Go back to Part 1: Falling Wedge FormationImportant Characteristics of Falling Wedge PatternExisting Trend:There should be an established existing trend (either uptrend or downtrend). As mentioned before, Falling Wedge, which has a bullish bias, can be categorised as a reversal or continuation pattern.As a reversal pattern, Falling Wedge normally occurs after an established downtrend. The slope of Falling Wedge will be downward, which is in the same direction as the prevailing trend.As a continuation pattern, Falling Wedge occurs after following...
Friday, August 27, 2010
Friday, August 20, 2010
FALLING WEDGE – Part 1: Formation
Falling Wedge is generally regarded as a bullish pattern. The breakout usually occurs upwards through the wedge and then move on into upward trend.Falling Wedge can be categorised as a reversal or continuation pattern.As a reversal pattern, Falling Wedge normally occurs after an established downtrend. The slope of Falling Wedge will be downward, which is in the same direction as the prevailing trend.As a continuation pattern, Falling Wedge occurs...
Friday, August 13, 2010
Market Analysis Video: Updates on Dow and Nasdaq Markets
Watch the following videos to see what’s happening in both of the markets:* Updates on Dow marketIf nothing else, watch this video as this could be one of the most important weeks for the DOW and its future. This 3-minute video will share both interesting and educational analysis from both a Fibonacci and Japanese candlestick point of view.The weekly chart on the DOW is flashing the same Japanese candlestick signal that it had earlier in April of this year. Back then the DOW dropped from 11,200 to 9,700 in the space of just 10 weeks!* Updates on...
Thursday, August 12, 2010
Market Analysis Video: Make or Break in the S&P Market
This new short video shows you one key element that could make or break the S&P 500 market.See how to interpret the trendline, Fibonacci, Moving Average Crossover, and Divergence analyses together.Other Learning Resources:* FREE Trading Educational Videos with Special Feature* FREE Trading Educational Videos: Learn Technical Analysis from Award Winning Author John MurphyRelated Topics:* Options Trading Basic – Part 1* Options Trading Basic – Part 2* Understanding Implied Volatility (IV)* Option Greeks* Understanding Option’s Time Value* Learning...
Sunday, August 1, 2010
Bracketed Order
Bracketed Order allows traders/investors to manage the trade/position by “bracketing" an order for opening a position (i.e. the “main order”) with two opposite “side orders” for closing the position in order to limit losses and lock in profits, without having to constantly follow the position.The order quantity for the “side orders” matches the original order quantity of the “main order”.When the Bracketed Order is placed, the trader/investor must determine the corresponding prices for all the 3 component of the Bracketed Order (One “main order”...
