Showing posts with label Stock. Show all posts
Showing posts with label Stock. Show all posts

Tuesday, December 17, 2013

Inventaire hebdomadaire d'analyse Technitrader: « l'indicateur le plus important Stock »

MetaStock ® SPRS série - Conférence semaine 13 149, 2013 - reconnaissance spatiale MetaStock série sur les compétences écrite par Martha Stokes CMTOften marchands vous demande quel indicateur est le plus important de négocier. Indépendamment de si vous êtes un trader intraday, Swing Trader, concessionnaire position, moyen terme ou à long terme des investissements plus important indicateur du stock n'est pas MACD, stochastique pas, ou n'importe quel autre indicateur du prix.L'indicateur le plus important est le volume.  L'indicateur le plus important du prix, les lustres sont toutefois candélabres ne pas pour compléter la cartographie qui est un aspect crucial des succès commerciaux.Il y a 3 données fournie par le prix de marché de la table : est représenté par le candélabre, l'heure est représentée par le terme de la Charte et la quantité est d'abord représentée par des barres de volume.Les barres de volume sont souvent les moins utilisées et comprend moins 5 indicateurs essentiels à la réussite constante optimale, stocks trading. Prix de lecteurs de volume dans la majorité des cas à nos marchés modernes et la qualité est ce qui rend ce volume important pour tous les types de commerce.Quantité de flux de données a 2 principaux types.  Le nombre total d'actions échangées à ce moment-là si c'est une milliseconde ou un an, le nombre total d'actions est habituellement représenté par des barres de volume. Nombre désigne également le nombre d'actions pour chaque transaction. Cela devient indispensable quand les commerçants ont besoin traquer l'activité institutionnelle.Aujourd'hui la discussion porte sur les barres de volume.Les barres de volume doivent être représentés dans votre logiciel de création de graphiques avec barres vertes pour les jours et les barres rouges pendant jours.  Si vous utilisez une couleur unie comme le bleu, et ils sont vers le haut ou vers le bas des jours, votre analyse se détériorera et prendra beaucoup plus de temps.  Colorier les barres de volume fournit une analyse exceptionnelle, rapidement et facilement.Chaque volume dans la barre d'un journal graphique représente les mains total actions transigées numéros ce jour-là, donc un côté des deux ne sont pas représentés dans la barre du volume du commerce. Si vous utilisez des graphiques quotidiens et analyser la fin du volume jour, analysent également le volume de bande consolidé. Ce volume diffère intrajournalières qui inclut la totalité du volume de chaque plateforme et de la place, non seulement le volume des échanges commerciaux. Les échanges régionaux dark pools d'ATS, ECNs, tous doivent déclarer leurs données, et c'est ce qu'on appelle la bande consolidée qui comprend le volume total de toutes les sources.Vu le volume total consolidé est un élément important de faire votre analyse de matériel graphique pour la sélection des titres est correct. Avec volume récapitulatif fourni à la fin du jour de sa création de logiciels graphiques, vous pouvez aller rapidement au moyen d'actions avec les critères de base d'au moins 100 000 actions négociées pendant une demi-journée.Il y a beaucoup de stocks qui sont les réserves de liquidités. Ce que cela signifie, c'est qu'il n'y a si peu d'actions échangé par jour qui peut être très risqué achat d'actions.  Sans un volume suffisant, il y a un manque d'intérêt par les participants du marché, et cela peut conduire à des équipes faibles, pertes commerciales ou même de mauvaises prestations.Assurez-vous de toujours vérifier le volume de toute action que vous négociez. Veuillez noter que les barres rouges et verts représentent le nombre total d'actions qui ont changé ce jour-là, et tout le volume est appliqué à la tête si la population est allé à la veille de niveau de prix ou volume est rouge et appliquée à la baisse le prix abaissé ce jour-là.WCPS est un exemple de liquidité d'un stock, reportez-vous au tableau ci-dessous. Il y a un volume insuffisant de ce stock monter ou descendre et fournir de bons bénéfices commerciaux.  Illiquidité incline également tout indicateur qui pourrait s'appliquer aux actions et le manque de volume rend l'action du prix extrêmement volatils et peu fiables. Éviter les stocks qui ne sont pas liquides trading. Pour déterminer si la population dispose de liquidités suffisantes toujours étudier volume barre d'abord avant de vérifier tout autre indicateur.Membre de l'analyste de marché technique nominale AssociationMaster technique pour choix illimités, Inc.Instructor et développeur de sac TechniTrader discussion CoursesThis Stock et leçon de formation parrainé par TechniTrader.com © Décisions 2013 Unlimited, Inc.  Tous droits Reserved.TechniTrader est la marque déposée de fabrication Unlimited, Inc.AVERTISSEMENT : toutes les déclarations, si elle s'exprimer verbalement ou par écrit sont les opinions de TechniTrader et de leurs enseignants ou salariés et ne doit pas être interprété comme quelque chose de plus qu'une opinion. Étudiant / abonnés sont responsables de faire leurs propres choix et des décisions à l'égard de tous les achats ou les ventes d'actions ou de questions.  À aucun moment est toute action ou question dans aucune liste, écrit ou envoyé à un étudiant ou un abonné pour TechniTrader et ses employés d'être interprétée comme une recommandation d'acheter ou de vendre toute action ou question. TechniTrader n'est pas un courtier ou un conseiller en placements est strictement un service éducatif.

Friday, December 13, 2013

TechniTrader Weekly Stock Discussion: Linear Regression Lines

  In prior discussions TechniTrader Quiet Accumulation TTQA, TechniTrader Volume Accumulation TTVA, and TechniTrader Flow of Funds TTFF have been featured. Today the discussion is on Linear Regression Lines, a terrific Indicator that is seldom used. Next week the discussion will be on the best use of Relative Strength Index, Wilder's RSI.Looking at the Price chart window above for MCD, there are 2 blue Linear Regression Lines. As with all indicators that are single line indicators, combining two primaries or a subordinate indicator applied to the primary indicator, provides a superior analysis as well as speeding up the entire indicator analysis process.Linear Regression Lines do not average price. They are unlike Moving Averages which are a formula that adds up all of the data within a set time period and divides by the total of that day, for the simple moving average formula that creates the moving average line on the chart. The Linear Regression Lines are a straight line indicator.Moving Averages are the oldest of all of the stock indicators, and were used and are still used primarily to confirm that the trend is still intact, and were never designed to be leading indicators by themselves. Moving Averages are subordinate indicators, whether they are used with primary indicators or with candlesticks. Remember that candlesticks are an indicator for price.Linear Regression Lines are also a subordinate indicator but instead of smoothing price action, the Linear Regression Lines are a stark straight line from the current price back X number of days or periods of time, depending on what time frame you are using on your chart.The example above is for a daily chart. The Linear Regression Lines are set for an analysis of the intermediate term trend and the short term trend. This provides invaluable information for proper analysis of the trend.In the chart above, we can clearly and easily see that the intermediate term trend Linear Regression Line which is the longer of the two, is far beyond the peak of price on the chart in March when the downtrend started. What this warns is that this is heading toward a longer term trend for the downside action. The intermediate term downtrend has been underway for 7 months, which is getting close to the maximum normal length of an intermediate term correction of about 9 months average. If this were more than 12 months, then this would be a long term trend.The short term trend Linear Regression Line has tipped up with this recent bounce run. This means that the short term trend is patterning out the intermediate term downtrend extreme angles of descent, which slows the downtrend and lessons the speculative price impact on the trend. This regular interval of the short term trend moving in a contrarian action against the intermediate term trend, is what is sustaining the intermediate term downtrend. Without these occasional short term moves up, the intermediate term downtrend would be too steep to sustain and a V bottom would develop quickly. The short term trend is helping the downtrend continue. When the intermediate term Linear Regression Line starts to flatten and angle upward, then a bottom formation will have started. Linear Regression Lines are essential Indicators for Position and Swing Trading. For more information about stock indicators sign in to view our free video titled “Online Trading Tips” athttp://goo.gl/I9NvxbTrade wisely,Martha Stokes CMTMember of Market Technicians AssociationMaster Rated Technical Analyst for Decisions Unlimited, Inc.Instructor and Developer of TechniTrader® Stock Market CoursesFor additional training visit http://technitrader.comThis Stock Discussion and Training Lesson is sponsored by TechniTrader.comMetaStock® Partner©2013 Decisions Unlimited, Inc. dba TechniTrader® All Rights Reserved.Technitrader is the registered trademark of Decisions Unlimited, Inc.Disclaimer: All statements, whether expressed verbally or in writing are the opinions of TechniTrader and its instructors or employees, and are not to be construed as anything more than an opinion. Student/subscribers are responsible for making their own choices and decisions regarding all purchases or sales of stocks or issues. At no time is any stock or issue on any list written or sent to a student/subscriber by TechniTrader and its employees to be construed as a recommendation to buy or sell any stock or issue. TechniTrader is not a broker or an investment advisor it is strictly an educational service

