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TradingView - Economic Calendar Widget - How it Works I've applied the amazing TradingView Economic Calendar Widget tool to my website. It's extremely useful to use and apply. What I love about it is that I can customise the high impact news to watch out for on the daily. I thought I'd share a quick How it works guide! Intro to the Economic Calendar Widget by TradingView Whether you’re a fundamental (news and market related) trader or a technical (charts and historical info related) trader, this is a must-have tool to add to your trading arsenal. What is the Economic Calendar? The Economic Calendar is a powerful tool used by most traders to help you track good & bad news announcements, economic indicators, government reports and upcoming market-moving events. Each day you’ll see a list of financial world and economical news events in a chronological order. These events are to help you research and evaluate the impact they could have on different currencies, stocks, indices and commodities. Make sure the bar chart is highlighted in blue to see only HIGH IMPACT NEWS. How to read the Economic Calendar First you can get the Economic Calendar in the TradingView Widget website by going here www.tradingview.com Once you've applied the code to your website you'll easily understand how to read the Economic Calendar. Here are the main elements to consider: 1. Date: All economic events are shown in chronological order with the date and the time the announcement was released or will be released. 2. Time and country Below the date you’ll see the country’s flag and the time the event will be released or has been announced. NOTE: If you see the bar chart highlighted in blue – it means the event is a High Impact announcement. 3. Event On the top left next to the time will indicate the news or the events. 4. Actual/Forecast/Actual With each economic indicator event released, you’ll find the Actual, Forecast (Predicted) and Previous (Prior) numbers next to the date. Actual The economic event’s data released which shows you whether the data is BETTER or WORSE than the forecast number (expected). Forecast (Predicted) The expected number or forecast is the general agreement of the experts, analysts and economists. Prior (Previous) The previous data results e.g. Last month, last quarter or previous results. How to customize your Economic Calendar First, click on countries flags at the top of the calendar. A new window will open, where you can remove or select the countries events you’d like to see. Then click ‘Apply’ to update the information. Extra notes with the Economic Calendar There are a couple of important events you’ll need to watch out for on a monthly basis. Some of the most influential events, in no specific order, are the following: • Interest rate decisions • Changed in monetary policy • Inflation rates • QE Quantitative Easing • Credit tightening • Consumer sentiment • Non-farm Payroll • Changes in Gross Domestic Product (GDP) • Consumer Price Index (CPI) • Purchasing Managers Index (PMI) • Unemployment rate • Initial Jobless Claims • FOMC, Central banks meetings and economic talks • Geopolitical events You’ll see these will have a ripple effect on wider market movements. Economic indicators are the not only important events to watch out for. Also take note about the following news events: Event #1: ECB (European Central Bank) Event #2: US Fed Event #3: Bank of England Event #4: Bank of Japan Event #5: Swiss National Bank Event #6: Bank of Australia Let me know if this was useful and if you'll apply it to your website?
JSE:J200Education
by Timonrosso
8 Signs of Trading SuccessOnce you’re a trader, you’ll always be one. Once you have the pure desire and urge to succeed, there is no turning back. And you need to go with your own time line and slowly but surely, you will make it. But there are a few signs you’ll need to consider. It’s all up to you. Let’s start with these inevitable signs. Sign #1: You Have a Passion to Trade Successful traders are driven by an innate passion for the markets. You need to have a desire to understand the intricacies of global economies, price action and the thrill of identifying high probability trades. The wins, the losses. The winning streaks and even the losing streaks. You need to have equal passion and enthusiasm to fuel the time and effort you’ll need to put into learning, practicing, and refining your strategies. Sign #2: You Have a Trading Routine A routine is crucial. Whether it’s in the morning, afternoon or at night. This routine includes regular market analysis, pre-market preparations, and post-market reviews. Pre, during and post. Pre involves doing all the preparations and looking for sexy setups. During, is identifying high probability trades and putting in your trading levels. Post is seeing how your portfolio and trades performed. And you’ll need to foster a systematic approach to trading. Successful traders know the importance of sticking to a routine to avoid hasty, emotional decisions and to stay attuned to market changes. Sign #3. You Are Disciplined In the world of trading, discipline is king. It’s the ability to maintain control, stick to your trading plan. It’s also the state where you avoid impulsive decisions based on fleeting market sentiments. Successful traders know when to enter and exit trades, when to cut losses. They also have the discipline to monitor and make any necessary adjustments. But most important, you need to follow your strategies diligently. Sign #4: You Have a System to Follow A system has a clear set of rules and parameters for entering and exiting trades, managing risks, and securing profits. You then have the ability and vision to fine-tune the system, look for the best markets to follow and navigate the markets confidently and consistently. Your goal is to reduce the role of guesswork and emotion in your decision-making process. Sign #5: You Have a Strong Mind Trading is a mental game. It’s one of my 4 M’s with trading (Markets, Methods, Money and MIND!). A successful trader possesses a resilient mindset that can handle the emotional rollercoaster that trading often brings. They remain calm under pressure, keep their emotions in check. And most important, they are able to stay rational even when faced with losses. Sign #6: You Have Tunnel Vision Think of horses with their blinkers. They can’t see beyond their central vision. They can’t see the sexy horses around them nor the food that surrounds them. So with trading you need to be central focused. You need to learn how to block out ‘noise’ and stay focused on your trading endeavours. Don’t be swayed by others. Don’t be swayed by the news. Don’t be swayed by the hear-say! Remain focused on your plan and what you know works with you. Sign #7: You Have Goals Successful traders set clear, achievable goals. They know what they want to achieve through trading and have a timeline for these goals. They are realistic about their expectations and continually monitor their progress. Based on your track record. You have goals on what your win rate is. You have goals on what no. of winning and losing trades you can expect per year. You have goals as to what your portfolio should potentially grow to each year. Having specific goals keeps them motivated, directs their efforts, and helps gauge whether their strategies are working. Sign #8: You Have Endurance You have to learn to be persistent, and endure the ability to withstand market volatility and periods of losses. You have to understand that downturns are part of the journey. You need to lose to win and how it’s the only way to help your portfolio achieve an overall upward trajectory. Also have the endurance to wait for the right trading opportunities that will present themselves. So if you got these trading signs you have a great chance at WINNING. Here they are again. Sign #1: You Have a Passion to Trade Sign #2: You Have a Trading Routine Sign #3. You Are Disciplined Sign #4: You Have a System to Follow Sign #5: You Have a Strong Mind Sign #6: You Have Tunnel Vision Sign #7: You Have Goals Sign #8: You Have Endurance
