Posts

SUPPORT AND RESISTANCE IN STOCK MARKET CHART ANALYSIS.

  WHAT IS SUPPORT?  • Support is something that prevents the price from falling further.  • The support level is a price point on the chart where the trader expects maximum demand in terms of buying) coming into the stock/index. Whenever the price falls to the support line, it is likely to bounce back. The support level is always below the current market price. • Support levels can be visualized using different technical indicators or simply by drawing a line connecting the lowest lows for the period. The rationale is that as the price drops and approaches support, buyers (demand) become more inclined to buy and sellers (supply) become less willing to sell. WHAT IS RESISTANCE ?  • The very term resistance in the stock market; suggests something of a kind of a barrier.  • Resistance is the price level wherethe probability of the price moving above the level is much lower than the probability of the stock meets a price barrier and falling lower.  • Resistance is one of the criticaltechni

BACKTESTING IN TRADING

  BACKTESTING A "MUST DO" FOR EVERY TRADER Backtesting is a process where a trader assesses how a strategy would have performed in the past. During backtesting, the trader follows strictly all strategy rules to get an objective view on the performance to see if something needs to be changed.

TYPES OF PUBLIC OFFERING (DIRECT PUBLIC OFFERING AND INITIAL PUBLIC OFFERING)

 DPO DIRECT PUBLIC OFFERING The company is not required to use underwriters.  Saves money for not using underwriters. Investment banks and financial institutions that act as underwriters may be costly, they help ensure that federal regulations are followed. It chooses to raise cash through a DPO,its corporate team is responsible for making sure federal regulations are followed IPO INITIAL PUBLIC OFFERING The company uses services of intermediaries called underwriters. Have to pay fees for Underwriters. Regulated & stable because the underwriter buys the shares, the company gets the cash immediately upon completion of contracts. This allows the company to put that money to work much more quickly.while the underwriter worries about selling the shares.

THE WYCKOFF METHOD FOR STOCK MARKET

  THE WYCKOFF METHOD :-Work on getting a broader understanding of the market. This will identify markets likely to trade higher,lower, or sideways. :-Once you understand the probable direction,identify stocks that have historically followed the same trend. :- Use point-and-figure charts to identify potential investments that have an early-stage accumulation or re-accumulation. :-Look for a stock's readiness to move, indicated by trading ranges and instances of stock accumulation and re-accumulation, distribution, and redistribution. :-Time your investment plans to benefit from a broader market trend change. Then,implement stop-loss limits and follow the stock price until the trend changes.

BEST BOOKS PDFS ON TRADING AND INVESTING

  BEST BOOKS PDFS ON TRADING AND INVESTING 1. THE INTELLIGENT INVESTOR 2. LEARN TO EARN 3. RICH DAD AND POOR DAD 4. A RANDOM WALK DOWN WALL STREET 5. HOW TO MAKE MONEY IN STOCKS 6. THE DHANDHO INVESTOR 7. THE WARREN BUFFET WAYS 8. BEATING THE STREET 9. THE LITTLE BOOK THAT BEATS THE MARKET

5 USEFUL POSITION TIPS FOR TRADING

  5 USEFUL POSITION TIPS FOR TRADING • USE FUNDAMENTAL UPDATES TO GAIN A STRONG UNDERSTANDING OF MARKET DIRECTION • ONLY USE KEY LEVELS THAT PRICE HAS RESPECTED FIVE OR MORE TIMES AS SUPPORT/RESISTANCE • USE RISK/REWARD RATIOS OF 15 OR HIGHER • USE THE 200 EMA TO HELP DETERMINE TREND . CONSIDER THE BUY & HOLD METHOD FOR BULLISH INDICES AND CRYPTO

FIBONACCI NUMBERS

  FIBONACCI NUMBERS There is a special ratio that can be used to describe the proportions of everything from natures smallest building blocks such as atoms to the most advanced patterns in the universe. Financial markets also conform to this Golden Ratio. A Fibonacci sequence is derived by simply adding two preceding terms. (1, 1, 2, 3, 5, 8, 13, 21, 34, 55, 89, 144.....) The important point in this is that the ratio of one to the next is roughly 1.618 and the inverse is 0.618. Everything in nature adheres to this ratio, including dividing our height from our head to our toes by the distance from our belly button to our toes we get 1,618.