Thursday, December 12, 2013

TechniTrader Weekly Stock Discussion: “Trading with Exchange Traded Funds ETFs”

 MetaStock® SPRS Series - Week 141 – October 18, 2013 - MetaStock Spatial Pattern Recognition Skills Series  written by Martha Stokes CMTNowadays, there are far more opportunities for making extra monthly trading in the stock market than ever before.  One hugely popular area is the Exchange Traded Funds ETFs.  This is a relatively new trading instrument that is a derivative. Just picking any ETF and trying to trade it is a great way to lose money. There are many different kinds of Exchange Traded Derivatives: ETFs are based upon an underlying group of stocks or group of funds that are held in a trust account long term.ETNs are based on different kinds of bonds or debt securities that are held in a trust account.ETCs can be either based on commodities futures contracts or currency contracts.Then there are the leveraged ETFs which are designed for very specific institutional needs that most retail traders do not understand. Any leveraged ETF is prone to sudden price shifts as these must be rebalanced from time to time to maintain the leverage aspect.The most popular and most commonly traded ETFs are also the oldest which are the SPY, DIA, and QQQ. These are based on a specific type of weighting formulation, and are often used for longer term investing. However there are also many different types of weighting used in different big index ETFs. Understanding which weighting is right for your trading or investing can make a substantial difference on your Return On Investment ROI.Learning to trade ETFs requires an understanding of the purpose, the type, and the issuer intent. It also requires learning whether it is suited for long term or short term trading, and whether it is leveraged or not.  In addition it is important to determine which market participants are using the ETF, their long term and short goals, and speculation.When an investor or trader takes the time to understand the controlling factors behind their action and how these derivatives are developed, created, and their purpose, it makes it far easier to choose the proper ones for your personal goals and trading parameters. Trading is not just about finding a stock or ETF to trade, it is also about understanding the market structure and market participant groups who are actively trading in that stock or ETF.By going beyond mere indicator or candlestick patterns, the retail investor or trader can dramatically improve their ROI and profitability regardless of their personal goals and trading preferences.  Always know what you are buying beyond mere chart patterns, otherwise you are trading blindly with a lack of knowledge that can cause substantial losses.For more information regarding investing and trading ETFs, sign in to consider taking the TechniTrader Online Course titled “(ETF) Exchange Traded Funds & Index Trading” at  http://goo.gl/kDy9lcMember of Market Technicians AssociationMaster Rated Technical Analyst for Decisions Unlimited, Inc.Instructor and Developer of TechniTrader Stock Market Courses©copyright 2013 Decisions Unlimited, Inc.  All Rights Reserved. TechniTrader is the Registered Trademark of Decisions Unlimited, Inc.Disclaimer: All statements, whether expressed verbally or in writing are the opinions of TechniTrader, its instructors and or employees, and are not to be construed as anything more than an opinion. Student/subscribers are responsible for making their own choices and decisions regarding all purchases or sales of stocks or issues. At no time is any stock or issue on any list written or sent to a student/subscriber by TechniTrader and its employees to be construed as a recommendation to buy or sell any stock or issue. TechniTrader is not a broker or an investment advisor, it is strictly an educational service.

Wednesday, December 11, 2013

TechniTrader Weekly Stock Discussion: “5 Tips for Higher Swing Trading Profits”

  MetaStock® SPRS Series - Week 142 – October 25, 2013 - MetaStock Spatial Pattern Recognition Skills Series written by Martha Stokes CMTSwing Trading is a very popular short term trading style used by retail traders and professional traders.It is far superior to Day Trading in every way, and here are 5 reasons why:Lower costs to set up and maintain your trading system and platform.Lower capital and experience requirements from online brokers.Less time needed to make significantly higher profits per month.Flexible work hours and less effort to manage open held stocks.Less stress and much more fun to do.Swing trading depends primarily on the analysis of the stock chart, and recognizing specific candlestick patterns that indicate a momentum or velocity price action is about to start.   In order to be highly successful at Swing Trading, you need to find the right price candlestick patterns on your stock charts that will be ideal Swing Trades.  Just picking any old stock, a recommended stock, or a stock in the news is NOT going to be the best method for choosing a Swing Trade stock pick.Here are 5 Tips on how to read a stock chart and decide if it is suitable for Swing Trading:REPETIVE CANDLESTICK PATTERNS that yield consistent Swing Trading runs that are profitable.  When you find a chart with candlestick patterns that repeat regularly, this gives you a means of anticipating AND recognizing a similar setup for the next Entry before the Swing Trade run begins.PRICE LEVELS are most important for Swing Traders.  Sure, any price level can have a momentum or velocity run, but for Swing Trading it is also about being in with the professional Swing Traders that track the Dark Pool giant lot funds managers.  By trading with the pros you have a significantly better profitability ratio and far more consistent runs. Lower priced stocks are generally the realm of smaller lot uninformed traders.  Extremely high priced stocks are the realm of retail day traders or options traders.FOLLOW THE GIANT FUNDS MONEY PLACEMENT. The giant Buy Side funds control trillions of dollars of mutual fund and pension fund investors.  The stocks they are buying are strong candidates for Swing Trading because these stocks have companies with improving fundamentals or expanding growth potential, or both.  By tracking the giant funds via TechniTrader Quiet Accumulation TTQA Indicator as example, retail traders know that this company has stronger fundamentals and is poised for growth.  A company that is growing will  have periodic momentum and velocity moves due to surprise Earnings, sudden great news, and High Frequency Trader HFT triggered buying activity.KNOW THE DIFFERENCE between a Momentum run and a Velocity run.  The Velocity run is faster moving, gaining more volume energy and buying speculation. This type of run requires a completely different trailing Profit Stop position to keep you in the stock while protecting profits, from the inevitable profit taking the professional traders will begin at some point. A Momentum run will last much longer but has rests frequently. The Stop Loss for a Momentum run needs to allow for the natural pausing, resting, and small indecisive price action days to keep you in the trade until the Momentum energy is exhausting.ENTRIES AND EXITS for Swing Trading must be precise, deliberate, and well planned.  Just jumping in because a stock has started to run is the best way to lose money on a Swing Trade. Using a pre calculated Entry that buys into strength instead of the traditional Limit Order so many retail traders use, is crucial to successful Swing Trading. Never buy into weakness using a Limit Order. Using a Limit Order is one of the most common reasons Swing Traders do not have consistent profitability.When you combine professional style Repetitive Patterns, Price Levels, Indicators, Stop Loss placement, Entries and Exits your Swing Trading will go to a whole new level of profitability.  It will be easier, more reliable and a lot of fun to do.Member of Market Technicians AssociationMaster Rated Technical Analyst for Decisions Unlimited, Inc.Instructor and Developer of TechniTrader Stock Market CoursesThis Stock Discussion and Training Lesson is sponsored by TechniTrader.com©2013 Decisions Unlimited, Inc.  All Rights Reserved.TechniTrader is the Registered Trademark of Decisions Unlimited, Inc.Disclaimer: All statements, whether expressed verbally or in writing are the opinions of TechniTrader and its instructors or employees, and are not to be construed as anything more than an opinion. Student/subscribers are responsible for making their own choices and decisions regarding all purchases or sales of stocks or issues.  At no time is any stock or issue on any list written or sent to a student/subscriber by TechniTrader and its employees to be construed as a recommendation to buy or sell any stock or issue. TechniTrader is not a broker or an investment advisor it is strictly an educational service.

