In the previous grade, popular chart indicators were discussed.
An oscillator is any object or data that moves back and forth between two points.
The indicators that can do so have already been identified as MACD and moving averages.
Many forex traders use technical indicators as part of their technical analysis toolbox.
By now you have an arsenal of weapons to use when you battle the market. In this lesson, you will add yet another weapon: CHART PATTERNS!
When a double top or double bottom chart pattern appears, a trend reversal has begun.
The head and shoulders chart pattern is a reversal pattern and most often seen in uptrends.
In a Wedge chart pattern, two trend lines converge.
A rectangle is a chart pattern formed when price is bounded by parallel support and resistance levels.
Similar to rectangles, pennants are continuation chart patterns formed after strong moves.
A triangle chart pattern involves price moving into a tighter and tighter range as time
That’s a whole lot of chart patterns we just taught you right there.
Professional forex traders and market makers use pivot points to identify potential support and resistance levels.
The first thing you’re going to learn is how to calculate pivot point levels.
The simplest way to use pivot point levels in your forex trading is to use them just like your regular support and resistance levels.
Just like your normal support and resistance levels, pivot point levels won’t hold forever.
There is one other way to incorporate pivot points into your forex trading strategy, and that’s to use it to gauge market sentiment.
The standard method of calculating pivot points is NOT the only way to calculate pivot points.
Here are some easy-to-memorize tips that will help you to make smart pivot point trading decisions
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