The idea that drawing lines on a chart can lead to incredible profits has been a matter of contention for years… Warren Buffett, Peter Lynch, and Benjamin Graham for example aren’t exactly fans of the idea. Even in a world of charts, trend lines, and candlesticks, they have relied entirely on fundamental analysis to earn … Continue reading Why Technical Analysis is Always an Essential Tool
We all want to make obscene amounts of money in the market. But to do so, we have to establish a plan, and actually stick to it. Without a plan, you’re really gambling instead of responsibly trading and investing. Here are some of the key steps to creating a plan for success. Tip No. 1 … Continue reading Small Cap Stocks: How to Develop your Own Trading Plan
It’s not about having the perfect strategy. It’s about the rule you abide by with each trade. One of the biggest issues facing all walks of traders is a severe lack of discipline and structure in stock buying habits. Many fail to use stop losses, or even protect gains with a simple trailing stop loss strategy. Others … Continue reading Small Cap Trading: The Exact Moment to Sell Every Time
Support and resistance are two of the most powerful technical indicators on the market. Without watching either, you may just buy or sell at the wrong time. Support, for example, represents the moment when buying begins to overwhelm selling and prices begin to bounce back. Resistance happens when selling begins to overwhelm buying and prices begin … Continue reading Small Cap Trading: Two of the Most Powerful Technical Indicators
If you pull a rubber band too far, what happens? It snaps back, right? The same thing happens with stocks when they become too overbought or oversold. And if we can position ourselves for the exact moment the “snap back” happens, we make money. And it’s actually quite easy to spot with three key technical … Continue reading Russell 2000: How to Spot a Pivot up to 80% of the Time
The idea that drawing lines on a chart can make you money has been a matter of contention for years. But the fact remains that technical analysis works… and works well. And the key to its effectiveness lies entirely in its popularity among large audiences, and its gauge of overall momentum, fear and greed. Let me … Continue reading Technical Analysis 101: The Importance of Support and Resistance
When it comes to technical analysis, moving averages are essential. For example, for more than 20 years, I’ve relied on two specifically – the 50-day and the 200-day simply moving average. What I’m looking for are golden, and death crosses. Bullish Golden Cross For example, we can spot a bullish “golden cross” when the short-term moving … Continue reading Small Cap Death Cross: Why it’s Often a Buying Opportunity
It’s not about having the perfect strategy. It’s about the rule you abide by with each trade. One of the biggest issues facing all walks of traders is a severe lack of discipline and structure in stock buying habits. Many fail to use stop losses, or even protect gains with a simple trailing stop loss strategy. Others … Continue reading Small Cap Trading: Four Essential Technical Indicators to Understand