Tuesday, December 10, 2013

TechniTrader Weekly Stock Discussion: “Breakout Pattern Analysis”

  MetaStock® SPRS Series - Week 143 – November 1, 2013 - MetaStock Spatial Pattern Recognition Skills Series written by Martha Stokes CMTAmerican Express Company AXP is the example of a Breakout pattern.  AXP has been stuck in a 7 point sideways pattern for several months. It recently broke out to the upside as its earnings report was better than expected.  Several aspects of the sideways pattern indicated that this was a stronger sideways pattern with upside potential.There are many types of sideways price action and identifying each is critical for successful investing and trading. This was not a true Trading Range because it was less than 10 points from peak to trough.Trading Ranges also tend to have inconsistent highs and lows with plenty of inter range lower peaks or higher lows. This makes trading range bound stocks much more difficult than many people believe.When a sideways pattern is less than 10 points wide from peak to trough, attempting to trade the range with a SAR, Stochastic, or other Trading Range strategy is substantially more difficult.  This is due to far greater risk because of the constant whipsaw action, long wicks and tails, and the inconsistent highs and lows of the range.However when a pattern forms very consistent highs and lows, and maintains a stable level even when High Frequency Traders enter the stock periodically, then more is going on than is often evident on the surface.One market participant is capable of controlling price within a consistent high and low range.  Their buying patterns maintain price within a narrower range than a true Trading Range pattern.When studying AXP it is evident that Dark Pools were involved in maintaining the neat, concise appearance of this sideways pattern.  This pattern is called a Platform pattern because it is building a base upon which the stock can move upward, with stronger support beneath it when it does move up.It is common for a stock that compresses as AXP did, to have a breakaway gap form.  The breakaway gap leaps over prior highs, establishing a new higher high for the stock.  The significance of this move is not just that the company had good earnings but also that the giant funds believe this company is going to continue to have strong growth moving forward.Most of the time retail traders make the mistake of trying to swing trade these platforms with mediocre to terrible results. The Platform pattern is seldom recognized for what it is, and is often mistaken for a Trading Range or wider sideways pattern. Being able to recognize the consistent highs and lows of the sideways pattern, can be hugely beneficial as the breakouts occur without much warning.  During a Platform pattern Bollinger Bands may not compress, Stochastic may show a floating pattern or an extreme oversold pattern. So instead of holding the stock to reap the profits of the breakout, the trader exits just before the stock forms a breakaway gap.Chart analysis requires an understanding of not only price but also which indicators should be used for the current market conditions, trading conditions, and the chart candlestick patterns.  Most short term trading losses are due to the following: Not being aware of the current Market ConditionNot recognizing compression patterns within a sideways patternUsing the wrong trading style for the chart patternUsing the wrong trading strategyBy increasing your ability to read charts and by using proper indicators, trading styles, and strategies your profitability will increase significantly.  In addition trading will be easier and much more fun to do.Member of Market Technicians AssociationMaster Rated Technical Analyst for Decisions Unlimited, Inc.Instructor and Developer of TechniTrader Stock Market CoursesThis Stock Discussion and Training Lesson is sponsored by TechniTrader.com©2013 Decisions Unlimited, Inc.  All Rights Reserved.TechniTrader is the Registered Trademark of Decisions Unlimited, Inc.Disclaimer: All statements, whether expressed verbally or in writing are the opinions of TechniTrader and its instructors or employees, and are not to be construed as anything more than an opinion. Student/subscribers are responsible for making their own choices and decisions regarding all purchases or sales of stocks or issues.  At no time is any stock or issue on any list written or sent to a student/subscriber by TechniTrader and its employees to be construed as a recommendation to buy or sell any stock or issue. TechniTrader is not a broker or an investment advisor it is strictly an educational service.

Friday, December 6, 2013

TechniTrader® Weekly Stock Discussion: “Platform Compressions Are Ideal Entries”

  Platform compressions are ideal entries for swing and momentum traders, and identifying these compression patterns early is most important.We are looking at SWIR today to study a relational technical analysis pattern.  This stock was under Dark Pool quiet accumulation which tends to form platforms. Dark Pools create this sideways pattern with controlled bracketed orders that buy incrementally over time.  The goal of the Dark Pools is not to disturb price. As they conclude their buying for that period, HFTs find out and can push price up with momentum as occurred in January on this chart. Prior to that move up, the candlesticks compressed. These platform compressions are ideal entries for swing and momentum traders.A compression is a tight consolidation rather than a wider platform. It doesn’t matter where the compression forms, at the low or high of the platform range, it often precedes a decisive breakout and run or gap. Then the stock resumes its sideways pattern as Dark Pools start buying at the next level.  Platform compressions are ideal entries that form at or near the end of the platform, and are often missed by retail traders.  Bollinger Bands can be used to assist in the identification of the compression. These expanding and contracting bands provide excellent analysis for sideways patterns. Entries must be made prior to the breakout due to the rising energy that develops as price compresses.  One aspect of Bollinger Bands to remember is that the center line for a strong compression will be equal distance from the outer bands.  In a strong compression, the center line on Bollinger Bands will move right through the center of the candlesticks.  If the center line is below or above, then the pattern is not as strong or indicative.Learning to identify compressions in platforms is a Spatial Pattern Recognition Skill that helps swing and momentum traders trade platform market conditions. Sideways markets occur 50-60% of the time and these are the market conditions that tend to have retail traders whipsawed out of trades constantly.Platform compressions are ideal entries so instead of attempting to trade the small runs in a platform, wait for the compression pattern, and enter before the stock runs or gaps with momentum.Using different techniques and strategies during a sideways market can help swing and momentum traders find more stocks to trade with much higher point gain potential.For information regarding trading styles sign in to access “Choosing a Trading Style” here: http://goo.gl/ki1UO4Member of Market Technicians AssociationMaster Rated Technical Analyst for Decisions Unlimited, Inc.Instructor and Developer of TechniTrader® Stock Market CoursesThis Stock Discussion and Training Lesson is sponsored by TechniTrader.com©2013 Decisions Unlimited, Inc. dba TechniTrader® All Rights Reserved.Disclaimer: All statements, whether expressed verbally or in writing are the opinions of TechniTrader® and its instructors or employees, and are not to be construed as anything more than an opinion. Student/subscribers are responsible for making their own choices and decisions regarding all purchases or sales of stocks or issues.  At no time is any stock or issue on any list written or sent to a student/subscriber by TechniTrader® and its employees to be construed as a recommendation to buy or sell any stock or issue. TechniTrader® is not a broker or an investment advisor it is strictly an educational service

TechniTrader Weekly Stock Discussion: “FDO Family Dollar Store Inc.”

 The huge advantages retail investors and traders have today that were unavailable a decade ago, are the new indicators that help track the Dark Pools and giant institutions who control over 80% of the market activity. Their investments in large caps ranges from 40-80%, and their investments in small caps can be as high as 99%.FDO currently has a 96.80% institutional ownership, which means that the mutual funds, pension funds, and sell side institutions own the majority of the outstanding shares of this stock. Their investing can be long term or it can be short term. Sell Side Institutions often buy stocks to hold in trusts for derivative instruments they create and issue such as ETFs.The advantage that retail investors and traders have nowadays, IF they learn to use modern indicators rather than outdated indicators such as MACD, Stochastic, and other old-style price indicators is the ability to see the technical patterns called negative divergences. A negative divergence occurs when a leading indicator moves in opposition to the price trend.This is an essential indicator created by TechniTrader to help students see negative divergences. This is vital information investors and traders need, because the most critical areas are tops and bottoms which can be difficult to see and consequently is where they lose money.Price indicators do not lead price because anytime you use a moving average based indicator, the price MUST move before the indicator can react and create the line direction. That means all indicators that are based on moving averages of price lag. Even an exponential moving average which places more importance on the current price over the older price, in the time set group of prices that are used in the moving average aka 10 days, 20 days still lags price. This has been a problem for decades that great indicator writers tried to eliminate.What has happened in recent years is a massive shift of how stocks are traded by the giant institutions. With this shift of market structure, the importance of volume indicators has escalated. Without the proper volume indicators, retail investors and traders are prone to chronic losses. This is due to the lagging qualities of price indicators.With volume indicators, especially indicators such as TechniTrader Volume Accumulation TTVA which is exposing large lot volume activity in relation to what price is doing, negative divergences are exposed early on before the stock collapses. This means that retail investors and traders can now see that the stock is at huge risk of a top or a correction, thus avoiding buying into a top.For additional information sign in to view a free webinar titled “Explorations: Beyond the Basics" at http://goo.gl/bhE7F3Trade wisely,Martha Stokes CMThttp://technitrader.comMember of Market Technicians AssociationMaster Rated Technical Analyst for Decisions Unlimited, Inc.Instructor and Developer of TechniTrader Stock Market Courses ©copyright 2013 Decisions Unlimited, Inc. All Rights Reserved. TechniTrader is the registered trademark of Decisions Unlimited, Inc.Disclaimer: All statements, whether expressed verbally or in writing are the opinions of TechniTrader, its instructors and or employees, and are not to be construed as anything more than an opinion. Student/subscribers are responsible for making their own choices and decisions regarding all purchases or sales of stocks or issues. At no time is any stock or issue on any list written or sent to a student/subscriber by TechniTrader and its employees to be construed as a recommendation to buy or sell any stock or issue. TechniTrader is not a broker or an investment advisor, it is strictly an educational service.