JSE:J200Education
by Timonrosso
THIS IS THE REASON YOUR STRATEGY DOESN'T WORKThe title is brash, I know. But before you click away, answer these two questions: 1) How many strategies have you tried? 2) How many strategies have you backtested through several years and thousands of trades? If you have tried more strategies than you've backtested rigorously, then stick around because that's probably the reason why you're losing money. Imagine this. Florence is a novice trader. He's seen the thousands of dollars in profit a kid 10 years younger than him can generate. He's seen the kid flexing his Lambo on Instagram. The kid mentions RSI a few times, so Florence assumes the RSI indicator is the secret to insane profits. Florence is chomping at the bits and loads up a fresh Webull account with $3,000. Every time the RSI is above 70 on a stock, he shorts that stock. Lo and behold, after 5 trades, Florence's account now sits at $2,300. He concludes the indicator does not work. Florence perseveres and is determined to find the secret strategy to quick profits. He scraps the RSI and studies "support and resistance" trading from a few youtube mentors. He reloads his Webull account back up to $3,000. With a refreshed vision, he shorts anytime a stock is at resistance and longs anytime a stock hits support. Sadly, after 10 trades, his account is down again, this time to $2,600. Florence is flabbergasted. The story goes on. He attempts implementing strategy after strategy and continues to lose money. Unfortunately, many of us are Florence. We did what he did. We got into the game without a blueprint or game plan. And this is why my title is brashly stated, "If you don't read this you are going to lose money," because it's true. If you resemble Florence even in the slightest, basing the success of your trading strategy on a handful of trades, then how do you expect to know what strategy is actually successful? I don't blame you for approaching trading like Florence. In today's age, we are seeing the market oversaturated with traders and trading coaches, or even worse, "trading influencers". As with any influx of the masses, we are going to get the scumbags trying to get you to buy their image and product by falsifying the simplicity and ease of trading. If you are jumping between strategies without quantifying its success and failure rates over thousands of scenarios, then stop trading right now because you are going to continue losing money. Find a backtesting service or at the least log every single trade you take. Whatever it is, slow down and find proof of failure before declaring failure. I don't want you to fall into a never-ending hole of searching for the "right" indicator/strategy. The truth is, most of the strategies you've thrown away probably work and you don't even know it.
CME_MINI:ES1!Education
by thetradedoc
A Trader’s Checklist: 12 Essential Trading Questions to answerWhatever you trade… A successful trader minimises these risks by asking and answering a series of vital questions. This will help you ensure a clear strategy, an understanding of the market, and a control of emotions. Let’s dive into these questions. Q 1. Has a Trade Lined Up? Identifying a potential trade is the first step. Look for trends, chart patterns, or any other signals that indicate a potential opportunity. Yuu can also use Smart Money Concepts or price action techniques to pinpoint a trading setup. Q 2. Do I Have a Strategy in Place? Every successful trader operates with a strategy. This could be based on technical analysis, fundamental analysis, or a combination of both. This will give you the roadmap to tell you when to enter and exit trades. Q 3. Do I Know Where to Place My Trading Levels? Determine your entry, exit, and stop-loss points. These are crucial levels for you to know with your trading strategy. This will remove the emotions or gut feelings or like I like to say ‘gat’ feelings. Q 4. Do I Know How Much I Need to Put into My Trade? Money management is key. Decide beforehand how much of your capital you’re willing per trade. This is obviously based on what your CURRENT portfolio is rather than what it was. A common rule of thumb is not to risk more than 1-2% of your trading capital. Q 5. Am I Ready to Buy or Sell Now? Before you pull the trigger. You need to be sure you’re ready. Have all the signals from your strategy aligned? Do you see the sign to get in? Then JUST TAKE THE TRADE. Q6. Do I Understand the Underlying Asset? Whether it’s a company’s stock, a commodity, or a cryptocurrency. You need to understand what you’re trading. You need to understand the factors that influence price movements, which can also give you that extra edge. Q 7. Have I Conducted Thorough Technical Analysis? Charts, indicators, patterns, volume or Smart Money Concepts. Technical analysis is a trader’s bread and butter. Make sure you’ve analysed the market technically and your analysis supports the trade. Q 8. Am I Letting Emotions Influence My Decisions? Fear, greed and ego are a trader’s worst enemies. Are you trading based on your mechanical and analytical strategy? Or are emotions driving your decisions? Q 9. Have I Set Realistic Profit Targets? It’s important to have profit targets in place. And they need to be realistic, based on the market conditions and your trading strategy. Remember, each market has their own trading personality so work with it. Q 10. Is This Trade Consistent With My Trading Plan? You need to make sure, your trading setup aligns perfectly with your track record and system data. Each trade should align with your overall trading plan. If it doesn’t, it may be best to pass. Q 11. Am I Overexposed in One Sector or Asset? If the quantity you choose to trade matches your risk management, you’re good to go. If you have a smallish portfolio, you might not be able to trade EVERY market. Some commodities and indices are extremely expensive and too risk when it comes to volume. If you’re overexposed in one area, you could face higher losses. Q 12. Am I Prepared for the Trade to Go Against Me? Even with all the analysis in the world, trades can go wrong. Are you prepared for this, both financially and emotionally? By asking these questions, you will at least be prepared for what is to come. Do you have any more questions you ask before taking a trade?