5 KEY EVENTS EVERY TRADER SHOULD KNOW

 5 KEY EVENTS EVERY TRADER SHOULD KNOW EVENT 1.MONETARY POLICY- EVERY TWO MONTHS 2.INFLATION - 2ND WEEK OF EVERY MONTH 3.IIP(INDEX OF INDUSTRIAL  PRODUCTION) -EVERY MONTH (ALONG WITH INFLATION DATA) 4.BUDGET - ANNUALLY (LAST WEEK OF FEB) 5.CORPORATE EARNINGS - EVERY QUARTER THESE ARE THE MAJOR EVENTS WHICH EVERY TRADER SHOULD BE AWARE OF

INTRADAY TRADING BASICS

 DAY TRADING BASICS . CUT YOUR LOSSES. . CONTROL YOUR EMOTIONS. • FIND YOUR STRATEGY. • PRACTICE PAPER TRADE. .SET RISK/REWARD. • DON'T GO ALL IN. . AVOID FOMO . TRACK TRADES • BUILD A WATCHLIST • DON'T FOLLOW OTHERS. • PROTECT CAPITAL

JESSE LIVERMORE'S TRADING RULES FROM 1940

  Jesse Livermore's trading rules from 1940 . 1. Nothing new ever occurs in the business of speculating or investing in securities and commodities.  2. Money cannot consistently be made trading every day or every week during the year.  3, Don't trust your own opinion and back your judgment until the action of the market itself confirms your opinion.  4. Markets are never wrong — opinions often are.  5. The real money made in speculating has been in commitments showing in profit right from the start,  6. At long as a stock is acting right, and the market is right, do not be in a hurry to take profits.  7. One should never permit speculative ventures to run into investments.  8. The money lost by speculation alone is small compared with the gigantic sums lost by so-called investors who have let their investments ride.  9. Never buy a stock because it has had a big decline from its previous high.  10, Never sell a stock because it seems high-priced. 

DOUBLE BOTTOM STRATEGIES FOR INTRADAY TRADING

Image
  DOUBLE BOTTOM STRATEGIES : In a downtrend. the stock sells off and find  support at point A Then the price moves  up to point B and can't keep the uptrend'  selling off to point C holding support of  Point A and begins to go up again,  c Stop Loss  This is when a potential double bottom  reversal is setting up.

TECHNICAL INDICATOR ROAD MAP

  Technical Indicator Road Map:   MACD  - Price swings  RSI -  Overbought/Oversold  Bollinger Bands - Trading Range  ATR - Volatility  ADX i -, Strength of a trend  Keltner Channels - Extension from  the mean  Moving averages - Trend direction  What else would you add?

BEST WAY TO INCREASE A QUANTITY INTO A TRADE

Pyramiding into a trade :  Don't take the full position at once  Maybe buy 25% on the initial signal  Add another 50% on a confirmation  of the signal  Add another 25% on the follow  through of price action  Build your position 1 step at a  time,add to winners & losers are cut  short 

TRADING PSYCHOLOGY

  YOUR BRAIN IS A  SUPER COMPUTER  UPDATE ITS SOFTWARE   • Books  • Podcasts  • Experiences  PROTECT ITS BATTERY  • Eight hours of sleep  • Connect with nature  • Technology detox  CLEAN ITS HARD DRIVE  • Meditate  • Journal  • Positive self talk

PROPER POSITION SIZING

proper Position Sizing Cheat Sheet   Position sizing isn't random. It's calculated based on ACCOUNT RISK (AR) and TRADE RISK (TR).  A formula controls risk so we know exactly how many stocks, futures contracts, or forex lots to buy on a given trade. There are many ways to calculate position size. Here are a few simple ones:  Fixed % Risk Method  Step 1. Choose an AR% you wish to risk on a trade. 2% or less. or less is preferred.  Step 2. Covert the to AR$, based on your account size.  ARI% on $10,000 account means you can risk/lose up to SIOO/ trade.  Step 3. Determine TR$, This may vary by trade; it's the difference between the entry and stop loss (SL) price. The SL is the exit point if the price doesn't move in the expected direction.  • Entry at $15,SLat $14.25, means TRS is $0.75.  POSTION SIZE AR$ / TR$ - $100/$0.75 - 133 shares.  Fixed S Allocation Method  Step 1. Choose the maximum number of trades you want to allocate your total capital to. If you choose 5, each

MOVING AVERAGE ROAD MAP

  Moving Average road map:        5 day EMA- Strong Momentum        10 day EMA - Short Term Trend        20 day EMA - Pullback Support        50 day SMA - Uptrend Defense Line        100 day SMA - Big Price Dip        200 day SMA - Bulls last stand in                       uptrend, bears in downtrend       250 day SMA - Value Zone

TRADING STYLES!

Image
 -TRADING STYLES A METHOD WHICH USED BY TRADER IN EQUITY,CURRENCY,BONDS AND FUTURES MARKET TO GAIN THE PROFITS.  -WELL KNOWN TRADING STYLES ARE OF 4 TYPES 1.SCALPING A method in which trader holding a positions for several minutes. 2.DAY TRADING A method in which trader holding a positions for a day or less. 3.SWING TRADING A method in which trader holding a positions for several days. 4.POSITION TRADING A mehtod in which trader holding a postions for several several weeks. 

DEVELOPING YOUR TRADING PLAN

Image
1-Time frame a) intraday trading 5 minutes to 1hour candle b) swing trade 4hour to day candle c) long term/holding Day to week candle 2-Risk management Risk 1-3% of capital per trade 3-Conditions for trade Ranging or trending 4-Markets -equity -currency -bonds -futures 4-Entries -Pulback -Breakout -Crossover 5-Stops -Away from market structure 6-Targets Fixed with trailing stoploss Fig-A complete knowledge for how to developing a trading plan

MARKET RECAP OF 27/01/2022

Image
Market recap of 27january 2022 Short notes Top gainers and top losers News about some stocks 1-Cipla and streer estimates 2-Macrotech goes macro sales bookings 3-United sprits tumbles  

WHATSAPP GROUP LINKS FOR CALLS AND TIPS!

