According to most textbooks: Whenever you spot a Hammer candlestick pattern, you should go long because the market is about to reverse higher. And that’s what you do. But the next thing you know… The price immediately reverses and you get stopped out for a loss. And you wonder to yourself: “Wait a minute, isn’t […]
The Complete Guide to MACD Indicator
This won’t be the usual MACD indicator stuff you see online. I won’t tell you to… Look for a MACD Divergence Wait for a MACD Crossover Wait for the MACD Line to cross above 0 Here’s why… The MACD is just like any other indicators — it’s NOT meant to be traded in isolation. If […]
Bearish Engulfing Pattern Trading Strategy Guide
Do you know why most traders lose money when trading the Bearish Engulfing pattern? It’s because they treat them all the same! Here’s the thing: You can have two identical Bearish Engulfing patterns but, one is a high probability setup and the other is to be avoided (like how you run away from a stinky […]
Does Technical Analysis Work? (It’s not what you think)
I’m sure you’ve wondered… “Does Technical Analysis work?” “Is trading as simple as drawing a few lines on the chart?” “Is Technical Analysis all I need to become a profitable trader?” Now: You might say Yes because everything you need to know is on a price chart You might say No because you need to […]
The Bear Flag Trading Strategy Guide
Here’s the thing: If you study most trading textbooks, you’ll learn the Bear Flag is a bearish chart pattern. And what would most new traders do? You identify a Bear Flag Pattern and go short immediately. Then the next thing you know… The market reverses higher and whips you out of your trade. And then […]
The Complete Guide to Breakout Trading
Do you trade breakouts? Then you know breakout trading can be exciting. The price quickly moves in your favor and make it seems like you’re printing money. However… Breakout trading can also be painful. For example: You notice the price breaking above Resistance. The candles are big and bullish, so you go long. But suddenly, […]
The Symmetrical Triangle Trading Strategy Guide
Have you ever traded the Symmetrical Triangle chart pattern? If you did, then you know it’s not as easy as it seems. For example: You might have thoughts like… Should I trade the breakout of the Symmetrical Triangle or do I wait for a pullback? Where should I put my stop loss so the market […]
Ed Seykota: 19 Trading Lessons from a Market Wizard
Ed Seykota is one of the best Trend Followers of our time. According to Michael Covel, in his book Trend Following, Ed Seykota turned a $5000 into $15,000,000 over a 12-year period. That’s insane, right? With such a mind-blowing track record, I dug further to find out what are some lessons we can learn from […]
Trading as a Business — The Essential Guide
Trading as a business. That’s what you want, right? To be able to start your own trading business from home. No boss. No BS. No politics. But do you know what it takes to succeed? (Hint: It’s not about finding the best indicators, trading strategies or timeframes). Then what is it? I’ll tell you more. […]
The Complete Guide to Trend Line Trading
Trend Line is one of the most versatile tools in trading. You can use it in day trading, swing trading or even position trading. However, most traders get it wrong. They draw Trend Lines looking like this… I know I’m exaggerating, but you get my point. That’s why in today’s post, you’ll learn: What is […]