move. Learn & Know the Complete Market Cycle. Buy Low and Sell High Concept. Buy at Cheaper Price and Sell at Expensive Price. Keep it simple, keep it Unique. Please keep your comments useful & respectful. Thanks for your support..... Tradelikemee Academy Sanjay K G
NSE:SUZLONLong
by Tradelikemee
GRAPHITE INDIA MONTHLY TIME FRAME - MY VIEWThe Structure looks good to us, waiting for this instrument to correct and then give us these opportunities as shown on this instrument (Price Chart). Note: Its my view only and its for educational purpose only. Only who has got knowledge about this strategy, will understand what to be done on this setup. its purely based on my technical analysis only (strategies). we don't focus on the short term moves, we look for only for Bullish or Bearish Impulsive moves on the setups after a good price action is formed as per the strategy. we never get into corrective moves. because it will test our patience and also it will be a bullish or a bearish trap. and try trade the big moves. we do not get into bullish or bearish traps. We anticipate and get into only big bullish or bearish moves (Impulsive Moves). Just ride the Bullish or Bearish Impulsive Move. Learn & Know the Complete Market Cycle. Buy Low and Sell High Concept. Buy at Cheaper Price and Sell at Expensive Price. Keep it simple, keep it Unique. please keep your comments useful & respectful. Thanks for your support..... Tradelikemee Academy Sanjay K G
NSE:GRAPHITELong
by Tradelikemee
2
Why You Should Never Hold on to Your Positions Beyond a CertainGood day, traders. I would like to take this opportunity to advise both new and experienced traders that holding onto your position indefinitely is not recommended. Based on percentage calculations, the return required to recover to break even increases at a considerably faster pace as losses grow in size due to compound interest. After a loss of 10%, a gain of 11% is needed to make up for it. When the loss is 20%, it takes a 25% gain to return to break even. To recover from a 50% loss, a 100% gain is required, and to reach the initial investment value after an 80% loss, a 400% gain is necessary. Investors who experience a bear market must understand that it will take some time to recover, but compounding returns will aid in the process. Consider a bear market where the value drops by 30% and the stock portfolio is only worth 70% of what it was. Suppose the portfolio increases by 10% to reach 77%. The subsequent 10% gains bring it to 84.7%. After two further years of 10% gains, the portfolio reaches its pre-drop value of 102.5%. Consequently, a 30% decline requires a 42% recovery, but a four-year compounding rate of 10% returns the account to profitability. I will be doing a second part of this post on the idea of "DOLLAR COST AVERAGING" (DCA). The math behind stock market losses clearly demonstrates the need for investors to take precautions against significant losses, as depicted in the graphic above. Stop-loss orders to sell stocks or cryptocurrencies that are mental or limit-based exist for a reason. If the market is headed towards a bear market, it will start to pay off once a particular loss threshold is reached. Investors occasionally struggle to sell stocks they enjoy at a loss, but if they can repurchase the stock or cryptocurrency at a lesser cost, they will like it. Never stop learning! I would also appreciate hearing your thoughts and opinions on the topic in the comment section. Thank you.
Education
by CRYPTOMOJO_TA
A Basic Guide to Trading a Balanced Volume ProfileBasic Principles of Trading a Balanced Node Rule 1: Unless the price breaks and holds Value High or Value Low we should expect buyers and sellers to maintain the current balance. Rule 2: If we break and re-bid from Period Value High we should treat that level as supportive until it is reclaimed ( buy-side acceptance outside of balance) Rule 3: If we break and push away from Period Value Low we should treat that level as resistance on retest until it is reclaimed (sell-side acceptance outside of balance) Rule 4: If we recover Value Low and it becomes supportive we look for our Period POC and Period Value High as our targets above ( return to balance) Rule 5: If we fail to hold Period Value High and sellers make it resistance on re-offer we look for our Period POC and Period Value Low as targets (return to balance) Balance between Value Low and Value High will remain between buyers & sellers until we see a value shift and acceptance above/below on one of our "edges". Utilizing these rules we can look for opportunities around our Value Edges and have a better understanding how to trade around them.