JSE:J200Education
by Timonrosso
3 Best Market Trading Opportunities to Maximize Profit Potential Hey traders, In the today's article, we will discuss 3 types of incredibly accurate setups that you can apply for trading financial markets. 1. Trend Line Breakout and Retest The first setup is a classic trend line breakout. Please, note that such a setup will be accurate if the trend line is based on at least 3 consequent bullish or bearish moves. If the market bounces from a trend line, it is a vertical support. If the market drops from a trend line, it is a vertical resistance. The breakout of the trend line - vertical support is a candle close below that. After a breakout, it turns into a safe point to sell the market from. The breakout of the trend line - vertical resistance is a candle close above that. After a breakout, it turns into a safe point to buy the market from. Take a look at the example. On GBPJPY, the market was growing steadily, respecting a rising trend line that was a vertical support. A candle close below that confirmed its bearish violation. It turned into a vertical resistance. Its retest was a perfect point to sell the market from. 2. Horizontal Structure Breakout and Retest The second setup is a breakout of a horizontal key level. The breakout of a horizontal support and a candle close below that is a strong bearish signal. After a breakout, a support turns into a resistance. Its retest is a safe point to sell the market from. The breakout of a horizontal resistance and a candle close above that is a strong bullish signal. After a breakout, a resistance turns into a support. Its retest if a safe point to buy the market from. Here is the example. WTI Crude Oil broke a key daily structure resistance. A candle close above confirmed the violation. After a breakout, the broken resistance turned into a support. Its test was a perfect point to buy the market from. 3. Buying / Selling the Market After Pullbacks The third option is to trade the market after pullbacks. However, remember that the market should be strictly in a trend. In a bullish trend, the market corrects itself after it sets new higher highs. The higher lows usually respect the rising trend lines. Buying the market from such a trend line, you open a safe trend-following trade. In a bearish trend, after the price sets lower lows, the correctional movements initiate. The lower highs quite often respect the falling trend lines. Selling the market from such a trend line, you open a safe trend-following trade. On the chart above, we can see EURAUD pair trading in a bullish trend. After the price sets new highs, it retraces to a rising trend line. Once the trend line is reached, trend-following movements initiate. What I like about these 3 setups is the fact that they work on every market and on every time frame. So no matter what you trade and what is your trading style, you can apply them for making nice profits. Good luck!
OANDA:XAUUSDEducation
by VasilyTrader
34
Shape your future with 7 Trading ChoicesAs you traverse the journey of trading. There are a couple of choices you’ll need to make. Not your spouse, not your kids, not your dog, not your neighbour. You… Every day you hold that bit of power that will shape your unique trading path. Remember, every action we take is a conscious choice. Where we say YES to one endeavour automatically entails saying NO to another. If you did economics, you would know it’s called an opportunity cost. Therefore, it is crucial that you need to say YES and make choice with whatever action is necessary to pave your successful future. Let’s go through some of the choices you need to make. Choice #1: Do you just take the trade? To Trade or Not to Trade, I call this the Hamlet Dilemma When the market lines up a juicy trade, you put your levels in and quantify your position. All that’s left is for you to press the button. If you’re hesitant, I want you to ask ONE thing. Is it a high probability trade or low? If it’s high. Count down 1, 2, 3. Just take the trade. Choice #2: The pick of the trading pops Go to a candy store, there are so many options of amazing candies. But you can’t take them all. You can’t taste them all either. You have to choose. Same with the markets. Thousands to choose from – which one do you pick? Here’s an idea. Choose a day in the week to trade a certain market. Monday stocks, Tuesday indices, Wednesday Forex, Thursday stocks. I don’t know. But condense the work and the watchlists and the markets so they’re BITE size to take and trade each week. Choice #3: Taming the Clock Time waits for no trader. Are you a day trader, where you want to open and close a trade within a day? Are you a swing trader swing trader where you catch and hold waves of market momentum over several days or weeks? Are you BOTH? Your lifestyle, trading experience, and market analysis skills can guide this decision. Tick-tock choose who you are on the clock! Choice #4: Techie or Traditionalist: Trading Platforms When you choose a trading and charting platform, it’s basically choosing a portion of your personality. It needs to suit your lifestyle and personality. You need to choose what colour backgrounds, indicators and chart layout you wish. You must want to enjoy what you see in the charts. You must find that they’re easy to work with and exactly what you need to trade with. Improve your trading skills, chart setups and become a savvy platform trader. Choice #5: Risk It All or Play It Safe: Money Management It’s the eternal trader’s tug-of-war. You get into a trade with the idea that you can lose money, or make money. And the sweet spot is what you need to decide what is best for your portfolio. Easy… Never risk more than 2% per trade. Never risk any money you can’t afford to lose. Play your trading safe in a way that you can preserve and protect your portfolio over the long haul. Choice #6: Trust gut or trust charts The big one is, what choice do you make when you decide to trade. Do you trust your gut or dive deep into data? While intuition can sometimes lead to lucky profitable outcomes. It’s not going to happen every time. It’s going to resemble gambling more than trading. And when you hit that losing streak and don’t have a solid trading system to trust and work on, it’s game over before you know it. The market doesn’t work on emotions. The market works on analytics, numbers, volume, demand and supply. So be like the market and you’ll stand a chance. Choice #7: Buy and Hold or Buy and Fold This one is the hardest choice of all. When you get into your trade. And it goes in your favour. Do you lock in profits by closing your trade, as you think it’s going to turn from here? Or do you adjust your stop loss, to protect your portfolio from taking any loss. Or do you just let your trade run according to your trading back-tested stats? Choice is yours. This also requires HIGH experience in trading. Because I still have to decide on these three choices every day when I’m in trades. Obviously, there are many other choices you need to make. But just remember. Everything you do is solely what you choose to drive you to the path of what you desire.
JSE:J200Education
by Timonrosso
How to Adapt to the Ever-Evolving Financial Markets – 4 WaysThe only constant with the financial markets is… Change The market is constantly changing in a way that it’s brining: New demand New supply New volume and fresh changes in the complex algorithms. If you want to thrive you need to learn to learn to adapt, evolve and grow with the markets. I want to cover four elements to today’s topic. The Inevitability of Market Change Change is not only constant but inevitable in financial markets. There will always be new elements streaming into the markets from: ~ Global and political events ~ Micro and macro aspects ~ Economic indicators ~ Regulatory shifts, and ~ Investor sentiment These elements are perpetually at work, shaping and reshaping the market. These catalysts can shift the trajectory of entire sectors, leading to volatile market movements. Influx of New Volume on Market Dynamics Every day, the market sees a deluge of new volume. There are new traders and investors constantly joining the financial markets world. And we are seeing an inflow of capital from retail traders, institutional investors, and high-frequency trading firms. The big institutions like Smart Money (banks, hedge funds, brokers etc…) are causing the big volatile moves in the market. The smaller guys – dumb money and retail traders – are also helping with liquidity in the markets. Every transaction is causing a shift in the market. No matter how small it’s the “Butterfly Effect of the financial market”. The Role of Algorithms in Market Evolution In the era of digital transformation, algorithms have become a pivotal part of the financial markets. Algorithmic trading or ‘algo-trading’ employs complex mathematical models to execute trades at lightning speed and frequency. I’m talking about Copy Trader, Robinhood, AI trading bots, EA Expert Advisors and pre-determined automatic mechanical trading methods. This practice is now an integral part of the trading landscape. And they will continue to have an influence in price action, and market patterns. Haven’t you noticed? In the 50s through to the early 2000’s. The markets trended on a more consistent basis. Any monkey could choose a list of good stocks and hold them until they were up 200% – 1000%. But nowadays with derivatives, algorithms, shorts and automatic execution – markets have never been more volatile and more difficult to ride the trends. Always Adapt to Thrive in Changing Markets It’s our job to learn to be more flexible and to adapt to these market conditions. As markets evolve, so must we evolve with them. We need to always: ~ Apply new markets to our watchlists ~ Look for better trading instruments ~ Change the trading strategy to make it more conducive with the environments ~ Always look for the next best broker, trading and charting platform ~ Look for ways to reduce costs and maximise profits. I’ll end off with this. The market is constantly changing, adapting and evolving. We need to embrace the change and not see it as a threat. Have this mentality and you’ll always have the opportunities to improve, anticipate and grow as a trader.
