Linda Bradford Raschke was one of the top traders featured in Jack Schwager’s book ‘The New Market Wizards’ her trading results were outstanding both as a floor trader and when she moved to trading at home from her own office. She had consistent success in her own personal trading and even made seven figure profits […]
Review of Linda Raschke’s New Book: Trading Sardines Read More »
Trend following is the process of trading in the direction of the markets price action and staying with the trend until it ends. A trend follower must have a quantified winning process for entering when there is a signal and then either exiting for a small loss when a trend fails to be established or
Top Five Trend Following Indicators To Use Read More »
The RSI (Relative Strength Indicator) is a is a momentum oscillator that measures the speed and change of price movements. The RSI moves in a bounded range between zero and 100. I use the RSI on the (14) setting on the daily chart. The RSI is generally overbought when its reading is above 70 and oversold
How I Use the RSI Indicator Read More »
This is a Guest Post by Jake @TrendSpider. In this weekend’s analysis, we take a look at the broad market ETF’s SPY, QQQ, and Bitcoin. We are also excited to have guest, John AKA “TrueBubbleHead” on Twitter who is the founder of positive-trends.com, on our webinar on Sunday to discuss how he uses Raindrop(TM) charts in
The Key Trendlines on the Charts: $SPY $QQQ $BTCUSD Read More »
Chart courtesy of StockCharts.com The Double Top Chart pattern is a reversal pattern that is bearish. This pattern is created when a key price resistance level on a chart is tested twice with a pullback between the two high prices at resistance price level tests. Chart Facts: A double top chart pattern happens at the end
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The Head and Shoulders Chart Pattern is one of the most popular and bearish patterns in technical analysis. It defines three attempts to make highs and then trend but fail, it precedes many major corrections and bear markets. Chart Facts: The Head and Shoulders chart pattern is a reversal pattern of an uptrend. The pattern
Identifying The Head and Shoulders Pattern Read More »
While the Head and Shoulders Chart Pattern is one of the most popular in Technical Analysis few people have heard of the Inverted Head and Shoulders Pattern. It is basically the opposite of the classic Head and Shoulders, while the regular pattern is ominous and bearish the inverted version of the pattern is very bullish
Why the Inverted Head and Shoulders Chart Pattern Works Read More »
A bullish divergence is defined on a chart when prices make new lower lows but a technical indicator that is an oscillator doesn’t make a new low at the same time. This is a signal that bearish sentiment is losing momentum with the high probability that buyers are stepping in and the market may be near a
What is A Bullish Divergence? Read More »
“Trade what’s happening, not what you think is gonna happen.” – Doug Gregory Price action trading is the process of reacting to current price to make entry, exit, and holding decisions. It is replacing opinions and predictions with valid signals. A signal is a quantified reason to enter a trade, stay in a trade, and
What Is Price Action Trading? Read More »
There are many things people trade based on. They can trade based on a company’s fundamentals or macro economic trends. People can place trades based on their own beliefs, projections, predictions or personal opinions. Also psychological errors like the fear of missing out on a move, greed, or ego can lead to trading decisions. There
10 Price Action Strategy Trading Tips Read More »