Intermediate Level

//Intermediate Level

GDP : What a forex trader needs to know to better the market

GDP - You might have heard politicians, business people, economists, traders and the common man (here and there) talking about it often times. If you’re confused about what it is and how it affects or say dominates, these many paradigms, you can have your answer here. What is GDP? Gross Domestic Product, as the name indicates, is the total monetary value of all the goods and services produced within the country in a certain period, usually a year or a quarter. Note: A company has its headquarters in country A, but produces its goods in country B,  then country [...]

GDP : What a forex trader needs to know to better the market2019-05-13T17:16:22+00:00

Mastering Bollinger Bands | Bollinger Band squeeze uncovered

What is Bollinger Band? Bollinger Bands are developed by John Bollinger to identify and to take advantage of the volatility in the market. It consists of a simple moving average and two standard deviations of the same moving average known as the bands. The bands move parallel, in tandem, with the moving average. The most commonly used simple moving averages in Bollinger band are  20 SMA and 25 SMA. The two main applications of Bollinger bands are to identify - consolidation, by Bollinger band squeeze - the overbought and oversold condition in a sideways market. The bandwidth of the [...]

Mastering Bollinger Bands | Bollinger Band squeeze uncovered2019-01-05T14:45:16+00:00

Relative Strength Index | How to trade the RSI Indicator?

RSI IndicatorJ.Welles Welder built an indicator to identify the strength of the market movement, rather than just comparing the highs and lows and termed it as Relative Strength Index. The Relative Strength Indicator defines the overbought and oversold zones of the market and the RSI crossover from the zones signals a profit booking (correction) rally or trend reversal. So when the trend bucks, make bucks with the RSI Indicator.Relative Strength Index- The momentum oscillatorRelative Strength Index ranges only between the values of 0-100. It does not extend its value as the price moves. Instead, it confines the strength and momentum [...]

Relative Strength Index | How to trade the RSI Indicator?2019-03-09T17:29:06+00:00

Support and Resistance: Can the indicators do the trick for you?

The concept of support and resistance is beyond the paradigm of chart patterns, indicators or even the technical analysis. It is the classic case of supply and demand acting at specific price points. But are they bound to remain the same ever, at the exact spot? Let's visit the basics first, before delving deeper into the subject for your answer. Support and Resistance Support is the area in which maximum demand for an asset class exists. The buyers outnumber the sellers in the support areas. On the flip side, the area which has maximum supply is the resistance. Likewise, [...]

Support and Resistance: Can the indicators do the trick for you?2019-04-05T11:13:14+00:00

Moving Average | SMA | EMA – Oldest trick or the golden ticket?

Regarded by many as the oldest, lamest trick on the book -- Moving Average -- yet it identifies the trend precisely and remains contemporary. However, it can get you chopped in a choppy market. So, the tricky part is knowing when to embrace the moving averages, SMA and EMA, and when to let go. What is a Moving Average? Moving average is a lagging indicator which smoothens the past price action, filters the noise and decodes its complexity. It doesn’t predict the trend. Instead, it merely identifies the trend. Why is it important? In any field, be it sports or finance, [...]

Moving Average | SMA | EMA – Oldest trick or the golden ticket?2019-05-04T10:19:33+00:00

Technical Analysis – The art of forecasting supply and demand

There are two factions in market analysis. One being technical analysis and the other being fundamental analysis. Both the camps are extreme and contrast. They diverge in their view and the method of analysis but converge at one point- forecasting. Technical Analysis Technical Analysis is a technique to infer the supply and demand for an asset.  The inference is made upon the studies of the historical price action and psychology of the investors. It disregards the study of the intrinsic value of the asset and analyzing the politico-economic news. Well, from the outset, it might seem ridiculous, but it isn’t. [...]

Technical Analysis – The art of forecasting supply and demand2019-05-13T17:25:39+00:00