JSE:J200Education
by Timonrosso
5 Stupid Trading Advice PointsA staggering 98% of traders inevitably stumble and tumble into the abyss of financial loss. Why such a high failure rate, you ask? It’s because failed traders try to preach their failures (as they think that’s how it is). They develop these narcissistic methods, where they misguide others and are too blinded by their own failures. Few years later, they’re back in their parents basements playing games or working at Mc Donald’s. I want to share and explore five such stupid advice points that can send even the most promising trading careers down a spiral of regret and loss. Go big or go home – a fool’s motto for financial Russian roulette. In the world of high stakes and adrenaline rush, the mantra ‘Go big or go home’ might sound like a call to glory. It might sound like a quick way to riches. However, when you say this. You’re destined for a financial land mine eventually. Going ‘big’ in trading terms typically means putting a large chunk of your capital into one or a few trades. And yes, it might very well pay off in the short term. It may pay handsomely. But for how long until you blow your entire account? Smart trading advocates a balanced approach, including diversified portfolios and proper risk management techniques. It’s more about ‘Go steady and stay in the game’ than ‘Go big or go home’. The next trade will be better – as reliable as a fortune cookie’s prophecy. This is another common trap. They just took a loss and now they feel, the next trade will be a winner. Nope! This is a dangerous mindset which will lead you to ‘revenge trading.’ Trading is not a series of independent events. Your next trade is not guaranteed to be better simply because you lost the previous one. And we can NEVER predict with certainty which trade will win. You need to approach each trade objectively. Don’t let past performances cloud your judgment. Don’t let a false and fabricated future bring on trading destruction. Learn from past mistakes, certainly, but don’t bank on the next trade as a panacea for all previous losses. Follow your heart – Your heart pumps. Your brain thinks. Stop relying on emotions and gut feelings in a robotic, cold and ruthless market. Emotions can amplify the impact of market volatility. Emotions can make you overreact to market swings. Emotions can make you stick with losing trades for too long. Emotions can cut your profits far too soon. And you can blame evolution. Instinct often plays a role in decision-making. And you need to remember that… Successful trading absolutely needs a systematic, disciplined approach based on logic and solid analysis. Everything happens for a reason – the financial equivalent of seeing faces in clouds. OK this might comfort you in some esoteric aspects of your life. But you need to get rid of this notion with the markets. The financial market is complex and influenced by numerous variables (that have nothing to do with you). Get off your high horse and believe everything revolves around you! Not every price movement has a logical or predictable reason behind it. Instead, you should focus on understanding broader market trends, develop solid trading strategies, and manage your risk effectively. With logic, with discipline, with mathematics, with statistics – NOT WITH ESOTERIC REASONS! Work harder and you’ll win more – because nothing says ‘smart trading’ like turning a strategic marathon into a frenzied sprint. While hard work is essential with business and with most areas of your life. Trading is a game where quality trumps quantity. The ‘work harder and you’ll win more’ advice often leads traders to overtrade, mistakenly believing that a higher frequency of trades equates to higher returns. In trading, it’s more important to work smarter, not harder. In trading it’s more important to think quality, not quantity. In trading it’s more important to think high probability than any probability. It’s about making well-informed trades, not just more trades. So let’s sum up the stupid trading advice points you need to watch out for. Go big or go home – a fool’s motto for financial Russian roulette. The next trade will be better – as reliable as a fortune cookie’s prophecy. Follow your heart – Everything happens for a reason – the financial equivalent of seeing faces in clouds. Work harder and you’ll win more – because nothing says ‘smart trading’ like turning a strategic marathon into a frenzied sprint. If you can think of any more, let me know in the comments.
