A very big part of trading is stalking the markets. Good traders are always tracking the charts days and weeks in advance to see how patterns are developing, waiting for the right moment to strike their ‘prey’. Yes – for sure good opportunities don’t come along very often. But that’s part of the ‘job’. A good trader is spending much time in the background preparing; keeping his powder dry as they say. GBPAUD has someRead More
What do I mean by ‘synthesis’? It’s about putting things together. Jeeeez – is that such a big word? So the pic below represents the result of synthesis. Synthesis of what? The method of binary options and harmonic trading principles. Huh? With Binary Options you only need price to stay away from your entry point to make some dosh. If going long price must stay above your entry – if going short price must stay less thanRead More
The ABCD harmonic is one of the simplest, yet most fundamental and profitable patterns to trade (says Scott Carney). Carney’s criteria are freely available on various internet sources and on YouTube. Importantly, finding the pattern and ensuring it is accurate is only the first phase of any potential trade setup. There are several other steps to follow after the pattern is identified for deciding if to enter and pre-programming exit points. This is not aRead More
Fractal indicators are interesting and add to your tool box. When and how they’re used is entirely up to each individual trader. This post is not to say that ‘they’re good or the best’ or anything like that. When you study your ‘prey’ you may decide that you need certain types of ammunition and equipment for the ‘kill’. You are the boss of you, so you decide what you’ll use and how you’ll use yourRead More
The annotated chart (clickable to enlarge) below gives the analysis. This is note meant as a tip. The SYP applies if you lose your money. Update: Successful snipe – results are on the last image below.
It’s a long story and an very important one for all traders – what Fibonacci is about. Why is Fibonacci so powerful? It is an operating principle in nearly every sphere of our existence. Some have referred to it as the hand of God or God’s fingerprint. Fibonacci in socio-economics After many months of interacting with the markets, I’ve come to some understandings which I share. I will cut this down to the essence ofRead More
MACD is a useful indicator in many situations. As always it ought not to be used on it’s own to make decisions about probabilities of price movement. It is like most indicators, a lagging indicator. That means that it looks back (all any indicator can do) at price and gives a representation of what was happening. Only you can decide what may happen next – not the MACD, any other indicator, or any combination ofRead More
When I first started off trading, I had my doubts about whether the concept of support (and resistance) was actually for real. The chartS below are some fine examples that demonstrate the power of the concept. Support means that which resists falling through the floor. It’s just like a floor actually. Floors do break on occasion depending on the integrity of their structure and the amount of pressure put on them. So too it happensRead More
The Guppy system of analysis is one of the most logical and transparent that I’ve come across. The perspective on EURUSD below, gives a picture of a trend breakout to the downside. Spikes in or through the slow EMAs (in red) have been rejected. See two snapshots below. The screenshot below speculates on what may happen. The SYP applies.What happened next a few hours later:
The Guppy system of analysis is one of the most logical and transparent that I’ve come across. The perspective on COSTCO below, gives a picture of a trend breakout to the downside, with a recent spike on the daily chart. The screenshot below speculates on what may happen.