This is a guest post by PattensWizard on Twitter. “No one can predict the market consistently. It is all about odds, statistics, probabilities, and avoiding the risk of ruin.” – Henri Simoes I believe this popular quote from Henri Simoes sums up trading in the best possible way. In life, trading and everything else, if […]
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Dovish refers to the stance and sentiment a government monetary policy creator holds and expresses toward keeping interest rates low. Doves on the Federal Reserve board believe low-interest rates and accommodative monetary policy are important to keep the economy going and maintain low unemployment rates. If someone is dovish they are not as concerned about
Epic Games is the creator of the popular video game Fortnite, so many people become interested in investing in the company behind this smash hit. The bad news is that there is no Epic Games ticker symbol because it is not a publicly traded company. You can’t buy Epic Games stock on any exchange. The
Is Twitch a publicly traded company? If you are searching for the Twitch ticker symbol you are too late as Jeff Bezos bought the whole company for Amazon back in August 2014 for $970 million USD as part of Justin.tv. Twitch was first introduced in June 2011 as a spin-off of the original streaming platform
Ed Seykota is one of the most success traders of his generation. As a trend follower and money manager he made many of his investors millionaires in the 1970s and 1980s. He was one of the first traders to use both moving averages and early punch card computers to backtest trend following systems. His edge
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The two crows candlestick pattern is a bearish reversal pattern that appears during uptrends and upswings in price action. It is a three candle pattern that starts with a big bullish candle followed by a second candle that shows a gap up in price action and move higher before reversing and closing lower than the
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The UVXY is a volatility tracking exchange traded fund. This ETF started trading in October of 2011 and it tracks 1.5 times the performance of the S&P 500 VIX short-term futures index for a single day. Due to the compounding effect of daily returns, the UVXY’s performance over the long-term will be very different than
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Awesome Oscillator was developed by Bill Williams. The Awesome Oscillator (AO) is a non-limiting oscillator used in technical analysis. It quantifies the weakness or the strength of price on a chart. The Awesome Oscillator measures the price momentum in one direction, confirms trends and can also show when momentum is waning and signal the potential
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Here is the top 20 list of the current most shorted stocks with the highest short interest across all major U.S. stock exchanges as of the last update July 28th, 2021. These are the companies that have the highest percentage of their share float borrowed to sell short or even sold naked with no borrowed shares over
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The downtrend definition is a move in price action that makes lower highs and lower lows in the time frame being tracked. A downtrend is caused after a chart goes from a phase of accumulation or range trading and into a stage distribution. A distribution cycle can be a combination of short sellers starting to
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Here are the 14 stages of the psychology of a market cycle from beginning to end. Disbelief: After a bear market the first rallies into a new bull market are not believed to be real. Investors think the rally will fail. Hope: The first step in beginning a new bull market is that a price
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Many traders don’t understand what it means to have an edge in trading. It is simply an advantage in the markets that over time leads to your winning trades adding up to more than your losing trades. There are potential edges in every market and in each time frame from scalping to value investing. What
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Most traders are familiar with the most popular trading book of all time Reminiscences of a Stock Operator by Edwin Lefèvre that describes Livermore’s life through a fictional character, but few know that he wrote a trading book near the end of his life called How I Trade in Stocks that did not sale well at
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The Bullish Tasuki Gap candlestick pattern is a three-candle continuation pattern during an upswing in price that signals the uptrend will continue. The first candle in the pattern is a large bullish white or green candle making a higher high and higher low than the previous candle. The second candle is also bullish and white
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What does “Memento Mori” mean? It is Latin for ‘remember that you must die’ [one day]. The most successful generals in ancient Rome were awarded a “triumph” entry into the capital city on their return from victorious campaigns. It was a magnificent spectacle and parade that was meant as a ceremony to honor and appreciate
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Options are traded on contract markets and unlike stocks there is someone short and someone long every option at all times. Options are a zero sum market as there is always a winner and a loser in every price move. Someone has to write every contract and there must be a buyer and they both
Bullish markets and bearish markets are very different in the sentiment and price dynamics. Money made in bull markets can be given back in bear markets so a bullish bias can be dangerous when a real long term bear market arrives. People tend to think of the stock market as a whole as bullish or
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The RSI indicator buy and sell signals are based on oversold and overbought conditions on a stock chart. The RSI is a measurement of price moving too far and too fast in one direction and as the RSI gets extended farther from the 50 RSI middle line the probability of a reversion to that mean
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Stock prices falling is perfectly normal in the market. Pullbacks are not something unusual or to be worried about in the stock market until they trigger a potential bear market. Stock market drop parameters: Down -5% is a pull back. Down – 10% is a correction. Down -20% is an official bear market. Down -50%
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What traits separate the minority of profitable traders from the the majority of unprofitable traders in the markets? Here are the 12 key traits I have seen and studied over the past three decades in the financial markets that separate successful traders from the unsuccessful ones that don’t make it. From the start the traders
The Anatomy Of A Successful Trader: 12 Key Traits Read More »