Thursday, December 5, 2013

The Option Premium Always Follows the Stock

  There has been a lot of interest in Options Trading again as new investors and traders have heard about Binary Options.  Unlike the high risk Binary Options, the traditional buy call or buy put simple option contract is regulated traded on US exchanges and is a low risk, low cost way to trade the stock market.To be successful at options trading, you need to learn how and why The Option Premium Always Follows the Stock.  The option contract price and the stock price are always linked and move in harmony.  When you understand the connection the option has to the stock, trading options becomes as easy and simple as buying a stock outright.  The difference is that the option contract is far less expensive, and often the risk of the option trade is much lower than the risk of the stock trade.What this means is there are two types of investors or traders who could use options trading instead of buying a stock directly.The investor or trader who has a small capital base.  When you have a small capital base which is less than $10,000.00, then you need to be particularly aware of risk, and be far more careful with your trading decisions and your choice of trading instruments.  A stock is a trading instrument, but so is a stock option. Using a stock option dramatically lowers your costs. For example, the stock below is trading at $73.63 and you think this is a good entry after a correction. You have only $4000.00 in your trading account so you can’t afford to buy even 100 shares because you would need $7363.00 to put on this trade.  Instead you can buy a call option at the money for only $1.43 per share for a total investment on 100 share contract of $143.00 at the money contract. This means you can trade this stock because the option contract is within your budget, and your risk is now only $143.00 rather than $3000.00 based on proper stop loss and buy entry prices.The investor or trader who has plenty of capital, but the proper stop loss placement is far too much risk.If you have plenty of capital to trade this stock, but when you study the actual entry price based on a professional bracketed order that protects from whipsaws and stocks that reverse suddenly, you find that the proper stop loss placement is far too much risk. You do not want to take this much risk but you really like the stock and are confident it is going to recover, and move back up based on strong indicators and strengthening fundamentals. To insure that the stock is going to continue to move up, that you are buying into strength, and are therefore avoiding the risk of a whipsaw the entry must be at $75.50 and the stop must be at $71.00. That is a 4.50 point risk or $4500.00 on your intended 1000 share purchase of this stock.Rather than buying the stock for $75.50 x 1000 = $75,500.00 which ties up a lot of capital that you have to trade and is a high risk trade, you could use an option to  leverage into the stock using an option you intend to exercise.  This means that for $1430.00 for 100 contracts, you have lowered your risk for this trade by $3070.00.  This is a huge difference in the risk of buying this stock. Exercising a stock option is as easy as buying a stock. When the stock moves up to your intended entry all you do is place an exercise order for your stock option, and immediately your broker will execute your option contract, pay for it out of your broker account and now you own this stock.  Your initial investment was low and your risk was lower, than if you had bought the stock outright.TechniTrader is the only company that teaches these techniques for trading options and exercising options.  When you use the stock chart to determine your entry, your stop loss, the risk of the trade, the potential profit of the trade, and the proper option chain it makes trading options simple, accurate, more profitable, and far less work than the out-of-date options strategies taught by other companies.  You do not need options indicators, you do not worry about implied volatility, or delta neutral. You don’t need to learn complicated, convoluted options strategies because The Option Premium Always Follows the Stock.All you need to do is to learn to read a stock chart, where to buy, how far the stock will move, where to place your stop loss, and the risk of trading the stock versus trading the option contract. You can trade options whether you have a small or large capital base and dramatically lower your risk of the trade.For additional information sign in to watch a free TechniTrader video titled “Options Essentials” at http://goo.gl/shPyCtMember of Market Technicians Association Master Rated Technical Analyst for Decisions Unlimited, Inc. Instructor and                                                          Developer of TechniTrader Stock Market Courses ©copyright 2013 Decisions Unlimited, Inc.  All Rights Reserved. TechniTrader is the registered trademark of Decisions Unlimited, Inc. Disclaimer: All statements, whether expressed verbally or in writing are the opinions of TechniTrader, its instructors and or employees, and are not to be construed as anything more than an opinion. Student/subscribers are responsible for making their own choices and decisions regarding all purchases or sales of stocks or issues. At no time is any stock or issue on any list written or sent to a student/subscriber by TechniTrader and its employees to be construed as a recommendation to buy or sell any stock or issue. TechniTrader is not a broker or an investment advisor, it is strictly an educational service.

TechniTrader Weekly Stock Discussion: “7 Things To Know About Trading IPO’s”

 MetaStock® SPRS Series - Week 144 – November 8, 2013 - MetaStock Spatial Pattern Recognition Skills Series written by Martha Stokes CMTThe Facebook IPO has left a nasty after taste for many retail investors and retail traders, who didn’t know what they needed to know about trading or investing in an IPO.Now with Twitter’s IPO the retail side of the market is shunning this debut.What makes a great IPO and what dooms other IPOs to failure?  Why is WAGE a spectacular IPO from 2012 which TechniTrader Students learned about even before it IPO’d?  Here are 7 things to know about trading or investing in an IPO, but no one ever tells you.Retail investors and retail traders are not the most important investors for a new IPO. Wealthy individuals are not the most important investors, nor are professional traders.  The Market Participant that truly matters in terms of the success of an IPO are the Giant and large Buy Side Institutions.To follow the Giant Buy Side institutions and to discover which IPO’s they are interested in, and which they are not buying is a simple matter of having the correct indicators that tell you when the Giants are buying. These indicators were written for our modern markets, whereas MACD, Stochastic, and other older indicators do not tell you this vital piece of information. The Institutional percentage ownership is important. Facebook had less than 2% institutional ownership in the first several months after it IPO’d, because the Giant funds shunned FB immediately and the collapse of the stock was due mostly to their lack of interest. A good IPO will have anywhere from 40-90% institutional ownership. This is because most smaller lot investors and smaller funds are afraid of investing in an IPO.  This is because they do not know what information is needed to make a proper assessment of a young firm, and they listen to gurus and recommendation services that are only trying to dump a lot of IPO stock quickly.Revenues and Income matter but a company can have a strong IPO even if it is not making a profit yet, IF it is showing that it can make a profit within a quarter or couple of quarters. Giant institutions are long term investors and they will buy into a young firm ahead of strong earnings reports. They can tell when a company has what it takes to succeed.  Find the Platforms.  Quiet accumulation is a very distinct pattern on charts. Candlesticks form in a blocky tight formation with consistent highs and lows. This is due to the specialized order that the Giant Funds use regularly on Dark Pools.  This specialized bracketed order is what keeps price in a Platform sideways pattern. This is a newer sideways pattern that first started showing up in charts less than a decade ago. It is a vital piece of chart analysis for retail investors and traders because it tells you if quiet accumulation is occurring.  Giant Buy Side institutions keep their investments very private and do not reveal their holdings until they are required to do so quarterly. Only on stock charts can you quickly see what they are buying ahead of the quarterly reports.Company management is important to a new firm. It doesn’t matter how big a company is but how well it is managed. Facebook had several issues including too many private investors, nearly 500.  Also there were too many private investors and insiders wanting to sell too early weakening the opinion of Facebook.  The CEO and Board of Directors can make or break an IPO.  It is not just the underwriter who must present the company.Shares offered at the Initial Public Offering. One of the biggest warning flags for Facebook was its enormous offering of shares.  It was far too huge an offering for a good, strong IPO. Most great IPOs that launch and run like LNKD, WAGE, and others had small outstanding shares. What this does is it creates a strong supply versus demand equation for the stock which keeps the stock moving upward.There are many simple ways to decide is an IPO is going to do well or not, but you won’t find this information in any commentary or guru recommendation.  Understanding the internal dynamics of the market is where the true information you need resides.For more information how to track the giant funds who use Dark Pools watch "Stock Indicators Online Training Video" at http://goo.gl/6NRQe9Member of Market Technicians AssociationMaster Rated Technical Analyst for Decisions Unlimited, Inc.Instructor and Developer of TechniTrader Stock Market CoursesThis Stock Discussion and Training Lesson is sponsored by TechniTrader.com©2013 Decisions Unlimited, Inc.  All Rights Reserved.TechniTrader is the Registered Trademark of Decisions Unlimited, Inc.Disclaimer: All statements, whether expressed verbally or in writing are the opinions of TechniTrader and its instructors or employees, and are not to be construed as anything more than an opinion. Student/subscribers are responsible for making their own choices and decisions regarding all purchases or sales of stocks or issues.  At no time is any stock or issue on any list written or sent to a student/subscriber by TechniTrader and its employees to be construed as a recommendation to buy or sell any stock or issue. TechniTrader is not a broker or an investment advisor it is strictly an educational service.

