Thursday, December 3

Tag: Online Trading

Trading Psychology – 11 Things that Separate Winners from Losers
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Trading Psychology – 11 Things that Separate Winners from Losers

21 March 2019 , Al HillTrading to me is the greatest personal endeavor a person can take on in their life.  I say this because of how difficult it can be at times and how all-consuming it can be as well.  It is one of the last professions that who you are and what you think of yourself is reflected back at you based on your equity curve.Throughout this article, I will walk you through various aspects of trading psychology and how a winning attitude can lead to greater profits.  I can honestly say as I write this article that I am a profitable trader and will continue to be so for as long as God allows me.  The one thing that has taken me from losing money in the market is realizing that whether I make money or not boils down to my attitude and blind belief in myself.1. Avoid A...
How to Trade with the Coppock Curve
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How to Trade with the Coppock Curve

22 March 2019 , Al HillIn this article, I will cover how to trade with the Coppock curve. You will be able to use these techniques and strategies on any timeframe.Topics will cover a brief overview, how to identify signals and also where the indicator can fail you when trading.Table of ContentsWhat is the Coppock Curve?The indicator can credit its name to its founder Edwin Sedge Coppock.He created the indicator in 1965 as a momentum indicator to identify long-term buying opportunities in the S&P 500 and Dow Industrials.Coppock Curve FormulaCoppock Curve = 10-period weighted moving average of the 14-period RoC + 11-period RoCThe RoC is the Rate of Change momentum oscillator which moves above and below the zero line. The default setting for the indicator...
Candlestick Charts Stars – Dojis, Shooting, Morning and Evening Stars
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Candlestick Charts Stars – Dojis, Shooting, Morning and Evening Stars

What are Candlestick Stars?So far, in Part 1, we covered the construction of a candlestick chart and common candlestick reversal patterns.Well, in this article I want to continue down this path and discuss another powerful reversal pattern – candlestick stars.Stars have small real bodies which gap away from a large real body that precedes it.Candlestick ExampleCandlestick StarTypes of Candlestick StarsThe key rule to a star is that its’ real body does not overlap the previous candles real body. There are several variations of the star pattern:morning star evening star doji star shooting star.Psychology of the Candlestick Star PatternAs a star has a small real body, it represents indecision by bulls and bears.While the primary trend is still inta...
Oversold Markets – 4 Things to Consider
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Oversold Markets – 4 Things to Consider

09 April 2019 , Al HillIn this article, we will cover four important things to consider when assessing an oversold market. The analysis will cover things from both a fundamental and technical analysis perspective.Table of ContentsDefinition of OversoldWho determines what is oversold?For starters, what time frame are you trading? A chart could be extremely oversold on a 1-minute chart, but appear strong as ever on a daily.Also, for fundamental analysts, oversold can be based on several financial ratios, so which one is right?Now that we understand that we are no closer to figuring out the meaning of oversold, let’s dive into four things to keep in mind.#1 – Fundamental Analysis and P/E RatiosFinancial analysts live and breathe by the price to earnings ratio. It’...
Parabolic SAR – Formula and Trading Examples with Multiple Timeframes
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Parabolic SAR – Formula and Trading Examples with Multiple Timeframes

12 April 2019 , Al HillIn this article, I will discuss several key things related to the Parabolic SAR indicator. The topics will range from how to compute the indicator, all the way to how to interpret buy and sell signals. I will cover the indicator from a day, swing, and long-term trading perspective.BackgroundJ. Welles Wilder Jr. wrote a book called New Concepts in Technical Trading Systems, where he introduced the Parabolic SAR which stands for stop and reverse. This indicator does an amazing job of finding support and resistance levels.The goal of the indicator is to provide you a visual of where to exit your trading position. The indicator also has a sensitivity to price, so as the stock accelerates, the indicator can weigh that movement accordingly.Also, unlike other...
Slow Stochastics Formula – Trading Strategies, Calculations and Difference Between RSI
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Slow Stochastics Formula – Trading Strategies, Calculations and Difference Between RSI

In this article, I am going to discuss the basics of the slow stochastics indicator and then dive into trading strategies you can test in the market.Slow Stochastic DefinitionThe slow stochastic indicator is a price oscillator that compares a security’s closing price over “n” range. The most commonly used range for the slow stochastic indicator is 14.How to Calculate the Slow Stochastic FormulaThe slow stochastic indicator is comprised of three components. [1]%KSlow %K which is calculated as follows 100 x (Recent Close – Lowest Low (n))/(Highest High (n) – Lowest Low (n))You then take the 3 period SMA of this value to get the %K for the slow stochastics.%DSlow %D is equal to the 3-period SMA of Slow %KNumber of PeriodsTo calculate the slow stochastic, replace ...
What are the Most Popular Gold ETFs?
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What are the Most Popular Gold ETFs?

Gold ETFs OverviewContrary to what Warren Buffett might believe about gold, the precious metal remains a sought after safe haven investment.Gold ETFs ranks as one of the most popular methods for investors to gain access to the market without having to buy the physical commodity directly.Three Types of Gold ETFsAs an investor, there are three primary types of Gold ETFs you can invest in.Buys the Physical CommodityThere are ETFs which buy the physical commodity and then store them in vaults. In this case, you are gaining exposure without having to buy and store gold bars yourself.Invests in Companies Related to the Gold IndustryThe next type of ETF creates baskets of stocks which have direct exposure to the gold market.Inverse ETFsThese are ETFs which move in the ...
Top 3 Volatility ETFs for Active Traders
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Top 3 Volatility ETFs for Active Traders

14 April 2019 , Al HillIn this article, I will provide the history and top VIX ETFs. Lastly, I will discuss the top 3 VIX ETFs for active traders. An active trader is someone that day trades or swing trades throughout the year.What is the VIX or Volatility Index?VIX is calculated based on the implied volatility of a group of options on the S&P500, which includes options that are nearing their expiration and options that are expiring the next month.The indicator is also referred to within the trading community as the fear index. This is because heavy selloffs produce a spike in the VIX.An important point as you look at the above graph of the VIX is that there is no direct correlation with the price action of the S&P500. For example, the market could make a minor mov...
Cheap Stocks – 7 Things to Consider Before Investing
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Cheap Stocks – 7 Things to Consider Before Investing

29 April 2019 , Al HillThe phrase cheap stocks just sounds off to me.There are stocks which are undervalued and are awesome companies. Now, these are stocks you will want to invest in over the long haul.Then there are stocks that are just cheap and are cheap for a reason. These are stocks you do not want to stay married to and just need to trade for profits. When I’m saying trade I mean in and out within a few days or even the same day.Well, in this article I will cover some of the most common questions about cheap stocks.#1 – Can You Make Millions on Cheap Stocks?This is a common belief amongst traders. Can I make a ton of cash trading cheap stocks?The answer is yes and no.Let me be the first to tell you that there has not been a Government study on the success rates ...
How to Trade Head and Shoulders Tops and Bottoms
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How to Trade Head and Shoulders Tops and Bottoms

28 April 2019 , Al HillWhat are Head and Shoulders Patterns?Head and shoulders tops and bottoms are reversal chart patterns, which can develop at the end of bullish or bearish trends.Traders like to trade head and shoulders formations as the price targets are very predictable and the formation has an overall high success rate.What do Head and Shoulders Tops Look Like?The formation consists of three peaks, which develops after a strong bullish trend. The first and last peak are approximately the same height and are classified as the shoulders.The second peak is the highest of the three and is classified as the head of the pattern.Head and shoulders tops represent the transfer of power from the bulls to the bears.Please see the below illustration of a head and shoulders ...