Over the years technology has revolutionised our world, creating irreplaceable tools and putting useful information at our fingertips. Thanks to these technological advances, it’s easier than ever before to participate in the financial markets. Despite this, novice traders remain vulnerable to costly mistakes. While some trading mistakes are expected, it is vital you don’t make … Continue reading 5 Common Trading Errors and How to Avoid Them
The laws governing the creation of fractals are found throughout nature. Fractal patterns are recursive as no matter how complex the whole, it’s built from many repetitions of the same process. Romanesco broccoli, spirals of pinecone seeds, ice crystals, trees, rivers, leaves and even water drops exhibit the properties of repeated application. The late Benoit … Continue reading An Introductory Guide to Using Fractals in the Forex Market
Do technical trading patterns exist and are they profitable? This is a question often asked by new traders. Depending on who you ask, the response will differ. Some academics and investors believe patterns don’t exist – that price action is entirely random, whereas the majority of technical analysts are adamant chart patterns exist and are … Continue reading A Primer to Understanding Basic Chart Patterns
Defined in the October 1980 issue of Commodities magazine (now known as Futures magazine) by mathematician Donald Lambert, the Commodity Channel Index, or CCI, is a momentum oscillator – momentum measures the rate of change of a financial instrument. Since its inception, the indicator increased in popularity and is now a common tool for traders … Continue reading The Commodity Channel Index: The Basics
Traders and investors who adopt technical analysis typically use price charts to identify market behaviour. For that reason, before learning anything else, it is vital to understand the basics of each widely used chart (see figure 1.1 for a visual representation): A bar chart, often labelled OHLC chart, employs the use of bars, representing the … Continue reading Candlestick Patterns Every Trader Should Know