Sunday, December 1, 2013

Discussion de TechniTrader Stock hebdomadaire: « 7 choses que vous devez savoir sur le commerce de l'introduction en bourse »

MetaStock ® SPRS - semaine 144 - 8 novembre 2013 - configuration spatiale MetaStock reconnaissance compétences série écrite par Martha Stokes CMTL'IPO Facebook a laissé un vilain après goût à beaucoup de petits investisseurs et commerçants, qui ne savent pas ce qu'ils devaient connaître le commerce ou investir dans un placement initial.Maintenant avec les plus bas marché Twitter BPR côté rejette cette débuts. ce qui rend un grand Pape et lui condamne à d'autres offices de propriété intellectuelle à l'échec ?  Faire est salaire une IPO spectaculaire en 2012 que TechniTrader élèves ont appris plus haut avant même qu'ils avaient IPO ?   Voici 7 choses que vous devez connaître le commerce ou investir dans un placement initial, mais personne ne lui dit.Vente au détail et les investisseurs de détail sont les plus importants investisseurs pour un nouveau départ à sac. Particuliers fortunés sont les plus importants investisseurs, ni des traders professionnels.  Le participant du marché dont les questions sur le plan de la réussite d'une introduction en bourse sont vraiment les institutions de Institutions.To acheter géant grand côté suivent géant acheter côté pour savoir quel IPO sont intéressés et qu'ils achètent n'est pas simplement une question d'avoir les bons indicateurs qui vous achetant quand les géants. Ces indicateurs ont été rédigés pour nos marchés modernes, alors que le MACD, stochastique et autres indicateurs plus âgés ne vous dites pas cette information essentielle. Pourcentage de participation institutionnelle est important. Facebook avait moins de 2 % institutionnel dans les premiers mois après qu'il serait IPO, parce que la propriété fonds géant FB immédiatement et l'effondrement des actions a été principalement en raison de leur manque d'intérêt. Une bonne OPI aura n'importe où de 40 à 90 % propriété institutionnelle. C'est parce que la plupart des investisseurs des fonds beaucoup plus petits et plus petits ont peur d'investir dans une introduction en bourse.  C'est parce qu'ils ne savent pas quelle information est nécessaire pour effectuer une évaluation appropriée d'une jeune entreprise et d'écouter de la recommandation de gourous et de services qui tentent simplement de tirer sur un lot d'actions IPO rapidement.Revenu et question de revenu mais une entreprise peut avoir un pape fort même si ne pas réaliser un bénéfice, même si c'est de montrer qu'il peut faire un bénéfice dans une chambre ou deux ou trois trimestres. Les investisseurs à long terme des institutions géant et j'ai acheté dans une jeune entreprise en face des rapports forts gains. Ils peuvent dire quand une entreprise a tout ce dont vous avez besoin pour réussir.  Trouver les plateformes.  Accumulation tranquille est une très nette tendance dans les graphiques. Forme de lustres dans une formation de bloc avec constants hauts et des bas. C'est en raison de l'ordre spécialisée qui utilisent régulièrement les piscines sombre géante de fonds.  Ce supports spécialisés d'ordre, c'est ce qui maintient le prix à un côté du modèle de la plate-forme. Il s'agit d'une nouvelle facette qui ont commencé à apparaître dans les listes il y a moins de dix ans. C'est une pièce essentielle de l'analyse graphique pour les investisseurs particuliers et commerçants car il vous indique si c'est la production accumulation tranquille.  Côté géante acheter institutions garder leurs investissements très privé et ne divulguent leurs avoirs jusqu'à ce qu'ils sont obligés de le faire sur une base trimestrielle. Seulement dans les lettres de stock voir rapidement ce qu'ils achètent devant la reports.Company trimestriel gestion est importante pour une nouvelle société. N'importe comment grand une entreprise, mais qui est si bien géré. Facebook avait plusieurs problèmes, y compris les investisseurs privés nombreux, près de 500.  Il y avait aussi beaucoup d'investisseurs privés et les initiés désireux de vendre trop tôt avis affaiblissement de Facebook.  Le PDG et le Conseil d'administration peuvent faire ou défaire une introduction en bourse.  Il n'est pas seulement l'assureur doit être présenté à la société.Les actions offertes dans l'introduction en bourse. Un des plus grands indicateurs d'avertissement pour Facebook était leur stock énorme offrant.  C'était trop grande d'offrande à une introduction en bourse de bonne et forte. Grands offices de propriété intellectuelle plus jeter et en cours d'exécution LNKD, salaires et autres avaient des petites actions. Ce qu'il fait, c'est qu'il crée une forte source par rapport à l'équation de la demande d'actions qui tient le sac vers le haut.Il y a nombreux simple de décider des moyens est une QU'IPO fera bien ou pas, mais vous ne trouverez pas ces informations dans n'importe quel commentaire de recommandation ou de gourou.  Est de comprendre la dynamique interne du marché où les vraies informations vous avez besoin.Pour plus d'informations Comment suivre les fonds géants qui utilisent des piscines foncé montre « Indicateurs de Stock vidéo de formation en ligne » à l'analyste de marché technique nominale AssociationMaster technique de http://goo.gl/6NRQe9Member pour choix illimités, Inc.Instructor et développeur de sac TechniTrader discussion CoursesThis Stock et leçon de formation parrainé par TechniTrader.com © Décisions 2013 Unlimited, Inc.  Tous droits Reserved.TechniTrader est la marque déposée de fabrication Unlimited, Inc.AVERTISSEMENT : toutes les déclarations, si elle s'exprimer verbalement ou par écrit sont les opinions de TechniTrader et de leurs enseignants ou salariés et ne doit pas être interprété comme quelque chose de plus qu'une opinion. Étudiant / abonnés sont responsables de faire leurs propres choix et des décisions à l'égard de tous les achats ou les ventes d'actions ou de questions.  À aucun moment est toute action ou question dans aucune liste, écrit ou envoyé à un étudiant ou un abonné pour TechniTrader et ses employés d'être interprétée comme une recommandation d'acheter ou de vendre toute action ou question. TechniTrader n'est pas un courtier ou un conseiller en placements est strictement un service éducatif.

Saturday, November 30, 2013

TechniTrader Weekly Stock Discussion: “5 Tips for Higher Swing Trading Profits”

