Trading the support and resistance levels of an asset is probably one of the oldest and most reliable technical strategies. It goes without saying that asset prices never trend in a straight line – any trending market is often punctuated with momentary pullbacks or retracements. This is where Fibonacci retracement levels come in. These levels Read More…
Breakout trading is the cornerstone of most technical indicators. It’s usually the simplest way to gauge the magnitude of a trend. And regardless of your trading strategy, you’re bound to experience some false breakouts, which will kill your strategy. So, how do you avoid false breakouts? And more importantly, how do you take advantage of Read More…
Moving average convergence divergence (MACD) is one of the most versatile technical indicators – it’s both a trend and momentum indicator. The MACD indicator can best be described as a 2-in-1 indicator; it shows the start of a bullish or bearish trend using the MACD crossover and the strength or weakness of a trend with Read More…
Any price action has a series of steady bullish and bearish trends punctuated by momentary price consolidation. When timed accurately, breakout trading strategies can be invaluable for catching trends while they’re just beginning. And this is what the rising and falling wedge chart pattern trading is geared towards. What are Wedge Chart Patterns? A wedge Read More…
Technical indicators have always been faulted for lagging, making price action analysis invaluable to any trader. With hundreds of chart patterns to choose from, it may not be easy to decide which one is more reliable and suited to your trading style. However, it’s a general consensus that the ideal ones should generally be easy Read More…
In technical analysis, double top and bottom are chart patterns that predict market trends. Hence, it is not uncommon to find double tops and bottoms on the charts of financial instruments. Double tops signify the end of a bullish trend, whereas double bottoms indicate a possible bearish trend reversal. Chart patterns such as double tops Read More…