CRYPTO:BTCUSDEducation
by TheFinancialCloud
High Volume Times to Trade / Part 2 🔢Hello Traders welcome back to another concept video. This is the second video in our series -- High Volume Times to Trade -- We talk about 1) 4Hr Candle Opens/Closes 2) New York Stock Exchnage Open 3) London Close Scalping/Intra-day trading during these times, in my experience, can provide unique opportunities to profit on Eur/Usd. Similar to Part 1 of our series, these additional times to trade can provide that extra volume for 1) a nice continuation of the preceding trend 2) a short-term reversal of the preceding trend and 3) act as a catalyst for the beginning of a higher timeframe trend
Education
by ShrewdCatfx
5 TIPS FOR SMALL ACCOUNTSHey! When we start trading we want to make a lot of money and became millionaires by the end of month. This awesome motivation could be cut off easily without following simple plan and strategy. When I started trading I entered only with 100$ account and loose it all within a month. I didn’t payed attention to my personal financial plan and rules, which cost me a lot of losses during my first steps in trading. Knowing this 5 tips will help you out if you just started trading and run small account. So, 5 TIPS FOR SMALL ACCOUNTS 1. Follow financial plan, do not go all in. Yeah, to make financial plan you need to study it first, if you are without financial education. DO NOT GO ALL IN, this is not joke, stop it right now! Small is Big in trading, and watch your trades carefully. 2. Trade less instruments, trade less often. Focus. Once again, small is big. Learn one or two assets, learn their nature and regular chart behaviour. This will help you focus and start open profitable trades. 3. Avoid highly volatile assets, trade high volumes. Take one or two big volume assets and start trading on them only. Do not run into forgotten stocks or coins just because they low cost. 4. Use higher timeframes, do not scalp. Most of new traders lose money in first months just because they trying scalping, your emotions going crazy and risks increasing rapidly. Start taking one-two trades per week and see how it will go, this will release pressure and relax. 5. Accept losses, plan how much you can lose. The biggest problem of all traders is to think in percentages about losses, this way will only increase losses. Think about money and plan you affordable loss amount. 👍I appreciate your likes and comments below this post, lets discuss our problems in trading! 💬
BITFINEX:BTCUSDEducation
by ArShevelev
82
📖 Market Wizards: ResumePublished by Jack D. Schwager in 1989, "Market Wizards" marks the beginning of an indispensable series for traders and investors alike. Through engaging interviews, Schwager brings to light the experiences of titans such as Bruce Kovner, Richard Dennis, Paul Tudor Jones, Michael Steinhardt, Ed Seykota, Marty Schwartz, and Tom Baldwin, making learning from the best an enjoyable journey. To keep things short, we highlighted the most important parts of the interviews and came back with these key takeaways: There is no holy grail to trading success. The methodologies employed by the "market wizards " cover the entire spectrum from purely technical to purely fundamental and everything in between. The time they typically hold a trade ranges from minutes to years. Although the styles of the traders are very different, many common denominators were evident: 1. All those interviewed had a driving desire to become successful traders - in many cases, overcoming significant obstacles to reach their goal. 2. All reflected confidence that they could continue to win over the long run. Almost invariably, they considered their trading as the best and safest investment for their money. 3. Each trader had found a methodology that worked for him and remained true to that approach. Significantly, discipline was the word most frequently mentioned. 4. The top traders take their trading very seriously; most devote a substantial amount of their waking hours to market analysis and trading strategy. 5. Rigid risk control is one of the key elements in the trading strategy of virtually all those interviewed. 6. In a variety of ways, many of the traders stressed the importance of having the patience to wait for the right trading opportunity to present itself. 7. The importance of acting independently of the crowd was a frequently emphasized point. 8. All the top traders understand that losing is part of the game. 9. They all love what they are doing. Below we've gathered a list of opinions from the traders interviewed in the book: 1. Implementation is as IMPORTANT as direction: Getting the direction of the trade right is only part of a successful trade; putting the trade in the right way is critical. 2. You don’t get paid for being right. Many traders fail not so much because of the trades they make when they are wrong, but rather because of the trades they don’t make when they are right. 3. Sometimes it is what you don’t do that counts. “Music is the space between the notes.” – Claude Debussy. Analogously, the space between investments – the times one is out of the market – can be critical to successful investing. 4. Risk Control Many market wizards interviewed in this book consider risk control even more important than the methodology. 5. Trade size can be more important than the entry point. Traders focus almost entirely on where to enter a trade. In reality, the entry size is often more important than the entry price because if the size is too large, a trader will be more likely to exit a good trade on a meaningless adverse price move. Don’t let your greed influence position sizing beyond your comfort level. 6. Don’t try to be 100 percent right. The market is moving against you and you are well aware of the dangers of an unconstrained loss, but you also still believe in your position and you are worried about throwing in the towel before the market turns. You are frozen in indecision. 7. Flexibility is a critical trait. Flexibility is an essential quality to successful trading. It is important not to get attached to an idea and to always be willing to get out of a trade if the price action is inconsistent with your trade hypothesis. 8. The best remedy for a losing streak. When you are in a losing streak, you can’t turn the situation around by trying harder. When trading is going badly, often the best solution is to stop trading for a while. 9. When everything is going great, watch out! The worst drawdowns often come suddenly right on the heels of periods when just about everything seems to be working as well as if it had been optimistically scripted. In this case, a trader will be most susceptible to being lulled into complacency. 10. The market doesn’t care where you entered a trade. Don’t make trading decisions based on where you bought (or sold) a stock or futures contract. The market doesn’t care where you entered your position. A common error traders make when they realize they are in a bad trade is to commit to getting out, but only after the market returns to their entry level – the proverbial “I will get out when I am even”. The linkage of liquidation to entry level is one of the major causes of turning small losses into large ones. In conclusion , "The Market Wizards" by Jack D. Schwager serves as an illuminating guide into the minds and strategies of some of the most successful traders of our time. Through insightful interviews and analysis, Schwager provides invaluable lessons on trading psychology, risk management, and market tactics. However, this is just the beginning of the journey into the world of market mastery. To delve even deeper and expand your understanding, we highly encourage traders to explore the following volumes penned by Schwager: "The New Market Wizards" (1992), "Stock Market Wizards" (2001), "Hedge Fund Market Wizards" (2012), and "The Little Book of Market Wizards" (2014) . These sequels offer a rich tapestry of new interviews, anecdotes, and wisdom from a diverse array of trading luminaries, further enriching your knowledge and empowering your trading endeavors. Whether you're a novice or a seasoned trader, these volumes are indispensable companions on your quest for trading success. Dive in, absorb the wisdom, and let it guide you on your path to becoming a true market wizard.