a MetaStock ® SPRS - semana 142 – 25 de octubre de 2013 - MetaStock espacial patrón de reconocimiento competencias serie escrita por Martha Stokes CMTSwing Trading es muy popular a corto plazo comercio estilo usado por operadores profesionales y comerciantes por menor.Es muy superior a Day Trading en todos los sentidos, y aquí hay 5 razones por qué: baje los costos para establecer y mantener su sistema comercial y la plataforma.Menor capital y experiencia requisitos de brokers online.Menos tiempo se necesita para hacer significativamente mayores ganancias al mes.Horarios de trabajo flexibles y menos esfuerzo para gestionar acciones abiertas llevada a cabo.Menos estrés y más divertido que hacer.Swing trading depende principalmente en el análisis del existencias gráfico y reconocer patrones específicos candelabro que indican una acción precio impulso o velocidad está a punto de comenzar.   Para ser exitoso en Swing Trading, necesitas encontrar el precio correcto candelero patrones en tus cartas stock que serán ideal Swing comercios.  Escogiendo cualquier acción antigua, una acción recomendada o una acción en la noticia no va a ser el mejor método para elegir elegir un stock de comercio Swing. Aquí están 5 consejos sobre cómo leer un balance gráfico y decidir si es conveniente para el Swing Trading:REPETIVE candelabro patrones que producen corridas Swing Trading consistentes que son rentables.  Cuando encuentras un gráfico con los patrones de vela que se repiten regularmente, esto le da un medio de anticipar y reconocer una configuración similar para la siguiente entrada antes de que comience la carrera de comercio Swing.Los niveles de precios son más importantes para los comerciantes de Swing.  Claro, cualquier nivel de precios puede tener un impulso o velocidad de correr, pero para Swing Trading trata también de ser con los comerciantes profesionales Swing que rastrear los gerentes oscuro piscina gigante muchos fondos.  Comerciando con los profesionales tiene un ratio de rentabilidad significativamente mejor y corre mucho más consistente. Acciones con precios inferiores suelen ser el Reino más pequeño muchos comerciantes desinformados.  Acciones con precios extremadamente altas son el Reino de comerciantes minoristas día u operadores de opciones.SIGA LA COLOCACIÓN DE DINERO DE FONDOS GIGANTE. Los fondos de lado comprar gigantes controlan billones de dólares en fondos mutuos y los inversionistas de fondos de pensiones.  Las poblaciones que están comprando son fuertes candidatos para Swing Trading porque estas poblaciones tienen empresas con fundamentos de mejorar o ampliar el potencial de crecimiento, o ambas cosas.  Mediante el seguimiento de los fondos gigantes vía TechniTrader tranquila acumulación TTQA indicador como ejemplo, comerciantes por menor saben que esta compañía tiene fundamentos más fuertes y está preparada para el crecimiento.  Una empresa en crecimiento tendrá periódico impulso y velocidad se mueve debido a la sorpresa ganancias, buenas noticias pronto, y alta frecuencia Trader HFT provocó actividad de compra.SABER la diferencia entre correr un impulso y una velocidad de funcionamiento.  La carrera de velocidad es más rápida movimiento, ganando más energía volumen y comprando la especulación. Este tipo de ejecución requiere una posición completamente diferente que se arrastra deja ganancias para mantenerle en la bolsa mientras protege la inevitable toma los comerciantes profesionales de ganancias ganancias, comenzará en algún momento. Un impulso ejecutar durará mucho más pero tiene silencios con frecuencia. El Stop Loss para ejecutar un impulso necesita permitir que la pausa natural, descansando, y días de acción de un pequeño precio indeciso para mantenerte en el comercio hasta la energía del impulso es agotador.ENTRADAS y salidas de Swing Trading debe ser precisa, deliberado y bien planeado.  Sólo saltando en porque un stock ha comenzado a correr es la mejor manera de perder dinero en un comercio de Swing. Utilizando un pre calculados entrada que compra en fuerza en vez de la orden de límite tradicional muchos comerciantes por menor usan, es crucial para Swing Trading exitoso. Nunca compre en debilidad mediante una orden de límite. Utilizar una orden limitada es uno de los más comunes razones Swing Traders no tienen rentabilidad constante.Cuando se combinan los patrones repetitivos de estilo profesional, los niveles de precios, indicadores, colocación de Stop Loss, entradas y salidas de su Swing Trading irá a un nuevo nivel de rentabilidad.  Será más fácil, más fiable y un montón de diversión a hacer.Miembro de técnicos AssociationMaster nominal técnico analista de mercado para decisiones ilimitado, Inc.Instructor y Desarrollador de TechniTrader bolsa CoursesThis Stock discusión y formación lección es patrocinado por TechniTrader.com© Decisiones 2013 Unlimited, Inc.  Todos los derechos Reserved.TechniTrader es el registrado marca de decisiones Unlimited, Inc.Descargo de responsabilidad: Todas las declaraciones, ya sea expresada verbalmente o por escrito son las opiniones de TechniTrader y sus profesores o empleados y no deben interpretarse como algo más que una opinión. Estudiante/los suscriptores son responsables de hacer sus propias elecciones y decisiones con respecto a todas las compras o ventas de acciones o temas.  En ningún momento es cualquier acción o tema en ninguna lista, escrito o enviado a un estudiante o suscriptor por TechniTrader y sus empleados a interpretarse como una recomendación para comprar o vender cualquier acción o asunto. TechniTrader no es un corredor o un asesor de inversiones es estrictamente un servicio educativo.

Thursday, November 28, 2013

TechniTrader Weekly Stock Discussion: “FDO Family Dollar Store Inc.”

a The huge advantages retail investors and traders have today that were unavailable a decade ago, are the new indicators that help track the Dark Pools and giant institutions who control over 80% of the market activity. Their investments in large caps ranges from 40-80%, and their investments in small caps can be as high as 99%.FDO currently has a 96.80% institutional ownership, which means that the mutual funds, pension funds, and sell side institutions own the majority of the outstanding shares of this stock. Their investing can be long term or it can be short term. Sell Side Institutions often buy stocks to hold in trusts for derivative instruments they create and issue such as ETFs.The advantage that retail investors and traders have nowadays, IF they learn to use modern indicators rather than outdated indicators such as MACD, Stochastic, and other old-style price indicators is the ability to see the technical patterns called negative divergences. A negative divergence occurs when a leading indicator moves in opposition to the price trend.This is an essential indicator created by TechniTrader to help students see negative divergences. This is vital information investors and traders need, because the most critical areas are tops and bottoms which can be difficult to see and consequently is where they lose money.Price indicators do not lead price because anytime you use a moving average based indicator, the price MUST move before the indicator can react and create the line direction. That means all indicators that are based on moving averages of price lag. Even an exponential moving average which places more importance on the current price over the older price, in the time set group of prices that are used in the moving average aka 10 days, 20 days still lags price. This has been a problem for decades that great indicator writers tried to eliminate.What has happened in recent years is a massive shift of how stocks are traded by the giant institutions. With this shift of market structure, the importance of volume indicators has escalated. Without the proper volume indicators, retail investors and traders are prone to chronic losses. This is due to the lagging qualities of price indicators.With volume indicators, especially indicators such as TechniTrader Volume Accumulation TTVA which is exposing large lot volume activity in relation to what price is doing, negative divergences are exposed early on before the stock collapses. This means that retail investors and traders can now see that the stock is at huge risk of a top or a correction, thus avoiding buying into a top.For additional information sign in to view a free webinar titled “Explorations: Beyond the Basics" at http://goo.gl/bhE7F3Trade wisely,Martha Stokes CMThttp://technitrader.comMember of Market Technicians AssociationMaster Rated Technical Analyst for Decisions Unlimited, Inc.Instructor and Developer of TechniTrader Stock Market Courses ©copyright 2013 Decisions Unlimited, Inc. All Rights Reserved. TechniTrader is the registered trademark of Decisions Unlimited, Inc.Disclaimer: All statements, whether expressed verbally or in writing are the opinions of TechniTrader, its instructors and or employees, and are not to be construed as anything more than an opinion. Student/subscribers are responsible for making their own choices and decisions regarding all purchases or sales of stocks or issues. At no time is any stock or issue on any list written or sent to a student/subscriber by TechniTrader and its employees to be construed as a recommendation to buy or sell any stock or issue. TechniTrader is not a broker or an investment advisor, it is strictly an educational service.