JSE:J200Education
by Timonrosso
Become a Trading Machine - 11 ways!If you want to trade well and consistently. You have to be more mechanically orientated. The weekend is about to begin so I'll be literally quick and brief. Saying "literally" was unnecessary and made it longer. Sorry. Here are the pointers: 1. Stay committed 2. Cultivate patience 3. Avoid herd mentality 4. Be long-term oriented 5. Stop crying over losers 6. Review your performance 7. Stop celebrating winners 8. Adapt to market conditions 9. Keep your emotions in check 10. Don't think of quick success 11. Adapt and advance with technology
JSE:J200Education
by Timonrosso
Learn this price action setup for the BIGGEST DAY TRADESI walk through the pre-market prep and the price action that led to a big move on the Nikkei Index. Learning price action means understanding 'WHO' may be trapped and where they will start to feel the pain and be forced to act and potentially close positions....that is when we want to initial a position to take advantage of the move. The Nikkei index was a great example of knowing when and where to trade which could have led to a big payouts. ** If you like the content then take a look at my WEBSITE in the profile to get more daily ideas and learning material ** ** Comments and likes are greatly appreciated. **
OSE:NK2251!Education
by TradeTheStructure
Why Penny Cryptos are LETHAL for TradersCryptocurrencies are often likened to the Wild West. They are untamed, unregulated, and packed with potential riches. However, they are also fraught with hidden dangers and potential pitfalls. One such peril lies in the world of penny cryptos. They’re cheap, super volatile, and they attract the minds of those who want a quick fortune. This is similar to a gambling mentality. And You don’t want to go down this rabbit hole. Once you get in, you find every reason to hold. You build so much trust, prospects and hope with them. You might as well marry them and expect the inevitable divorce which will rob you of your money. Anyways, penny cryptos are lethal, and here’s why. #1: Huge Volatility with Major Fluctuations Imagine being on a roller coaster that has extreme highs and drastic lows. One moment, you’re at the peak, enjoying a scenic view. The next you’re plunging into a scary abyss. That’s the world of penny cryptos. Penny Cryptos are definitely like the wild wild west. They swing drastically in value. This is because of the low value of the currency. #2: Issued by Small Companies with Little Experience and Knowledge If the financial world was an ocean, penny cryptos would be the tiny, uncharted islands you might stumble upon. The kind of islands that do not inhabit life and have erratic waves completely wash over it on a sporadic basis. Well, in the deep ocean of crypto currencies, Penny Cryptos are these tiny pebbles. Most times they’re issued by small, relatively unknown companies. Sometimes they are issued by children in their parents basements. Sometimes they are issued by gamers who don’t want to work for a living. Sometimes they are issued by Only Fans sexy girls who flaunt their bits and believe their currency will go up in value (amongst other things). Anyways, Penny Cryptos (unlike Penny Stocks) lack the experience, credibility, intangible asset value and knowledge to navigate the tumultuous shitty penny cryptos. In fact, they call many of these Penny Cryptos Shit Coins – No joke! Such companies often struggle with regulatory hurdles, lack of funding, and poor management, making their cryptocurrencies extremely risky ventures. #3: High Target of Scams and Fraud and Even Ponzi Schemes Penny cryptos can sometimes be the financial equivalent of snake oil salesmen. Their low cost and relative anonymity make them the perfect target for scams, fraud, and even Ponzi schemes. And you know how messed up the world is and what kind of trash people there are. And so, they are Penny Crypto con artists who try to sell their shitty coins only to lead to either a pump-and-dump scheme. Or to fake an ICOs Initial Coin Offering) gather a whole bunch of money from investors, then make a run for it. Please don’t fall for these scams! #4: Illiquid and Low Volume Which Will be Difficult to Get in and Out One of the most lethal attributes of penny cryptos is their lack of liquidity. Liquidity, in the financial sense, is like the exit doors in a movie theater. The more doors there are, the easier it is for people to leave when the movie is over. In the world of penny cryptos, these exit doors are often few and far between. Due to their low volume, buying and selling penny cryptos can be incredibly difficult. If you’ve invested in a penny crypto and its value begins to plummet, you may find yourself trapped, unable to sell and cut your losses. And you’ll just be stuck in your trade for years on end, while it gathers digital dust. #5: More Likely to Hit 0 as They are Less Trusted by the Public Trust is like the foundation of a house. If it’s strong and solid, the house stands tall. If it’s weak or non-existent, the house collapses. Given the factors I mentioned above, should be enough to make you realise. Any one of these weaknesses with a coin, can lead to a crash down to 0. And believe you me, most of the millions of Penny Cryptos that are around today – will be nothing more than a remnant of a memory in the future.
Education
by Timonrosso
Why Penny Stocks is a Trader's NightmareLet me start off and say. Penny Stocks have a lucrative and solid place for investors who buy and sell shares. But not just any investors. Well informed, researched, savvy and highly understand fundamentals. Penny stocks for a trader though – Ah no! Those shiny little nuggets of the stock market that promise vast riches for a small investment, can often turn into a trader’s worst nightmare. Here’s why… Reason #1: The Roller Coaster Ride: High Volatility Penny stocks are notorious for their high volatility. One day they can skyrocket and plummet the next. These stocks are like riding a financial roller coaster without a safety harness. No matter where you put your stop loss, it can trigger within a second. And this extreme price fluctuation, can be dangerous for traders. The unpredictable nature, can lead to rapid and substantial losses. Reason #2: Stuck in Quicksand: Low Liquidity Volume is another caveat. Liquidity refers to the ability to quickly buy or sell (flow in and out) of a stock without significantly impacting its price. Penny stocks often lack this characteristic. Some penny stocks volume is SO low, that it can take months or even years to move in price. This means, once you’re in, you might find yourself unable to exit your position. Instead of flowing in and out of a trade (like a blue chip), you’re stuck in quicksand. Quite the oxymoron! Without a healthy volume of trades, penny stocks can become a trap, a nightmare for any trader. Reason #3: Walking a Tightrope: High Chance of Bankruptcy and Liquidations Investing in penny stocks is akin to walking a financial tightrope. These companies are often at a higher risk of bankruptcy and liquidation. This is because of their lower levels of regulation, credibility and inherent instability. And the issue with a less regulated penny stock company, is that it allows for less transparency. This makes it difficult for investors to drill into the true company’s health. The high risk of bankruptcy further amplifies the nightmare. Reason #4: Battling with Giants: Lacking the Strength of Blue-Chip Companies Penny stock companies are typically not well-established businesses. They lack the strength, stability, and track record of blue-chip companies. And without you doing the right research, it can leave them susceptible to market fluctuations and economic downturns. Investing in these companies can feel like bringing a pebble to a boulder fight. You’ll struggle to hold your ground amidst giants. Reason #5: The Race to Zero: The High Failure Rate of Penny Stocks It’s an unfortunate reality. Most penny stocks are more likely to crash and burn than to soar. Because of their weaker fundamentals and instability, they are more likely to head to zero – than a blue-chip company. So let’s sum up the reasons why penny stocks is a traders nightmare: Reason #1: The Roller Coaster Ride: High Volatility Reason #2: Stuck in Quicksand: Low Liquidity Reason #3: Walking a Tightrope: High Chance of Bankruptcy and Liquidations Reason #4: Battling with Giants: Lacking the Strength of Blue Chip Companies Reason #5: The Race to Zero: The High Failure Rate of Penny Stocks If you’re a savvy investor or you have someone great to follow, go for it. But I’ve warned you about the dangers for a trader.
