Financial markets changed, and they will continue to change, becoming more complex as our society develops. Some markets disappeared, some others were born (e.g., oil, foreign exchange, crypto), and, in time, the cycle will repeat. Due to this complex market evolution, it is impressive how some ...
Algorithmic trading dominates the price action in all financial markets. In the last decades, computer programs more and more sophisticated, began replacing human trading. As computers began more reliable in time, coding reached new levels. To have an idea of how serious the algorithmic ...
The currency market or foreign exchange appeared with the United States decision to drop the gold standard. At the start of the 1970s, the Nixon Administration’s decision set the stage for what will become the most significant financial market in the world. Also known as the interbank market it ...
Regardless of the trading platform used, some elements in a trading account always appear. We’re not talking about swaps, spreads, and commissions, that vary from broker to broker. Instead, this article aims at explaining the importance of balance, equity, and margin in a retail trading ...
The Elliott Waves Theory was developed in the first half of the 20th century. Ralph Elliott noted that the market forms corrective and impulsive waves when rising or falling. Using an ingenious approach of interpreting market cycles, Elliott defined the waves within the overall theory. First, ...
Contracting triangles are the favorite way of markets to consolidate. For this reason, whenever it is likely that the market consolidates (e.g., a few days ahead of the NFP – Non-Farm Payrolls report), the chances favor a contracting triangle to form. Various types of contracting triangles ...
A zigzag is a corrective wave. As Ralph Elliott put it back in the 1930s, this is the trickiest corrective wave of them all. How come? The answer is quite simple: it has not one, but two impulsive waves of a lower degree. Hence, traders confuse the pattern with an impulsive wave of a larger ...
The Elliott Waves theory stood the test of time as one of the most versatile trading theories ever invented. Ralph Elliott studied the way the market moves and put everything together in a sophisticated theory that reveals the market psychology. While recovering from illness, Elliott found that ...
Technical analysis changed dramatically when the Japanese approach was introduced to the Western world. To the astonishment of many Western technical analysts, it turns out that forecasting prices is a centuries-old concept in Japan. With roots back to 1700, Japanese candlesticks techniques ...
Belonging to classic technical analysis patterns, ascending and descending triangles are great patterns to use on the currency market. They have many advantages, such as being visible and easy to spot and interpret. Before presenting a short guide to trading such triangles, it is essential to ...