 Hey guys welcome to our website some peoples are asking for the whatsapp group where they can take a tips and calls from experts related to which stock they have to buy or sell..  Whatsapp group link- https://chat.whatsapp.com/KxWCwmF3iQS5vIjnDmClCn Whatsapp group link- https://chat.whatsapp.com/KxWCwmF3iQS5vIjnDmClCn You guys doesn't have to pay any additional money for it... It's a profit sharing and loss covering strategy-- you only have to pay the 30% profit when you win in the trade.. 

MARKET CYCLE||ACCUMULATION||DISTRIBUTION

Image
MARKET CYCLE -REPEATATION PATTERN IN MARKET.  After period of time marker repaeats it's moves. And this repeatetive moves are very helpful to take a trade.  ACCUMULATION DISTRIBUTION HOW TO TRADE?  RIDE THE TREND  

PRICE ACTION TUTORIAL||NIFTY 50

Image
WHAT IS PRICE ACTION?  PRICE ACTION-IT IS THE MOVEMENT OF PRICE IN COMPARE TO TIME!   

WELCOME TO THE STOCK MARKET JUNGLE!

Image
IN THIS POST WE COMPARED INVESTORS TO ANIMALS BECAUSE IT DEFINES THE CHART PATTERNS SUCH AS.  1.BULL (see below image)  2.BEAR(see below image)  3.CHICKEN(see below image) 4.WOLVES(see below image)  5.OSTRICH(see below image)  6.PIGS(see below image)  7.STAGS(see below image)    WHICH ONE ARE YOU?  Let us know in the comment! 

WHAT IS SWING TRADING?||SWING TRADING TUTORIAL!

Image
WHAT IS SWING TRADING?  -SWING TRADING IS THE TRADING STRATEGY THAT ATTEMPTS TO GAIN A  PROFIT IN STOCKS(OR ANY FINANCIAL SECURITIES)  FOR SHORT TERM -SWING TRADING IS FOR PERIOD OF A FEW DAYS TO SEVERAL WEEKS. SWING TRADING TUTORIAL (see image-1) image-1 STEP 1- DRAW THE TRENDLINE AND SUPPORT/RESISTANCE(see image-2) Image-2 STEP 2-BREAKOUT(see image-3) Image-3 STEP 3-PULLBACK (see image-4) Image-4 STEP 4- TRADE SETUP (see image-5) Image-5 STEP 5-CONFIRM THE MOVING AVERAGES(see image-6) image-6  

ASSCENDING TRIANGLE PATTERN PSYCHOLOGY

Image
WHAT IS ASSCENDING TRIANGLE PATTERN? -ASSCENDING TRIANGLE PATTERN IS THE CANDLESTICK CHART PATTERN WHICH TELLS ABBOUT THE BREAKOUT AND ALSO GIVES THE SIGNAL FOR THE TRADE ENTRY! *ASSCENDING TRIANGLE PATTERN PSYCHOLOGY(see image-1) Image-1 *HOW TO CHECK BREAKOUTS IN ASSCENDING TRIANGLE PATTERN? (see image-2) Image-2 *CONFIRMATION OF BREAKOUT? -FOR THE CONFIRMATION OF BREAKOUT YOU HAVE TO WAITE FOR THE RETESTING .(see image-3) Image-3 *ENTERING AT THE RETESTING LEVEL.AND RIDE THE TREND.(see image-4) Image-4  

MACD(MOVING AVERAGE CONVERGENCE DOVERGENCE) INDICATOR GUIDE

Image
WHAT IS MACD ? -SO BASICALLY MACD IS THE INDICATOR WHICH IS USED IN TRADING FOR ANLYSING THE CHARTS.& MACD GIVES THE SIGNAL FOR TRADE ENTRY! MACD FOR BREAKOUTS!(see image-1) Image 1 MACD(MOVING AVERAGE CONVERGENCE DIVERGENCE) (see image-2) Image-2 HOW TO USE MACD(MOVING AVERAGE CONVERGENCE DIVERGENCE) (see image-3) Image-3 WHAT IS CONVERGENCE & DIVERGENCE (see image-4) Image-4 WHEN TO USE MACD? (see image-5,6,7&8) Image-5 Image-6 Image-7 Image-8  

ADAVNCED TRADING TUTORIALS

Image
HOW TO TRACE A PULLBACK IN TRENDING MARKET?  STEP 1-ANALYZE THE TREND STEP 2-PULLBACK STEP 3-FIBONACCI RETRACEMENT STEP 4-CONFIRMING THE BUYING PRESSURE STEP 5-CONFLUENCE AND TRADING SETUP THE TRADE!