Monday, November 23

Tag: Forex and Futures

Bottom Fishing Trading – How To Find Reversals
Forex

Bottom Fishing Trading – How To Find Reversals

The market you’ve been following just tanked. It’s hit a new low. But now, you see a glimpse of a potential rebound. It looks like a significant decline, but still, there’s no way to guarantee that it’s the bottom you’re looking for. As you know, one of the riskiest things to do is to predict bottoms and tops. Yet getting in on a position near a bottom (going long) or a top (going short) is the only way not to miss out on a significant portion of a trend reversal – or so they believe. In this case, thinking that this might be The Bottom, what might you do?There’s Nothing Wrong with Bottom Fishing (just don’t get eaten by the fish)“Bottom fishing” is a nice metaphor. And in a market context, the fish will devour you if you fall off the boat, proverbially speaking. Another metaphor descr...
Risk Management: The Best Defense is a Good Offense
Forex

Risk Management: The Best Defense is a Good Offense

There’s this old saying, often applied to strategic games as well as warfare, that “the best defense is a good offense.” Another variation of this is that “the only good defense is an active defense.” Let’s transform it a bit: the best of “defensive strategies” has an effectively “aggressive (offensive) component.”What we’re trying to say here is not that the two–defense and offense–are linked (which they are), but that one can easily shift to the other when the situation calls for it.As it relates to trading, a “defensive” posture can be tweaked to take on an “aggressive” function. In other words, “risk management” is as much an aggressive concept as it is a defensive strategy. You manage risk to calibrate profit potential, not just to avoid losses. Here’s an example that explores thi...
Mastering Technical Analysis and Price Action – Part I: Macro Analysis
Forex, Technical Analysis

Mastering Technical Analysis and Price Action – Part I: Macro Analysis

The technical analysis approach revolves around evaluating and capturing mass psychology and sentiments of market participants. Regardless of which technical indicator or other tools we use, mastering this technique, for the most part, involves analyzing price trends and chart patterns.Most beginner traders look at a chart and use the combination of technical analysis tools to make trading decisions based on a single dimension, often on a single timeframe, without paying attention to the big picture. As a result, when broader trends change or the market enter a consolidation phase, the systems they use cease to generate the accurate entry and exit signal. At this point, the beginner traders scratch their heads and do not understand how a profitable strategy suddenly stopped working.Big...
How do hedge fund traders get better? – Trading Podcast with Steven Goldstein and Mark Randall
Forex

How do hedge fund traders get better? – Trading Podcast with Steven Goldstein and Mark Randall

The content provided by Tradeciety does not include financial advice, guidance or recommendations to take, or not to take, any trades, investments or decisions in relation to any matter. The content provided is impersonal and not adapted to any specific client, trader, or business. Therefore Tradeciety recommends that you seek professional, financial advice before making any decisions. Results are not guaranteed and may vary from person to person. There are inherent risks involved with trading, including the loss of your investment. Past performance in the market is not indicative of future results. Any investment is solely at your own risk, you assume full responsibility. || Full Risk DisclaimerWe use Unsplash. A big thanks go out to all contributors of Unsplash! We use Flaticon for o...
9 Lessons from trading coach Mandi Rafsendjani – Trading Podcast
Forex

9 Lessons from trading coach Mandi Rafsendjani – Trading Podcast

In our latest podcast (click for all episodes) we talked to Mandi Rafsendjani and we went really deep into trading psychology, the mindset and how traders can become successful.Below the video, I compiled the 9 most insightful take-away messages that I got from talking to Mandi.1. Fill all your bucketsThe best traders lead a balanced life and do not derive their self-worth from trading alone. This will help you push through hard times when your trading results are not what you imagine them to be.Make sure that you have a supportive social environment, look after your family, surround yourself with people that add positivity to your life. Take care of your health, do sports and fuel your body with good food. Have hobbies, try out new things and explore your interests. Feed your mi...
Day Trading vs Swing Trading – What’s The Difference?
Forex

Day Trading vs Swing Trading – What’s The Difference?

Day trading and swing trading are two strategies worlds apart. Know the difference, and don’t assume it’s just a matter of trading frequency and time.Every trade or investment is based on the same precept: buy low and sell high. That’s the one thing that ties together day trading, swing trading, and long-term position trading. But aside from this one precept, each style has enough differences that a trader specializing in one might find himself completely unfamiliar with the other.But how different can it be, really? Isn’t it just a matter of ramping up your trading frequency, going for shorter profit targets, and limiting or expanding your trading duration? Yes, it is. And by virtue of those three things, day trading is a completely different practice from swing trading.If you’ve tr...
The 13 Best Candlestick Signals
Forex, Technical Analysis

The 13 Best Candlestick Signals

Candlesticks are the foundation of any price action chart. And although I do not recommend to trade candlesticks blindly – because their predictive power is not strong enough – when combining candlesticks with other confluence factors of technical analysis, a trader may improve the odds for determining the right price direction.How to use candlesticks?There are dozens of use cases for candlesticks but the one that we found to be most reliant is to use a strong candlestick signal to determine your higher timeframe bias.For example, if you find a strong candlestick signal on the Daily timeframe, you can establish a directional bias for the lower timeframes and use the candlestick information as a trading filter.This works extremely well and helps traders pick the direction for their ...