OANDA:XAUUSDEducation
by financialflagship
The Cores of Price Analysis: Trend Following vs. Mean ReversionIn the world of financial markets, predicting future price movements is akin to unlocking a treasure chest. Two of the most prominent methodologies used by traders and analysts to decipher market movements are Trend Following and Mean Reversion. Each approach offers a unique perspective on how markets behave and provides strategies for capitalizing on this behavior. In this article, we'll dive into the core concepts of these methodologies, explore how they can be implemented, and touch on basic processing techniques like smoothing and normalization, which enhance their effectiveness. Trend Following: Surfing the Market Waves Trend Following is based on the premise that markets move in trends over time, and these trends can be identified and followed to generate profits. The essence of trend following is to "buy high and sell higher" in a bull market, and "sell low and buy back lower" in a bear market. This method relies on the assumption that prices that have been moving in a particular direction will continue to move in that direction until the trend reverses. How to Implement Trend Following 1. Identifying the Trend: The first step is to identify the market trend. This can be done using technical indicators such as moving averages, MACD (Moving Average Convergence Divergence), or ADX (Average Directional Index). For example, a simple strategy might involve buying when the price is above its 200-day moving average and selling when it's below. 2. Entry and Exit Points: Once a trend is identified, the next step is to determine entry and exit points. This could involve using breakout strategies, where trades are entered when the price breaks out of a consolidation pattern, or using momentum indicators to confirm trend strength before entry. 3. Risk Management: Implementing stop-loss orders and adjusting position sizes based on the volatility of the asset are crucial to managing risk in trend-following strategies. Basic Processing Techniques - Smoothing: To reduce market noise and make the trend more discernible, smoothing techniques such as moving averages or exponential smoothing can be applied to price data. - Normalization: This involves scaling price data to a specific range, often to compare the relative performance of different assets or to make the data more compatible with certain technical indicators. Mean Reversion: Betting on the Elastic Band Contrary to trend following, Mean Reversion is based on the idea that prices tend to revert to their mean (average) over time. This methodology operates on the principle that extreme movements in price – either up or down – are likely to revert to the mean, offering profit opportunities. How to Implement Mean Reversion 1. Identifying the Mean: The first step is to determine the mean to which the price is expected to revert. This could be a historical average price, a moving average, or another indicator that serves as a central tendency measure. 2. Identifying Extremes: The next step is to identify when prices have moved significantly away from the mean. This can be done using indicators like Bollinger Bands, RSI (Relative Strength Index), or standard deviation measures. 3. Entry and Exit Points: Trades are typically entered when prices are considered to be at an extreme deviation from the mean, betting on the reversal towards the mean. Exit points are set when prices revert to or near the mean. Basic Processing Techniques - Smoothing: Similar to trend following, smoothing techniques help in clarifying the mean price level by reducing the impact of short-term fluctuations. - Normalization: Especially useful in mean reversion to standardize the deviation of price from the mean, making it easier to identify extremes across different assets or time frames. Conclusion Trend Following and Mean Reversion are two fundamental methodologies in financial market analysis, each with its unique perspective on market movements. By employing these strategies thoughtfully, along with processing techniques like smoothing and normalization, traders and analysts can enhance their understanding of market dynamics and improve their decision-making process. As with any investment strategy, the key to success lies in disciplined implementation, thorough backtesting, and effective risk management.
INDEX:BTCUSDEducation
by AlgoAlpha