Tag Archives: Day Trading Techniques

Bottom Trading

An easy-to-see, obvious reversal is the Island Reversal. It provides a dramatic reversal in  that the enthusiasm that sent a price in a particular direction is countered with the same enthusiasm going the other way. In the example of Orbital Sciences Corp. ORB, Figure 29, the up-trend can be easily seen. At the top, after the buying enthusiasm created a long bullish candle, the

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Gaps At The Top Of A Trend

A gap that occurs well after the beginning of a trend reversal, where stochastic are still in the midrange of an uptrend, has different implications. How do you distinguish whether a gap is a potential measuring gap? Evaluate where the stochastic are in the trend. If they are still relatively low, the trend has more room to create another gap before getting to the

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Money Making Candlestick

Money Making Candlestick Formations Candlestick Line   Hammer An important bottoming candle-stick line.  The hammer and the hanging man are both the same line, that is a small real body (white or black) at the top of the session’s range and a very long lower shadow with little or no upper shadow.  When this line appears during a downtrend it becomes a bullish hammer.  For

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Bollinger Bands Rules

following are a few rules that serve as a good Beginning point.   1. Bollinger bands provide a relative definition of high and low. 2. That relative definition can be used to compare price action and indicator action to arrive at Rigorous buy and sell decisions. 3. Appropriate indicators can be derived from momentum, volume, sentiment, open interest, Inter-market data, etc. 4. Volatility and trend

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Day Trading Techniques

Concept Of Day Trading And Day Trading Techniques For Individuals Concept Of Day Trading The term day trading refers to the practice of buying and selling financial instruments. However it should be noted that it should be done within the same trading day such that all the positions are usually closed before closing of the market in the trading day. People who practice or participate in

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Investors tips

Stocks tips for the smart investor   MUMBAI: While stock markets have tanked over the past month, the growth trajectory of corporate India seems to be on track. Leading companies in sectors like engineering, automobiles, petroleum and software are expected to bring out numbers that display strong profitability in the coming year. The earnings for the 30 stocks which comprise the sensex are expected

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Day trading Techniques

Techniques There are six common basic strategies by which day traders attempt to make a profit: Trend following, playing news events, range trading, scalping, technical trading, and covering spreads. 1. Trend following Trend following, a strategy used in all trading time frames, assumes that stocks which have been rising steadily will continue to rise, and vice versa. The trend follower buys a stock which

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Why should one invest in equities in particular?

When you buy a share of a company you become a shareholder in that company. Shares are also known as Equities. Equities have the potential to increase in value over time. It also provides your  portfolio with the growth necessary to reach your long term investment goals. Research studies have proved that the equities  have outperformed  most other forms of investments in the long

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What are various Long-term financial options available for investment?

Post Office Savings Schemes, Public Provident Fund, Company Fixed  Deposits, Bonds and Debentures, Mutual Funds etc. Post Office Savings: Post Office Monthly Income Scheme is a low risk saving instrument, which can be availed through any post office. It provides an interest rate of 8% per annum, which is paid monthly. Minimum amount, which can be invested, is Rs. 1,000/- and  additional investment in multiplesof

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How is time value of money computed?

The time value of money may be computed in the following circumstances: 1.  Future value of a single cash flow 2.  Future value of an annuity 3.  Present value of a single cash flow 4.  Present value of an annuity (1)   Future Value of a Single Cash Flow For a given present value (PV) of money, future value of money (FV) after a period

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