During the trading session in New York, which closed the week, the price of crude oil was found to be declining, reaching below $ 100 a barrel. More precisely, the value of oil has fallen by 4.05%, closing the week at $ 98.49 a barrel, the lowest price for 3 months now. It was, in fact, since last February 7 that oil did not reach these levels. The data is very important considering the fact that the U.S. is the largest economy in the world and the world’s largest consumer of oil.
Continue reading Crude oil prices declined in New York
The trading of shares based on price has become very popular in recent years, particularly with traders who are trading based on technical indicators like moving averages, RSI, CCI, Stochastic, etc.. This is because technical indicators, all using the action of the previous market price, ie the last 21 periods or candles, to calculate the final value and groped to predict what happened in the last n-periods, although this could have little or nothing to do with what the market will do in the next 10 periods or candles.
In other words, if the market has risen, on average, over the last 21 periods, the meter reading can make us open a long position, but that does not mean the market will continue to rise over the next 10 periods.
In order to adopt an approach of price action in the FX market we need to consider three main aspects: pressure, level and significance.
Continue reading Approach to the action of price
The difficulty of understanding the market movements (either in Forex or any other stock market) results poured in all kinds of views.
One view is perhaps more pronounced in “The market is very difficult.” This is perhaps the most accurate, although it is not that difficult at any given time, he always has. If it falls, because no one is clear how far, and know when to take positions. If it goes, because it is unsuspected until when. And if you come into a lateral movement (also known as phase unbiased) because it is unpredictable exit direction.
While many speculate on future market prices, none of them knows for sure.
Continue reading Psychology in the various stock markets
Technical analysis, widely used in the stock market to predict the evolution of prices, is also used in the Forex. This analysis is also called chartists because it is based on the charts and analysis of indicators applied to the patterns that prices are formed allows for a wide range of elements of analysis, which we will be detailing in this Blog
In all markets, the pressure to buy or sell, is automatically transmitted to prices, and therefore the latter, they are constantly subjected to strong variations. These variations are very intense when generating a status of “volatility” of value. A value with a high level of volatility, are abrupt changes in prices, which moved to a chart, you will have large peaks and valleys, that is, introduce the so-called graphic sawtooth. These movements can it obscures the true trend of value, and that will be solved by determining the moving average. Moving averages are the indicator used in charting. It is an arithmetic mean that “softens” the price curve becomes a line or curve of the trend, allowing analyzing the start and end. It does not provide trend changes but if you can confirm.
Continue reading The Moving Averages In The Forex
People like the idea of intraday trade, since it has no risk associated with the fact that something “would happen over night. They are afraid that between now and tomorrow’s opening of the closure may occur for some adverse event. They are afraid of news, changes and uncontrollable behavior of prices. They like the end of the day it all ends, and it does not matter as: victory, defeat or a draw. No agonizing loss that does not give you peace of mind and breaking your sleep. There is no mistake: all this – it is true, but if you get something in life, then something and give. What you refuse, doing intraday trading, it is against any possibility of catching a large and long enough movement, which has already been mentioned earlier.
Continue reading From the book by Larry Williams on intraday trading