Monday, November 25, 2013

TechniTrader Weekly Stock Discussion: Linear Regression Lines

a In prior discussions TechniTrader Quiet Accumulation TTQA, TechniTrader Volume Accumulation TTVA, and TechniTrader Flow of Funds TTFF have been featured. Today the discussion is on Linear Regression Lines, a terrific Indicator that is seldom used. Next week the discussion will be on the best use of Relative Strength Index, Wilder's RSI.Looking at the Price chart window above for MCD, there are 2 blue Linear Regression Lines. As with all indicators that are single line indicators, combining two primaries or a subordinate indicator applied to the primary indicator, provides a superior analysis as well as speeding up the entire indicator analysis process.Linear Regression Lines do not average price. They are unlike Moving Averages which are a formula that adds up all of the data within a set time period and divides by the total of that day, for the simple moving average formula that creates the moving average line on the chart. The Linear Regression Lines are a straight line indicator.Moving Averages are the oldest of all of the stock indicators, and were used and are still used primarily to confirm that the trend is still intact, and were never designed to be leading indicators by themselves. Moving Averages are subordinate indicators, whether they are used with primary indicators or with candlesticks. Remember that candlesticks are an indicator for price.Linear Regression Lines are also a subordinate indicator but instead of smoothing price action, the Linear Regression Lines are a stark straight line from the current price back X number of days or periods of time, depending on what time frame you are using on your chart.The example above is for a daily chart. The Linear Regression Lines are set for an analysis of the intermediate term trend and the short term trend. This provides invaluable information for proper analysis of the trend.In the chart above, we can clearly and easily see that the intermediate term trend Linear Regression Line which is the longer of the two, is far beyond the peak of price on the chart in March when the downtrend started. What this warns is that this is heading toward a longer term trend for the downside action. The intermediate term downtrend has been underway for 7 months, which is getting close to the maximum normal length of an intermediate term correction of about 9 months average. If this were more than 12 months, then this would be a long term trend.The short term trend Linear Regression Line has tipped up with this recent bounce run. This means that the short term trend is patterning out the intermediate term downtrend extreme angles of descent, which slows the downtrend and lessons the speculative price impact on the trend. This regular interval of the short term trend moving in a contrarian action against the intermediate term trend, is what is sustaining the intermediate term downtrend. Without these occasional short term moves up, the intermediate term downtrend would be too steep to sustain and a V bottom would develop quickly. The short term trend is helping the downtrend continue. When the intermediate term Linear Regression Line starts to flatten and angle upward, then a bottom formation will have started. Linear Regression Lines are essential Indicators for Position and Swing Trading. For more information about stock indicators sign in to view our free video titled “Online Trading Tips” athttp://goo.gl/I9NvxbTrade wisely,Martha Stokes CMTMember of Market Technicians AssociationMaster Rated Technical Analyst for Decisions Unlimited, Inc.Instructor and Developer of TechniTrader® Stock Market CoursesFor additional training visit http://technitrader.comThis Stock Discussion and Training Lesson is sponsored by TechniTrader.comMetaStock® Partner©2013 Decisions Unlimited, Inc. dba TechniTrader® All Rights Reserved.Technitrader is the registered trademark of Decisions Unlimited, Inc.Disclaimer: All statements, whether expressed verbally or in writing are the opinions of TechniTrader and its instructors or employees, and are not to be construed as anything more than an opinion. Student/subscribers are responsible for making their own choices and decisions regarding all purchases or sales of stocks or issues. At no time is any stock or issue on any list written or sent to a student/subscriber by TechniTrader and its employees to be construed as a recommendation to buy or sell any stock or issue. TechniTrader is not a broker or an investment advisor it is strictly an educational service

Sunday, November 24, 2013

Discussion de TechniTrader Stock hebdomadaire: « Breakout Pattern Analysis »

MetaStock ® SPRS - semaine 143-01 novembre 2013 - configuration spatiale MetaStock reconnaissance compétences série écrite par Martha Stokes CMTAmerican Express Company AXP est l'exemple d'un schéma de déverrouillage.  AXP stagnante dans un motif latéral 7 points depuis plusieurs mois. Il a récemment battu la bouche comme son rapport bénéfice était supérieur aux prévisions.  Divers aspects du modèle latéral a indiqué qu'il s'agissait d'un modèle plus fort potentiels jambes sur le côté.Il existe plusieurs types de prix de l'action-côté et identification de chacun est essentielle pour le commerce et l'investissement réussi. Ce n'était pas une véritable gamme de Trading, parce qu'elle était inférieure à 10 points maximum par.Aussi, les gammes commerciales semblent avoir incompatible Maxima et minima avec beaucoup de pics de gamme inter faibles ou inférieurs. Ce qui rend la gamme commerciale requise des actions beaucoup plus difficiles que beaucoup de gens croient.Quand un motif latéral est large de la pointe par le biais de moins de 10 points, pour essayer de changer la gamme avec un SAR, stochastique, ou une autre plage de stratégie commerciale est nettement plus difficile.  C'est en raison du risque accru en raison de la scie de long action constante, longs filaments et queues et incompatibles hauts et bas de gamme.Cependant lorsqu'un motif de formes de minimum et maximum très cohérent et maintient stable même lorsque des commerçants de haut niveau de fréquence entrez périodiquement les actions, puis plusieurs qui se passe que c'est souvent évidente dans la surface.Un participant au marché est capable de contrôler les prix dans une constante de la gamme haute et basse.  Leurs habitudes d'achat garder le prix avec une marge plus étroite qu'un vrai modèle de la gamme commerciale.AXP dans l'étude, il est clair que foncés piscines participaient à garder l'aspect propre et concis de ce modèle sur les côtés.  Ce modèle est appelé une plate-forme modèle parce que c'est la construction d'une base sur laquelle le stock peut se déplacer vers le haut, avec l'appui plus fort lors du déplacement ci-dessous. Est commun pour un stock qui compresse comme AXP, d'avoir une forme de lacune séparatiste.  L'écart échappée saute sur des sommets plus tôt, établissant un nouveau record haut pour le stock.  L'importance de ce mouvement n'est pas seulement que la compagnie avait de bons profits, mais aussi les fonds géants que cette société va continuer d'avoir une croissance forte à l'avenir.La majorité des traders de temps le plus court font l'erreur d'essayer de balancer le commerce ces plates-formes avec des résultats médiocres à terrible. Le modèle du temps de la plate-forme rare est reconnu pour ce qu'il est et est souvent confondu avec une gamme de Trading ou un modèle plus large sur les côtés. Être capable de reconnaître les aléas constantes du motif sur les côtés, peut être extrêmement bénéfique que les épidémies surviennent sans beaucoup d'avertissement.  Au cours d'un modèle de plate-forme qui ne peut pas compresser à Bollinger bands, stochastiques peuvent montrer un dessin flottant ou un dessin de survente extrême. Donc au lieu de tenir le stock de récolter les bénéfices de la fuite, le commerçant sort juste avant les formes d'actions une lacune sécessionniste. Analyse nécessite une compréhension du prix non seulement mais aussi quels indicateurs devraient être utilisés pour les conditions actuelles du marché, les conditions de vente et les chandeliers de graphique.  Pertes commerciales à court terme sont en raison de ce qui suit : ne pas au courant du marché actuel ConditionNot reconnaissant des schémas de compression dans un style commercial mauvais sur le côté patternUsing pour la patternUsing de la table du mauvais commerce Alemaniaby augmente votre capacité à lire les lettres et le commerce au moyen des indicateurs appropriés, styles et stratégies de leur rentabilité augmentera de manière significative.  En outre au commerce sera plus facile et plus amusant à faire.Membre de l'analyste de marché technique nominale AssociationMaster technique pour choix illimités, Inc.Instructor et développeur de sac TechniTrader discussion CoursesThis Stock et leçon de formation parrainé par TechniTrader.com © Décisions 2013 Unlimited, Inc.  Tous droits Reserved.TechniTrader est la marque déposée de fabrication Unlimited, Inc.AVERTISSEMENT : toutes les déclarations, si elle s'exprimer verbalement ou par écrit sont les opinions de TechniTrader et de leurs enseignants ou salariés et ne doit pas être interprété comme quelque chose de plus qu'une opinion. Étudiant / abonnés sont responsables de faire leurs propres choix et des décisions à l'égard de tous les achats ou les ventes d'actions ou de questions.  À aucun moment est toute action ou question dans aucune liste, écrit ou envoyé à un étudiant ou un abonné pour TechniTrader et ses employés d'être interprétée comme une recommandation d'acheter ou de vendre toute action ou question. TechniTrader n'est pas un courtier ou un conseiller en placements est strictement un service éducatif.

Saturday, November 23, 2013

TechniTrader® Weekly Stock Discussion: “Platform Compressions Are Ideal Entries”

a Platform compressions are ideal entries for swing and momentum traders, and identifying these compression patterns early is most important.We are looking at SWIR today to study a relational technical analysis pattern.  This stock was under Dark Pool quiet accumulation which tends to form platforms. Dark Pools create this sideways pattern with controlled bracketed orders that buy incrementally over time.  The goal of the Dark Pools is not to disturb price. As they conclude their buying for that period, HFTs find out and can push price up with momentum as occurred in January on this chart. Prior to that move up, the candlesticks compressed. These platform compressions are ideal entries for swing and momentum traders.A compression is a tight consolidation rather than a wider platform. It doesn’t matter where the compression forms, at the low or high of the platform range, it often precedes a decisive breakout and run or gap. Then the stock resumes its sideways pattern as Dark Pools start buying at the next level.  Platform compressions are ideal entries that form at or near the end of the platform, and are often missed by retail traders.  Bollinger Bands can be used to assist in the identification of the compression. These expanding and contracting bands provide excellent analysis for sideways patterns. Entries must be made prior to the breakout due to the rising energy that develops as price compresses.  One aspect of Bollinger Bands to remember is that the center line for a strong compression will be equal distance from the outer bands.  In a strong compression, the center line on Bollinger Bands will move right through the center of the candlesticks.  If the center line is below or above, then the pattern is not as strong or indicative.Learning to identify compressions in platforms is a Spatial Pattern Recognition Skill that helps swing and momentum traders trade platform market conditions. Sideways markets occur 50-60% of the time and these are the market conditions that tend to have retail traders whipsawed out of trades constantly.Platform compressions are ideal entries so instead of attempting to trade the small runs in a platform, wait for the compression pattern, and enter before the stock runs or gaps with momentum.Using different techniques and strategies during a sideways market can help swing and momentum traders find more stocks to trade with much higher point gain potential.For information regarding trading styles sign in to access “Choosing a Trading Style” here: http://goo.gl/ki1UO4Member of Market Technicians AssociationMaster Rated Technical Analyst for Decisions Unlimited, Inc.Instructor and Developer of TechniTrader® Stock Market CoursesThis Stock Discussion and Training Lesson is sponsored by TechniTrader.com©2013 Decisions Unlimited, Inc. dba TechniTrader® All Rights Reserved.Disclaimer: All statements, whether expressed verbally or in writing are the opinions of TechniTrader® and its instructors or employees, and are not to be construed as anything more than an opinion. Student/subscribers are responsible for making their own choices and decisions regarding all purchases or sales of stocks or issues.  At no time is any stock or issue on any list written or sent to a student/subscriber by TechniTrader® and its employees to be construed as a recommendation to buy or sell any stock or issue. TechniTrader® is not a broker or an investment advisor it is strictly an educational service