TVC:RUTEducation
by Timonrosso
GLOSSARY Smart Money Concepts – Complete Terms!It’s taking the world by a storm. Smart Money Concepts is what has become famous lately. Now I’ve been trading for 20 years and even I have learnt to adapt and adjust SMC to my trading strategy. I guess we have to evolve and adapt with what there is. Anyways, today I’ve written a complete Glossary on Smart Money Concepts terms for you. Enjoy! SMART MONEY CONCEPTS GLOSSARY Break Of Structure (BOS) (CONTINUATION) A BOS is when the price breaks above or below, and continues in the direction of the trend. (CONTINUATION). Break Of Structure Down When the price breaks and closes BELOW the wick of the previous LOW in a DOWNTREND. Break Of Structure Up When the price breaks and closes ABOVE the wick of the previous HIGH in an UPTREND. Buy Side Liquidity (Smart Money SELLS) Where an Order Block forms where Smart Money SELLS into retailers (dumb money) BUYING orders – Pushing the price DOWN. Change of Character (CHoCH) (REVERSAL) Refers to a much larger shift in the underlying market trend, dynamic or sentiment. This is where the price moves to the point where there is a change in the overall trend. (REVERSAL) Change of Character Down When the price breaks and closes below the previous uptrend. Change of Character Up When the price breaks and closes above the previous downtrend. Daily bias Tells us which direction, trend and environment the market is in and what we are looking to trade. Daily bias Bearish When the market environment is DOWN and the trend is DOWN – we look for shorts (sells) in the market. Daily bias Bullish When the market environment is UP and the trend is UP – we look for long positions (buys) in the market. Discount market <50% The market is at a discount when the price trades BELOW the equilibrium level. We say the price is at a discount (low price). Equilibrium Equilibrium is a state of the market where the demand and supply are in balance with the price. We say the price of the market is at fair value. Fair Value Gap (FVG) A 3 candle structure with an up or down impulse candle that indicates and creates an imbalance or an inefficiency in the market. Fair Value Gap Bearish A 3 candle structure with a DOWN impulse candle that indicates and creates an imbalance or an inefficiency in the market. Between candle 1 and 3, do NOT show common prices. The price needs to move back up to rebalance and fill the gap. Fair Value Gap Bullish A 3 candle structure with an UP impulse candle that indicates and creates an imbalance or an inefficiency in the market. Between candle 1 and 3, do NOT show common prices. The price needs to come back down to rebalance and fill the gap. Levels of liquidity The area of prices where smart money players, identify and choose to BUY or SELL large quantities. E.g. Supports, resistances, highs, lows, key levels, trend lines, volume, indicators, psychological levels. Liquidity The degree, rate and ability for an asset or security to be easily bought (flow in) or sold (flow out) in the market at a specific price. Liquidity sweep (Liquidity grab) Smart money buys or sells (and sweeps or grabs liquidity) from traders who enter, exit or get stopped. Market down structure When the price makes lower lows and lower highs. Market structure Indicates what a market is doing, which direction it’s in and where it is more likely to go. Market Structure Shift (MSS) MSS shows you when the price is breaking a structure or changing the direction in the market. Market up structure When the price makes higher lows and higher highs. Order block Large market orders (big block of orders) where smart money buys or sells from different levels of liquidity. Order Block Bearish A strong selling or a supply zone for smart money. Order Block Bullish A strong buying or a demand zone for smart money. Order block events Large market orders where smart money buys or sells from certain events i.e. High volume, supports, resistances, highs, lows, key levels, Break Of Structure, Change of Character, News or economic event. Point Of Interest (POI) POI is an area or level in the market where there is expected to be a large amount of buying or selling activity i.e. Order blocks. Premium market >50% The market is at a premium when the price trades ABOVE the equilibrium level. We say the price is at a premium (high price). Sell Side Liquidity (Smart Money BUYS) Where an Order Block forms where the Smart Money BUYS into the retail (dumb money traders orders – Pushing the price UP. Smart Money These are the smart, informed, and savvy financial institutions that invest (buy and sell) their large capital into different financial markets. Smart Money Concepts SMC is a more sophisticated method of price action to spot, identify and locate where smart money is buying and selling their positions Sweep Buy Side Liquidity (Smart Money SELLS) Smart Money SELLS into positions (and sweeps liquidity) from retail traders who are short (get stopped) and for long traders who buy and enter their trades. Sweep Sell Side Liquidity (Smart Money BUYS) Smart Money BUYS into positions (and sweeps liquidity) from traders who are long (get stopped) and for short traders who enter their trades. Feel free to print this out and have it as a guide to your Smart Money Concepts trading journey. All the best!
TVC:SA40Education
by Timonrosso
101
Key Levels and US Market Review for the Asian session open12/07US markets had another rally ahead of the all important CPI data release prior to the US open. It seems that markets have dragged in bulls recently which sets up for an interesting market if the CPI figure comes out stronger than expected...meaning sticky inflation and further rate rises. US Bond yields held steady while the USD swung between gains and losses in a holding pattern prior to the data release. Expecting a stronger open in Asia with the ASX200 to open up 30 pts, the Nikkei to open up 80 pts and Hang Seng to open up 90 pts also. Traders are focused on the US CPI data release and what that means to inflation and rate rises. Hopes will be that we are at the end of the rate rise cycle which to me means a slowing global economy. Also on the cards will be coming US earnings. Some KEY ACTIONABLE LEVELS into the Asian market session. Review of the European and US sessions and what that will mean to the price action in the near term along with key levels to watch. Markets covered :- DOW Nasdaq DAX FTSE ASX200 Hang Seng USD Index Gold Oil Copper ** If you like the content then take a look at my WEBSITE in the profile to get more daily ideas and learning material ** ** Comments and likes are greatly appreciated. **
COMEX:HG1!
