Learning to spot technical patterns before prices begin to move is one of the most critical aspects of day trading. Yes, predicting the market with perfect accuracy is impossible, but if you trade long enough, you’ll start picking up on different patterns that could signal an upcoming price movement. Head and shoulders, cup and handle, […]
What is Support and Resistance? Support and resistance is a stock market concept which gained steam in the 1800s and early 1900s. The idea is that certain price levels have significant imbalance of supply and demand, and serve as market turning points. In plain English, a support level is a price level where buyers […]
Predicting market movements with chart patterns is one of the most effective tools for making trade decisions. Chart patterns are pure price-action and the basis of underlying buying and selling pressure. They are formed by support and resistance levels, as well as by more complex versions of trend lines. Patterns have a proven track record, […]
The bump and run reversal pattern is an advanced chart pattern that helps traders spot the end of a trend and the start of a new one. Below we will go over what the pattern looks like and tips on how you can trade it. What is the bump and run reversal pattern? The […]
The Morning Star might have unpleasant Biblical connotations, but it’s an important bullish pattern for day traders to look for. The Morning Star is a signal that a downtrend could be nearing its end and a reversal to the upside could be on the horizon. On the other hand, the Evening Star is the Anti-bull, […]
When it comes to day trading stocks, it is important that the trader is capable of carrying out detailed technical analysis of stock charts. Technical analysis greatly helps traders to make crucial decisions of buying, holding, or selling stocks. In this article, we’ll go over what technical analysis is, why it is important for traders, […]
It’s time to talk trendlines and I’m here today to help you remove the guesswork of drawing all different types of trendlines that help you pinpoint precision entries. Few stock market sayings have more staying power than “the trend is your friend” and for good reason. When the trend is moving in the same direction […]
Learning technical analysis of stock trends is a great way to develop your day trading skills especially when it comes time to enter or exit a trade. Although advanced software and nerves of steel are necessary ingredients for successful day and swing trading, one more component is needed: technical analysis. This third variable is how […]
If you are new to investing and looking to become an active trader in the stock market, then you need to know how to read stock charts. Although most stock charts are pretty basic, understanding how to read them can be quite intimidating for some traders. What is a Stock Chart A stock chart is […]
What is the volume rate of change? The volume rate of change, or VROC, is a technical indicator used to measure the rate of change in the trade volume of a security. Volume is an important component of virtually every trading strategy based on technical analysis, and is a key indicator for many strategies. Therefore, […]
