-> Definition of Reversal patterns :- Reversal patterns mean the formation of candlesticks which indicate the end of the existing trend (uptrend or downtrend). When such formation appears in a downtrend, it indicates a bullish reversal or end of selling spree and onset of buying spell. Conversely, when a trend reversal pattern forms in an uptrend, it warns...
Diamond Top Formation A diamond top formation is a technical analysis pattern that often occurs at, or near, market tops and can signal a reversal of an uptrend. It is so named because the trendlines connecting the peaks and troughs carved out by the security's price action form the shape of a diamond. KEY TAKEAWAYS 1. A diamond top formation is a chart pattern...
Candlesticks? Oh come on, even babies know about it. What is new in it to learn? This is what everybody thinks when they hear about the term “candlesticks” in trading. Let me ask you one question. If you know everything about it, then why you are still making losses? Sounds logical, right? So everybody is a beginner here. Join me with open mind and you will learn...
Hello !! Welcome to the trading psychology of a noob trader. We all know most people lose money in stocks as they do not have a proper idea about investing and invest randomly in any stock without looking technically or fundamentally. In order to stay in the market, one needs to be patient and hold the horses when the market dumps as nothing goes down forever....
Hey everyone! 👋 Last week, we explained some of the basics to know when it comes to understanding divergences in the markets. If you haven’t read that post, be sure to check it out here: 👇 In this post, we are going to examine bullish divergence further, along with a few exhibits. Please remember this is an educational post to help everyone better...
Hello Traders and Investors My Name is Manish Singh and i am an expert in Neowave. In this chart i have describe the coding method to read my charts. In Neowave Charts Degree labels used as intermediate, primary and cycle degree which is hard to understand by new user. Actually they understand 1 to 5 labels but they dont get the quiet idea in one look in which...
Using #BTST (Buy today, Sell tomorrow) trades, you can avoid sudden market selling like today. How? - When you take BTST trades, you usually ride the momentum and are only in the market for a few minutes. - For example, I typically buy stocks at 3:25 p.m. and sell them the following morning at 9:15 a.m., so technically I am only in the markets for 5-10 minutes...
Fear of Missing Out ------------------------ You missed a great opportunity yesterday. You take it as a mistake and don’t want to repeat it. So, today you enter in a hurry, deviating from your edge/strategy thinking that you will nail it this time. But that might not be the case. Missing an opportunity, because it was not in-line with your back tested strategy,...
Market fall may have taken few by surprise, but followers of price action techniques should have this scenario in their plan. Trend analysis (or Elliot wave analysis) along with Fib Retracements could be of enormous help if used in tandem with price action. They at least give you minimum target and levels, so that you are able to ride the trend and also do not...
Head & Shoulder Pattern. How to filter out pattern for trading with more possibility of success and entry before breakout.
-> Definition of Inside Candle As the name suggests, an inside bar chart pattern engulfs the inside of a large candle, some call it a mother bar. It’s a pattern that forms after a large move in the market and represents a period of consolidation. The inside bar pattern can be a very powerful price action signal if you understand how to trade it...
DSSL BO with huge volume with support/demand zone found on the magical Parallel channel. Stock is finding good support in the zone of 250-260, rest we can plan the trade as levels mentioned on the chart Case Study 1 - Reliance Industries - Long Term Magical Parallel Channel : we can clearly see the price has respected the parallel channel in a magical way,...
Stage 2 breakout 30week sma and Pyramiding opportunity step by step Observe RSI range in stage 1 and stage 2 Education purpose
This is the educational post regarding the types of diagonal patterns- SUMMERY : LEADING DIAGONAL ENDING DIAGONAL LEADING DIAGONAL Always form in inner wave of wave (1), so one can expect wave(2,3,4 & 5) within main impulse wave to complete the pattern. PATTERN: 1- Comprises of (5-3-5-3-5 (inner waves)) or (3-3-3-3-3) (inner waves) 2- wave (4) always...
Comparison between Running triangle-Leading and Ending Diagonals Chart 1 depicts a theoretical structure of Running triangle and an ending diagonal in a down trend. As mentioned the comparison is in a downtrend. Accordingly downward move is termed as directional move and move to the upside is termed as non-directional. A running triangle has non-directional...
if you trade in any instrument always set stop loss in system if you set stop loss in mind then this type of market you cannot handle
The Darvas Box Theory is a trading method that is based on stock momentum. The momentum theory basically suggests that stock prices that have previously climbed are more likely to do so again in the future. Stock prices that were falling previously are more likely to fall again in the future. By drawing boxes around the highs and lows throughout time, the idea...
If you have been in the market for some time, you may have heard of something called “divergence” . Today we are going to share an informative write-up along with a few exhibits that may help you solidify your understanding of this important trading concept. This post will also lay the groundwork for future posts about related topics. Please remember this is...