by TradeTheStructure
Why Do So Many Successful Traders Gym?Have you noticed? That most successful traders, engage in some type of regular physical exercise. And on their social channels they are either talking on the treadmill or they’re talking about their supplements they’re taking before they hit the gym. And it makes you wonder. Is gymming a prerequisite to trade well and successfully? I mean, do we have to gym to trade well? Unfortunately, I do gym on a regular basis and do cardio many times a week. But no. I don’t think I’ll attribute it to my trading success. However, I think there are many merits to gymming well and trading well. And it all starts with… #1: Discipline – You Put in the Work Training in the gym is about discipline, perseverance, and gradual improvement. It’s about building strength, endurance, and resilience. These are definitely all qualities required in a successful trader. Traders, like athletes, understand that to achieve success, you must put in the work. There are no shortcuts. If you have the discipline to gym (not every day) every week, you will have what it takes to persevere as a trader. If you’re a quitter and a give upper or a I’ll do it next Monday type a guy or gal, then trading probably won’t work for you. The financial market doesn’t grant success to the lucky, but rather to the diligent and well-prepared. #2. Pick up the Portfolio (Weights) as You Make More In the same way that you wouldn’t expect to build muscle or increase your stamina overnight in the gym, you shouldn’t expect immediate trading success. And in the same way you don’t just lift heavier weights after a short period in the gym, so to where you mustn’t trade more (with a small portfolio size). Let’s dig deeper. In the gym, you start lifting weights that match your strength level. As you grow stronger, you gradually increase the weight to keep challenging your muscles. And this leads you to further growth and strength. This same principle applies to trading. Beginners should start with a smaller, manageable portfolio that matches their level of knowledge, understanding and personality with the markets. As their knowledge, skill, and confidence grow, they can start diversifying and increasing their portfolio. They won’t risk more (relative) per trade, but they will deposit more money into their portfolios. They’ll trade larger volumes. But like I said, they won’t risk more in percentage terms. Remember, it’s essential to increase the portfolio wisely, without skipping steps, just like in weight training. Patience and progressive overload are key in both fields. #3: Don’t Overtrain – Don’t Overtrade If you overtrain in the gym – watch out. It can lead to injuries, burnout, demotivation (is that a word?) and diminished returns. Same works with overtrading. It can lead to financial losses, emotional stress and a big punch to your confidence levels. You need to know the importance of balance and recovery – like you do as a trainer. You need to understand how to pace yourself the right way, and to: NOT take trades for the sake of it. NOT try to accelerate your portfolio performance. NOT be impatient with the process Got it? #4: It’s a Forever Process Fitness, strength, physical activity and maintaining your sexy figure is a lifelong endeavour. You can’t just build muscle and then stop working out, expecting to stay fit forever. You can’t just go on the treadmill once and lose those 20kg you packed on 10 years ago. Same with trading. You can’t just make a few successful trades and then rest on your laurels. The markets are always changing, and traders need to keep learning and adapting their strategies to stay ahead. This requires continuity Trading requires perseverance Trading requires repetition Continuous education Ongoing testing, tweaking and monitoring And while we’re at it, gymming can help with your trading I mean, I’m no doctor, but there are also very good mental benefits of regular exercise, such as: Improved concentration Better mood Stress reduction Help maintain the psychological equilibrium needed for long-term trading success Also, it gets you to step away from the computer and screen after you’ve taken a trade. It allows you to realign and escape from the real world and into your mind and creative self. Even though you don’t necessarily need to gym to be a successful trader. The parallels between gym training and trading are substantial. The discipline, resilience, patience, and commitment to continual learning that the gym fosters translate directly into trading habits. Do you gym or do any physical exercises?
TVC:SA40Education
by Timonrosso
Key Levels and US Market Review for the Asian session open 11/07US markets had a good start to the new week ending with some gains ahead of the all important CPI later in the week. All eyes will be on the data release for a gauge on inflation and what that will mean to further rate rises in the US. US bond yields moved lower while the USD also pushed down into support which is likely traders squaring up positions ahead of CPI. If the release comes out stronger than expected and inflation continues to show signs of being 'sticky' then expect more pressure into the stock market. Expecting a stronger open in Asia with the ASX200 to open up 40 pts, the Nikkei to open up 140 pts and Hang Seng to open up 140 pts also. Traders are focused on the end of the interest rate rising cycle in the US which also means a slowing economy bringing about mixed reactions from traders. The Ponzi scheme that is the US debt ceiling may start to be of more concern if the economy slows and GDP contracts. Some KEY ACTIONABLE LEVELS into the Asian market session. Review of the European and US sessions and what that will mean to the price action in the near term along with key levels to watch. Markets covered :- DOW Nasdaq DAX FTSE ASX200 Hang Seng USD Index Gold Oil Copper ** If you like the content then take a look at my WEBSITE in the profile to get more daily ideas and learning material ** ** Comments and likes are greatly appreciated. **
NYMEX:CL1!
by TradeTheStructure
2
WHY you don't JUST Take The TradeIn the frenzied world of financial trading. It gets to a stage eventually where we will hesitate to take the trade. Even though you have the plan, strategy and mindset to a T. Something could trigger you to not take the trade. So why does this happen? There are a multitude of reasons, but here are four reasons you might not take the trade. Reason #1: Market Moved Too Much Even I miss the mark sometimes. Either I get distracted by writing something for you. Either I wake up late past 10 am. Either I am flying or at the beach. And then… The market moves too much and I miss the trade. This is life and this can catch us off guard. There is no excuse in the bigger scheme of things because the market will move with or without you. Just like time waits for no man. Neither does the market. We need to be more disciplined, more determined and should be like a sniper when it comes to trading the markets. Reason #2: You’re Scared to Lose This one applies to three types of traders. Either you’re new to the market and don’t want to lose money. Or you’ve been in the market and you just can’t programme your mind to lose money. Or you have already lost money and you have an even bigger fear of losing even more money. Trading, by its very nature, involves risks. But sometimes, the fear of potential losses can overwhelm us, leading to indecision and missed opportunities. Emotional trading is a surefire way to erratic decision-making and inconsistent results. So if you’re scared to lose, risk less. If you’re scared to lose, paper trade until you feel more confident. If you’re scared to lose, work on risk psychology through journals and reading. Or just reading an article like this. It may help you. Reason #3: Too Much Money to Spend Some markets are expensive! If you’re new to trading and you try to trade a world index or a futures contract like Brent Crude – brace yourself. It might spook you away from trading because it’s too much to spend. But then there are markets that aren’t expensive to trade like Forex, local and some international stocks. Stick to those and lower your risk to 1.5% or even 1% risk per trade. Balancing risk and reward is a delicate art in trading. Reason #4: No Trust Yet in the System Confidence is not easy to gain with trading strategies. I never believed in my system for years. Why? Because I thought the past results truly meant nothing for the future performance of the markets. Then as trading became more logical and as I saw that financial markets is nothing more than psychology and demand and supply, the confidence in the system went up. People will be people. Before plunging into trades, it’s beneficial to familiarise yourself with the strategy and make sure you backtest them and study them like a trading engineer and statistician. Your confidence will grow and eventually you’ll get to the point where you will. JUST TAKE THE TRADE.
