Have you ever felt a lack of research as a cause of losing money?
Get out of the trap by focusing on price action and following the market to make money from smart money’s research.
A Mega Thread on Price Action Trading!🧵👇
#LearnWithChartmojo #stocks #trading
Have you ever felt a lack of research as a cause of losing money?
Get out of the trap by focusing on price action and following the market to make money from smart money’s research.
As suggested by the name, price action is the plot of a security’s price movement over a particular period.
Traders use this data to understand the temperament of the markets to make money trading profitably.
Price action trading is a widely used trading technique that relies on reading, analyzing, and interpreting the price movement of a particular security and the subsequent patterns formed due to it.
In its essence, price action trading capitalizes on the crowd mentality inherent in the markets and the consequent repetitive price behavior. It provides a psychological edge in its leading nature.
Price action trading helps a retail trader understand the analysis done by the big players with sophisticated tools by looking at the price movement of security without being affected by various noises prevalent in the financial world.....
.....Furthermore, it helps us see the interaction between the multiple players in the market. Intimidating, right?
There are several types of charts on which a trader can do plotting of price movement; sometimes, for example, line charts, bar charts, point and figure charts, candlestick charts.
Candlestick charts are the most valuable charts since candlesticks show four price points throughout a period and provide the perfect infrastructure for analyzing patterns.
A candlestick or a Japanese candlestick is made up of a rectangular body that depicts the Open (O), High (H), Low(L), and Close(C) of the movement of a stock.
The three components of a candlestick include the following, real body or the part connecting the opening price and the closing price, the upper shadow, and the lower shadow.
A group of candlesticks present chart patterns that help us systematically reach entry and exits for trades. Applying price action trading techniques helps us understand the language of the markets in terms of recurring patterns formed in the markets.
As is well known, the markets don’t move unidirectionally, sometimes bulls win, sometimes bears and sometimes it’s a draw. A trendline helps visualize who is winning.
Theoretically, an excess demand over supply causes an upward trend; an extra supply over demand causes a downward trend, and a supply-demand match results in a sideways movement or consolidation.
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So friends here is the thread on the recommended pathway for new entrants in the stock market.
Here I will share what I believe are essentials for anybody who is interested in stock markets and the resources to learn them, its from my experience and by no means exhaustive..
First the very basic : The Dow theory, Everybody must have basic understanding of it and must learn to observe High Highs, Higher Lows, Lower Highs and Lowers lows on charts and their
Even those who are more inclined towards fundamental side can also benefit from Dow theory, as it can hint start & end of Bull/Bear runs thereby indication entry and exits.
Next basic is Wyckoff's Theory. It tells how accumulation and distribution happens with regularity and how the market actually
Dow theory is old but
Here I will share what I believe are essentials for anybody who is interested in stock markets and the resources to learn them, its from my experience and by no means exhaustive..
First the very basic : The Dow theory, Everybody must have basic understanding of it and must learn to observe High Highs, Higher Lows, Lower Highs and Lowers lows on charts and their
Even those who are more inclined towards fundamental side can also benefit from Dow theory, as it can hint start & end of Bull/Bear runs thereby indication entry and exits.
Next basic is Wyckoff's Theory. It tells how accumulation and distribution happens with regularity and how the market actually
Dow theory is old but
Old is Gold....
— Professor (@DillikiBiili) January 23, 2020
this Bharti Airtel chart is a true copy of the Wyckoff Pattern propounded in 1931....... pic.twitter.com/tQ1PNebq7d
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🌿𝑻𝒉𝒆 𝒔𝒕𝒐𝒓𝒚 𝒐𝒇 𝒂 𝑺𝒕𝒂𝒓 : 𝑫𝒉𝒓𝒖𝒗𝒂 & 𝑽𝒊𝒔𝒉𝒏𝒖
Once upon a time there was a Raja named Uttānapāda born of Svayambhuva Manu,1st man on earth.He had 2 beautiful wives - Suniti & Suruchi & two sons were born of them Dhruva & Uttama respectively.
#talesofkrishna https://t.co/E85MTPkF9W
Now Suniti was the daughter of a tribal chief while Suruchi was the daughter of a rich king. Hence Suruchi was always favored the most by Raja while Suniti was ignored. But while Suniti was gentle & kind hearted by nature Suruchi was venomous inside.
#KrishnaLeela
The story is of a time when ideally the eldest son of the king becomes the heir to the throne. Hence the sinhasan of the Raja belonged to Dhruva.This is why Suruchi who was the 2nd wife nourished poison in her heart for Dhruva as she knew her son will never get the throne.
One day when Dhruva was just 5 years old he went on to sit on his father's lap. Suruchi, the jealous queen, got enraged and shoved him away from Raja as she never wanted Raja to shower Dhruva with his fatherly affection.
Dhruva protested questioning his step mother "why can't i sit on my own father's lap?" A furious Suruchi berated him saying "only God can allow him that privilege. Go ask him"
Once upon a time there was a Raja named Uttānapāda born of Svayambhuva Manu,1st man on earth.He had 2 beautiful wives - Suniti & Suruchi & two sons were born of them Dhruva & Uttama respectively.
#talesofkrishna https://t.co/E85MTPkF9W
Prabhu says i reside in the heart of my bhakt.
— Right Singh (@rightwingchora) December 21, 2020
Guess the event. pic.twitter.com/yFUmbfe5KL
Now Suniti was the daughter of a tribal chief while Suruchi was the daughter of a rich king. Hence Suruchi was always favored the most by Raja while Suniti was ignored. But while Suniti was gentle & kind hearted by nature Suruchi was venomous inside.
#KrishnaLeela
The story is of a time when ideally the eldest son of the king becomes the heir to the throne. Hence the sinhasan of the Raja belonged to Dhruva.This is why Suruchi who was the 2nd wife nourished poison in her heart for Dhruva as she knew her son will never get the throne.
One day when Dhruva was just 5 years old he went on to sit on his father's lap. Suruchi, the jealous queen, got enraged and shoved him away from Raja as she never wanted Raja to shower Dhruva with his fatherly affection.
Dhruva protested questioning his step mother "why can't i sit on my own father's lap?" A furious Suruchi berated him saying "only God can allow him that privilege. Go ask him"
