EURUSD going bearish Market respecting trendline and wick rejection which was a signal for me to go short.
Beginnersguide
Bullish momentum from EURUSDGot three touches on the 2nd trendline meaning that the trendline is being respected.The market is currently at a major support which has been respected in the past and a green hammer formed and I executed a long position (buy)..
Identifying a Trend — #Forex for BeginnersA trend is the general direction of a market. Unless something happens to change the trend, a currency or commodities price tends to move within a channel. A channel is formed by a Support level and a Resistance level. The Support level is the trendline for the Lows and the Resistance is the trendline for the Highs. Adding in additional Trendlines, between Support and Resistance, using the Ray Tool builds addition points of interest.
Trendlines (how to draw)
Identify 2 Lows or 2 Highs
The Support Trendline can be identified as soon as 2 Lows are formed and Resistance Trendline can be identified as soon as 2 Highs are formed.
Traders use the Ray Tool instead of the trendline tool to extend trendlines into infinity (Check off “extend right” in the settings by double-clicking on the ray). This is important because traders use trendlines to assist them with locating future trade opportunities as well as locating important areas in current trades.
Traders always draw trendlines from candle wick to candle wick. By using the magnet tool in TradingView, this allows locking on to the candle wick to be much more easy and accurate.
A best practice is to touch as many points as possible even if other candle wicks are cut through along the way.
Always draw multiple trendlines for Lows and Highs on different time frames.
A minimum of 2 touches is required for a valid trendline. The more touches the better.
Using the @alphamindfx Method with the AM All-In-One Indicator
Simple Technical Analysis for BeginnersIdentifying the Support (lowest price), Resistance (highest price), and Key Levels (areas price gravitates to between Support and Resistance) one two or more timeframes. Today, I have them marked on the 4H and 1H Timeframes.
Identifying Support
Support is the lowest level a price will go before reversing. A support is created in two ways. The first way is when Sellers in the market close their existing positions and take their profit. The second way is when new Buyers enter the market by opening new positions.
Identify all historical Lows in a chart.
Circle these zones.
Connect as many as possible using straight horizontal lines. These are known as areas of Support.
Identifying Resistance
Resistance is the highest level a price will go before reversing. A Resistance is created in two ways. The first way is when Buyers in the market close their existing positions and take their profit. The second way is when new Sellers are entering the market by opening new positions.
Identify all historical Highs in a chart.
Circle these zones.
Connect as many as possible using straight horizontal lines. These are known as areas of Resistance.
Chart Made Using AlphaMind AM All-In-One Indicator
10 Trading Commandments of a Successful Trader 📜
Hey traders,
In this post, we will discuss 10 divine rules that every trader must obey:
1️⃣ - Accept that risk and losses are a necessary part of trading.
Even though most of the traders are looking for a holy grail, for a system that produces 100% win rate, in fact, losses are inevitable, they are part of the game.
No matter how good you are as a trader, occasionally, the market will outsmart you.
2️⃣ - Have a proven trading system.
Trade only with a trading strategy that you backtested, that proved its accuracy and efficiency.
3️⃣ - Concentrate on the risk, not the reward.
Cut losses, and control your risk. Remember about risk management and never neglect that.
4️⃣ - Never trade without stop loss.
Some traders say that they can easily control losses without stop loss. Don't listen to them. Always set a stop loss once you are in a trade.
5️⃣ - Have an attainable target.
Setting a stop loss remember to know where to close your trade in profit. Follow strict rules and do not let your greed take you under control.
6️⃣ - Take your emotions under control.
No matter whether you are losing, winning, or do not see any trading setups to trade, your emotions will always try to distract you.
Be cold-hearted.
7️⃣ - Always stick to your trading plan.
Never break your rules, follow your system, and do not deviate.
Your trading plan is your only map.
8️⃣ - Limit your losses, never limit your profits.
While your gains can be scalable, your risks and losses must be fixed.
9️⃣ - Treat your trading as a business.
Trading should be treated with the same discipline as a business.
Every business has a solid business plan which entails how the day-to-day running of the business is done, and this also guides the decision-making process.
🔟 - Always journal your trades.
Always keep a trading journal. Record your winners and losers, entry reasons, mistakes, failures etc. Revise and learn from your mistakes.
Of course, that list can be extended and more commandments and rules can be added. However, these 10 in my view are the most important. Print this list and let it guide you in your trading journey.
What would you add to that list?
❤️If you have any questions, please, ask me in the comment section.
Please, support my work with like, thank you!❤️
history repeats itself..simple yet powerful price action. no assumptions on market, major levels are marked be neutral but don't forget to apply yours strict money management rules. wish u a profitable expiry traders.