TVC:SA40Education
by Timonrosso
What if your trading position is halted? What happens if your trading position is halted? There are a few possible outcomes for this scenario. First, when a stock is halted – this means trading that market will be suspended. You will not be able to open, adjust or close your position during that time. The best-case scenario is when the position will just be removed from your account and you will lose whatever the margin (deposit) you put into the trade. The worst-case scenario is, if the market resumes trading but the share price drops over 99%, the next day. Either, the company will release news that it’s currently undergoing facing financial difficulties or fraud. Or it has failed to meet the regulatory requirements. This can result in the stock heading to zero and being delisted from the main index. That’s why it’s important to only look to trade markets that are quality blue-chips, highly credible stocks with a great track record. This way you’ll have a much higher chance at picking stocks that are NOT susceptible to heading to zero. But to be safe, you’ll need to get more accurate information about the specific procedures and outcomes of your trade. It's crucial to consult your trading platform, CFD provider, or your broker directly. They will give you more details about what happened to the stock, the market regulations, and the specific terms and conditions that apply to your situation. If you have any more questions I'll be happy to help where I can. Comment your question below.
TVC:SA40Education
by Timonrosso
3
10 Black Swan Events that shook the marketsBlack Swans are highly unpredictable events that go beyond what is usually expected of a situation. One definition I like is this. A Black Swan is where an event can cause the market to move 10 standard deviations away from the norm. When this happens they could potentially have severe and wide-reaching consequences. You’ll see the market will jump erratically and even cause a halt in trading activity completely. So when you spot a Black Swan. Just take it easy from trading the markets that can be affected. Here are 10 Black Swan Events that I can think of that had an impact on the markets. 2008 Global Financial Crisis Triggered by the collapse of the US housing market, it led to a worldwide banking crisis and severe global economic downturn. COVID-19 Pandemic An unprecedented global health crisis that had significant repercussions on global economies and markets in 2020. Dotcom Bubble Burst (2000) The dramatic rise (due to greed and optimism) and fall (due to fear and panic) of internet companies in the late 1990s led to a severe market correction. Brexit (2016) Britain’s unexpected decision to leave the EU had immediate impacts on global markets. Japanese Asset Price Bubble Burst (1992) This led to a lost decade of economic stagnation in Japan. (Have you seen the Nikkei! And can you imagine holding stocks from 1992?) Swiss Franc Unpegging (2015) The Swiss National Bank’s sudden decision to remove the cap on the Franc’s value against the Euro led to extreme currency volatility. (Forex trading was a nightmare seeing some prices drop hundreds of pips). September 11 Attacks (2001) The terrorist attacks had immediate and long-term effects on global economies and markets. (I was too young to worry so I missed this one.) Fukushima Nuclear Disaster (2011) Triggered by a massive earthquake and tsunami, it had significant impacts on global energy markets. (I remember holding oil stocks while driving. And I came home to R120,000 loss). Flash Crash (2010) The US stock market crash, triggered by a high-frequency trading algorithm, sent a financial shockwave around the world. (Fat fingers caused by unknown factors). Oil Price Negative (2020) For the first time in history, the price of US oil turned negative due to low demand during the COVID-19 pandemic. Which Black Swan event affected you the most? Let me know in the comments?
TVC:SA40Education
by Timonrosso
2
DID YOU KNOW? Trading has never been more...What was a realm for Wall Street titans and for the affluent investors… In the last couple of years, it has knocked its walls, and has broken the financial chains. Today, it’s at the hand to the everyday individual, regardless of their financial background. Just to put it into perspective. In 2003 until like 2007, trading was very limited. I had a very old-fashioned trading software which updated once a day. I only had shares to trade. And then as the years progressed, I was paying R17,000 a year to have a software that updated every 15 minutes. The struggle was REAL! But today, is a different story. You are in the best times every to trade. It’s the cheapest it’s ever been. It has more markets, instruments, options and features at your fingertips. And you can even start with your charting, preparation and work on your trading track record – essentially for FREE. So, if you’re not in the trading game yet – WHY NOT? And that’s just the start of it. DID YOU KNOW? Trading has never been more… #1: Affordable Trading, as we know it, has undergone significant transformations in the past decade. It is now more affordable than ever before. A combination of technological advancements, regulatory changes, and the evolution of trading platforms has significantly reduced the financial barriers to entry. Just look at TradingView? Many brokerages are in such high competition that they have had no choice but to: Cut brokerages Make minimal spreads for trade Remove the yearly platform fee Some even have a zero-commission trading platform The only expensive thing, with some brokers, is that you might need to have a minimum account size. But the money is yours. It stays in your account. And you might even earn interest just by keeping it there. It’s amazing. #2: Easier to Learn With the proliferation of online learning resources on YouTube, TikTok, websites - you can master the art of trading – FREE. Even most reputable brokers now offer comprehensive trading education, to help you on the way to trading their platforms. And many brokerages offer demo accounts where beginners can practice trading with virtual (paper) money. This way they can gain hands-on experience without the risk of losing any real money. #3: Accessible Trading has never been more accessible. Gone are the days when trading meant being physically present on the exchange floor or having to call your broker to place a trade. In today’s digital age, you can trade on your smart phone tablet or computer. Also, with the high competition – most great brokers offer their own customised trading apps and online platforms. And the variety is crazy. Whether you want to trade CFDs, Spread Betting, Futures, Options, Lots, or other instruments – the world is your trading oyster. Just go to TradingView and you’ll see hundreds of thousands of markets to choose from. (Stocks, indices, commodities, Forex, Crypto, ETFs, Bonds, Economic indicators and Funds). #4: Hospitable With brokers and market makers with their obligatory regulatory frameworks and criteria, around the globe, they are constantly pushing for more transparency and fairness in financial markets. They are also pushing for more educational sources. They are improving with HR and pristine customer services features. The odds are no longer heavily stacked in favour of institutional players. Such features help retail traders make informed decisions, level the playing field and make the trading world a more welcoming place for newcomers. So, we can see trading is becoming more affordable, easier to learn, accessible, and hospitable. And they will continue to do so and improve, which is why you have got to take the leap and harness what is available. As I mentioned earlier. Today the world is your trading oyster – Go fishing!
TVC:SA40Education
by Timonrosso