There’s been a lot going on in the technology sector lately, with the NVIDIA Corporation (NASDAQ: NVDA) sell off and the selloff in late June after Alphabet Inc Class A (NASDAQ: GOOGL) got hit ...
https://www.howthemarketworks.com/volatility-come-back-tech-sector/
Crude oil prices have been climbing up steadily in the last couple of months as investors continue to expect a balance in the demand and supply dynamics of oil. Last year, OPEC announced that it ...
Gold is currently trading at $1,215.85 per ounce, up 0.96% or $11.55. The precious metal has gained 6.40% over the past 30-day period, up $72.40. For the year to date, gold is up 4.7%, and it has...
https://www.howthemarketworks.com/what-do-traders-look-for-with-gold/
When it comes to currency trading, there is a vast range of different strategies you can adopt to generate trading profits. For example, you could pursue an event-focused strategy, where you plac...
https://www.howthemarketworks.com/how-to-trade-forex-using-a-technical-indicator-based-strategy/
Fibonacci Arc is a technical analysis indicator and is utilized to give hidden support and resistance levels for security. It is built by drawing a trend line between two swing points on a chart....
Double Bottoms are reversal patterns and often seem to be one of the most common (together with double top patterns) patterns for currency trading. Double Bottoms patterns are identified by two c...
The head-and-shoulders pattern is one of the most popular chart patterns in technical analysis. The pattern looks like a head (the middle peak) with two shoulders (two equal heiight peaks). The...
A cup-and-handle chart pattern resembles a cup of tea. These are bullish continuation patterns where the growth has paused. momentarily, it trades down and then continues its upward pattern. This...
Candlestick charts are made up of red and green bars which are called candlesticks. What do they mean? The post What are Candlesticks (video 2 of 3) appeared first on HowTheMarketWorks .
You do not need anything else on a stock chart but the candles themselves to be a successful swing trader! And, there is nothing that can improve your trading more than learning the art of readin...
https://www.howthemarketworks.com/how-do-candlesticks-imply-volume-why-is-that-critically-important/
In an upward-trending market, prices tend to close near their high, and during a downward-trending market, prices tend to close near their low. The post Stochastics appeared first on HowTheMar...
A good earnings surprise is a pattern in which a company circulates an earnings announcement. Then the market will interpret it as better than was expected. The post Good Earnings Surprise app...
An event pattern called a bad earnings surprise is where a company distributes an earnings announcement then the market defines it as worse than expected. Even in a bear market about 61% will hav...
An inverted dead-cat bounce is quite the opposite of the dead-cat bounce. A quick look is if a trader owns a stock following a quick and large (5-20%) gain there is normally a gap up. If you sell...
A trading term called a dead cat bounce is used to when a stock is in a severe decline and has a sharp bounce off the lows. It occurs due to the huge amount of short interest in the market. Once ...
A gap in a chart is basically an empty space between one trading period and the one prior to that trading period. They normally form on account of an important and material event that will affect...
Flags and Pennants are categorized as a continuous pattern. They normally represent only brief pauses in a dynamic stock. They're typically seen immediately after a quick move. The stock will the...
The V top is a reverse V-shaped top thus the name. The top is quite sharp. It's due to the irrationality of actors leading to a steep increase that will be corrected shortly afterwards. The V top...
The V bottom is shaped like a V thus the name. The dip will be quite sharp. It's because the irrationality of actors leading to a steep fall which will be corrected shortly after. The V bottom wi...
A horizontal channel is a pattern that underlines investor’s indecisiveness. This horizontal channel is assembled by two horizontal and parallel lines that build the progress of the price. To c...
The descending triangle is a bearish continuation pattern. This pattern forms two converging lines. The initial is a downward slant which resistance and the other is a horizontal support. To vali...
The symmetrical triangle top is a bullish continuation pattern. This pattern forms two trend lines which are symmetrical to the horizontal and convergent. The initial pattern is a bearish slant t...
A symmetrical triangle bottom is a bearish continuation pattern. This pattern forms two trend lines that are symmetrical to the horizontal and convergent. The initial one is a bearish slant that ...
https://www.howthemarketworks.com/symmetrical-triangle-bottom/
The ascending triangle is a bullish continuation pattern. This pattern is made by two converging lines. The first line is an upward slant which is the support and the other is a horizontal resist...
The cup with handle has a continuous pattern. This pattern is formed by two rounded bottoms, the first is deeper and wider than the second. The height of the cup and the handle will be aligned al...
The rounding top pattern is a reverse U-shape, also called a "reverse saucer. " The top is rounded with a flat top. But as you'll see in many cases there are several bullish peaks and they will n...