How to Trade the Head & Shouders Top and Bottom Chart PatternHey Traders so In my last video we discussed what is the 123 top and 123 bottom formation and how it can benefit you in your trading. Today I want to go over one of my favorite chart formations in technical analysis called the Head & Shoulders top and bottom.
Enjoy!
Trade Well,
Clifford
What topics do you want to learn about?3 years in the market, studying each day has taught me a lot, and I'm still learning each day. But with a background in Psychology and an interest in Education, I want to know that part of the markets YOU want more information about.
In the comments below, list off some simple topics for beginners that want someone to help explain things from anything charts, what indicators are valuable, and lastly how psychology create the patterns we see on our Trading View apps.
Let me know in the comments below and ill make a post tailored to your inquiries and tag you for ease of use!!
If you see someone ask your question, drop a like on their comment or saw "following" as a reply to their comment. This way ill know which topics are priority!!
JKCEMENT - Swing Trade - Support of 50EMAThe purpose of this analysis is mainly to give an idea for swing trades to beginners.
Those who struggle to find good swing trades due to lack of knowledge of price action or due to lack of time for chart reading, can follow this simple strategy.
Brief points -
Prepare a watchlist of 10-20 good stocks from different sectors (preferably top 2-3 companies of sector, and their major trend should be Bullish). Check the chart of those stocks, most of them either move with support of 50EMA or 200EMA on daily TF.
For those who move with support of 50EMA are more bullish as compared to those which move with support of 200EMA. Prefer trading in those stocks.
Strategy for entry - Whenever price comes very close or below 50EMA, one should enter at CMP or above its high. (position sizing should be kept in mind always). Target should be either 20% or Life-time high level as per the individual stocks.
NOTE - if the stock falls below and comes near 200EMA, then 20-30% more quantity may be added in case extra cash is available. No further averaging needed below this.
Although there won't be a need for SL if the stocks are fundamentally strong. because such stocks don't usually stay low for long. But still one can put SL as per their capacity.
P.S - Always take care of your position sizing in any trade. Never put more than 10% of your initial capital in any one stock.
Feel Free to comment for any query on this idea or regarding price action analysis.
US30 seeking new highs forget lows!I’m predicting US30 will continue climbing into unknown territory for this group of achievers.
Since I’m a newbie in indices tradering I find scalping on a five minut chart to be most beneficial and after this restest daily candle for MONDAY I expect price to continue the uptrend into 30,300 and higher.
Get your computers ready, the mist poltical confusions means more economic gains for retail traders..
we not here for a long time just a short time.
Grab your pips and leave!
Play both sides and stick to your trading plans.
Times are uncertain but we must take control of our income and NOW IS THE TIME TO TELL THE POLITICIANS WE THE PEOPLE STILL ARE THE LEADERS NOT THE SERVANTS!
Tips for Beginners When Trading CryptoOver the years I have made many common mistakes, and so I hope that by listing what I have learned, it may help someone speed up their journey to becoming a successful cryptocurrency trader:
Don’t jump into trades without consideration. Evaluate, set buy/sell orders, and use stop losses!
Remove emotion, look to buy during periods of fear. Go against the instinct of only buying when the price is in green.
Analyse Micro & Macro trend - Look for historical support & resistance.
Close positions/set stop losses before bed - to avoid overnight surprises.
Take profits along the way at predetermined price points. (i,e 25%, 50% etc).
Calculate risk/reward ratio using measure tool.
Become familiar with the following formations as some can be deceiving (i.e look bullish but tend to break to the downside).
- Bull-flag (bullish)
- Bear-flag (bearish)
- Head and shoulders (bearish)
- Inverse head and shoulders (bullish)
- Rising wedge (bearish breakout)
- Descending wedge bullish breakout)
- Double top (bearish)
- Double bottom (bullish)
Use indicators to help with your decision making. Primarily:
MACD - this is a momentum indicator and can show signs of a trend reversal.
Moving Averages (MA) - Lines that plot the average price of an asset. (calculated in different time frames i.e 1-day moving average, 1-week moving average etc.)
Look for crosses in your indicators, often referred to as a ‘bullish cross’ or a ‘bearish cross’.
Summary: Don’t open a position if there is no position to be taken. Like poker, it’s a game of favoring a win by taking in the available data, to place a bet that is statistically in your favor. By considering all of the points above before each decision, you can maximize the number of wins you make, and reduce the amount that you lose on the turns that you do not win.
Note: I know much of this has become common knowledge to many of us, but I recently was asked for advice by a friend and I believed this to be a comprehensive list of everything he needed to know. Please feel free to add any additional advice in the comments below.