The U-shaped bottom is a rounding bottom, also called a "saucer. " The dip is rounded with a flat bottom. But we'll see in many cases there are several bearish peaks, but they do not question the...
The pennant resembles the symmetrical triangle, but it's characteristics are not the same. The pennants is shaped like a wedge of consolidation. Its normally appears after a sudden upward or down...
The symmetrical broadening top is called a bullish continuation pattern. This pattern is formed by two symmetrical horizontal lines that are divergent. It looks like an inverted symmetrical trian...
https://www.howthemarketworks.com/symmetrical-broadening-top/
The descending flag shows as a continuation pattern. The flag is built by two straight downward parallel lines which is shaped like a rectangle. It is oriented in the direction of that trend whic...
An ascending flag is a continuation pattern. The ascending flag is formed by two straight upward parallel lines which are shaped like a rectangle. It is adjusted in the direction of the trend tha...
A bullish channel is called a continuation trend pattern. The bullish channel is assembled by two parallel lines that frame the upward price trend. A line is validated when there has been at leas...
A bearish channel is a continuation trend pattern. The bearish channel is arranged by two parallel lines that frame the downward price trend. To certify a line, there has to be at least two point...
The triple top is a bearish pattern with an MN shape. Three bottoms will come in succession, reflecting an important resistance. This marks a reversal will. The post Triple Top appeared first ...
Triple bottom is a bullish pattern with a WV shape. Three bottoms will succeed, reflecting an important support. This will mark a reversal. The post Triple Bottom appeared first on HowTheMarke...
Reverse head and shoulders is a trend reversal pattern. It will mark a desire to make a bullish reversal. The theory is the same as a triple bottom other than the second bottom will be lower than...
https://www.howthemarketworks.com/reverse-head-and-shoulders/
The symmetrical broadening bottom is called a bullish reversal pattern. This pattern is formulated by two symmetrical horizontal lines that are divergent. It is an inverted symmetrical triangle o...
https://www.howthemarketworks.com/symmetrical-broadening-bottom/
The double top is a bearish pattern shaped like an M. Two tops must succeed, imaging an important resistance. This marks a reversal. The pattern may also be in WV shape. We can consider a triple ...
The double bottom is a bullish pattern indicated by a W shape. The two bottoms will succeed, mirroring an important support (in green). This will mark a reversal will. The pattern may also be in ...
Diamond tops are a reversal pattern. This pattern is formed by two juxtaposed symmetrical triangles. It's shape is like a diamond. The post Diamond Tops appeared first on HowTheMarketWorks .
A reversal pattern is called a diamond bottoms. This pattern is formulated by two juxtaposed symmetrical triangles. It is shaped like a diamond. The post Diamond Bottoms appeared first on HowT...
A falling wedge is a bullish reversal pattern made by two converging downward slants. To prove a falling wedge, there has to be oscillation between the two lines. Each of the lines must be touche...
A bearish reversal pattern formed by two assembled upward slants is called a rising wedge. To validate rising wedge there must be oscillation between the two lines. These lines must be touched at...
Stock charts print different topping formations. Some are classics, like the Descending Triangle, which can be understood and traded with little effort. However the emotional crowd additionally g...
A bullish reversal pattern formed by two diverging downward slants is a descending broadening wedge. To validate an descending broadening wedge, there has to be an oscillation between the two lin...
https://www.howthemarketworks.com/broadening-wedges-descending/
The formation, ascending broadening wedge is called this because of its similarity to a rising wedge formation and then has a broadening price pattern. The post Broadening Wedges, Ascending ap...
https://www.howthemarketworks.com/broadening-wedges-ascending/
Perhaps the recent Broadening Top and just a fractal footprint of the larger Rising Wedges that top into Broadening Tops, will somehow avoid both the Broadening Top and the far more bearish Risin...
The right-angled and ascending broadening chart pattern is not one you might choose to trade. Other chart patterns perform much better. Downward breakouts have a big break even failure rate which...
https://www.howthemarketworks.com/broadening-formations-right-angled-and-ascending/
The broadening bottom is one of those chart patterns that appears often, but you might want to avoid trading. The performance rank approaches the bottom of the list with a comparatively high brea...
Ramp is a chart pattern recognition screener for stocks and currency exchange markets Ramp will screen for stock patterns like breakouts, MACD divergences, Fibonacci retracements, W bottoms, head...
Volatility is founded on the standard deviation, which modifies as volatility expands and declines. The bands spontaneously widen when volatility expands and narrow when volatility declines. Th...
Pivot Points use the previous period's high, low and close which will define future support and resistance. Pivots Points are important levels chartists utilize to decide directional movement, re...