TechniTrader Weekly Stock Discussion: “Trading with Exchange Traded Funds ETFs”

aMetaStock® SPRS Series - Week 141 – October 18, 2013 - MetaStock Spatial Pattern Recognition Skills Series  written by Martha Stokes CMTNowadays, there are far more opportunities for making extra monthly trading in the stock market than ever before.  One hugely popular area is the Exchange Traded Funds ETFs.  This is a relatively new trading instrument that is a derivative. Just picking any ETF and trying to trade it is a great way to lose money. There are many different kinds of Exchange Traded Derivatives: ETFs are based upon an underlying group of stocks or group of funds that are held in a trust account long term.ETNs are based on different kinds of bonds or debt securities that are held in a trust account.ETCs can be either based on commodities futures contracts or currency contracts.Then there are the leveraged ETFs which are designed for very specific institutional needs that most retail traders do not understand. Any leveraged ETF is prone to sudden price shifts as these must be rebalanced from time to time to maintain the leverage aspect.The most popular and most commonly traded ETFs are also the oldest which are the SPY, DIA, and QQQ. These are based on a specific type of weighting formulation, and are often used for longer term investing. However there are also many different types of weighting used in different big index ETFs. Understanding which weighting is right for your trading or investing can make a substantial difference on your Return On Investment ROI.Learning to trade ETFs requires an understanding of the purpose, the type, and the issuer intent. It also requires learning whether it is suited for long term or short term trading, and whether it is leveraged or not.  In addition it is important to determine which market participants are using the ETF, their long term and short goals, and speculation.When an investor or trader takes the time to understand the controlling factors behind their action and how these derivatives are developed, created, and their purpose, it makes it far easier to choose the proper ones for your personal goals and trading parameters. Trading is not just about finding a stock or ETF to trade, it is also about understanding the market structure and market participant groups who are actively trading in that stock or ETF.By going beyond mere indicator or candlestick patterns, the retail investor or trader can dramatically improve their ROI and profitability regardless of their personal goals and trading preferences.  Always know what you are buying beyond mere chart patterns, otherwise you are trading blindly with a lack of knowledge that can cause substantial losses.For more information regarding investing and trading ETFs, sign in to consider taking the TechniTrader Online Course titled “(ETF) Exchange Traded Funds & Index Trading” at  http://goo.gl/kDy9lcMember of Market Technicians AssociationMaster Rated Technical Analyst for Decisions Unlimited, Inc.Instructor and Developer of TechniTrader Stock Market Courses©copyright 2013 Decisions Unlimited, Inc.  All Rights Reserved. TechniTrader is the Registered Trademark of Decisions Unlimited, Inc.Disclaimer: All statements, whether expressed verbally or in writing are the opinions of TechniTrader, its instructors and or employees, and are not to be construed as anything more than an opinion. Student/subscribers are responsible for making their own choices and decisions regarding all purchases or sales of stocks or issues. At no time is any stock or issue on any list written or sent to a student/subscriber by TechniTrader and its employees to be construed as a recommendation to buy or sell any stock or issue. TechniTrader is not a broker or an investment advisor, it is strictly an educational service.

Friday, November 22, 2013

The Option Premium Always Follows the Stock

aThere has been a lot of interest in Options Trading again as new investors and traders have heard about Binary Options.  Unlike the high risk Binary Options, the traditional buy call or buy put simple option contract is regulated traded on US exchanges and is a low risk, low cost way to trade the stock market.To be successful at options trading, you need to learn how and why The Option Premium Always Follows the Stock.  The option contract price and the stock price are always linked and move in harmony.  When you understand the connection the option has to the stock, trading options becomes as easy and simple as buying a stock outright.  The difference is that the option contract is far less expensive, and often the risk of the option trade is much lower than the risk of the stock trade.What this means is there are two types of investors or traders who could use options trading instead of buying a stock directly.The investor or trader who has a small capital base.  When you have a small capital base which is less than $10,000.00, then you need to be particularly aware of risk, and be far more careful with your trading decisions and your choice of trading instruments.  A stock is a trading instrument, but so is a stock option. Using a stock option dramatically lowers your costs. For example, the stock below is trading at $73.63 and you think this is a good entry after a correction. You have only $4000.00 in your trading account so you can’t afford to buy even 100 shares because you would need $7363.00 to put on this trade.  Instead you can buy a call option at the money for only $1.43 per share for a total investment on 100 share contract of $143.00 at the money contract. This means you can trade this stock because the option contract is within your budget, and your risk is now only $143.00 rather than $3000.00 based on proper stop loss and buy entry prices.The investor or trader who has plenty of capital, but the proper stop loss placement is far too much risk.If you have plenty of capital to trade this stock, but when you study the actual entry price based on a professional bracketed order that protects from whipsaws and stocks that reverse suddenly, you find that the proper stop loss placement is far too much risk. You do not want to take this much risk but you really like the stock and are confident it is going to recover, and move back up based on strong indicators and strengthening fundamentals. To insure that the stock is going to continue to move up, that you are buying into strength, and are therefore avoiding the risk of a whipsaw the entry must be at $75.50 and the stop must be at $71.00. That is a 4.50 point risk or $4500.00 on your intended 1000 share purchase of this stock.Rather than buying the stock for $75.50 x 1000 = $75,500.00 which ties up a lot of capital that you have to trade and is a high risk trade, you could use an option to  leverage into the stock using an option you intend to exercise.  This means that for $1430.00 for 100 contracts, you have lowered your risk for this trade by $3070.00.  This is a huge difference in the risk of buying this stock. Exercising a stock option is as easy as buying a stock. When the stock moves up to your intended entry all you do is place an exercise order for your stock option, and immediately your broker will execute your option contract, pay for it out of your broker account and now you own this stock.  Your initial investment was low and your risk was lower, than if you had bought the stock outright.TechniTrader is the only company that teaches these techniques for trading options and exercising options.  When you use the stock chart to determine your entry, your stop loss, the risk of the trade, the potential profit of the trade, and the proper option chain it makes trading options simple, accurate, more profitable, and far less work than the out-of-date options strategies taught by other companies.  You do not need options indicators, you do not worry about implied volatility, or delta neutral. You don’t need to learn complicated, convoluted options strategies because The Option Premium Always Follows the Stock.All you need to do is to learn to read a stock chart, where to buy, how far the stock will move, where to place your stop loss, and the risk of trading the stock versus trading the option contract. You can trade options whether you have a small or large capital base and dramatically lower your risk of the trade.For additional information sign in to watch a free TechniTrader video titled “Options Essentials” at http://goo.gl/shPyCtMember of Market Technicians Association Master Rated Technical Analyst for Decisions Unlimited, Inc. Instructor and                                                          Developer of TechniTrader Stock Market Courses ©copyright 2013 Decisions Unlimited, Inc.  All Rights Reserved. TechniTrader is the registered trademark of Decisions Unlimited, Inc. Disclaimer: All statements, whether expressed verbally or in writing are the opinions of TechniTrader, its instructors and or employees, and are not to be construed as anything more than an opinion. Student/subscribers are responsible for making their own choices and decisions regarding all purchases or sales of stocks or issues. At no time is any stock or issue on any list written or sent to a student/subscriber by TechniTrader and its employees to be construed as a recommendation to buy or sell any stock or issue. TechniTrader is not a broker or an investment advisor, it is strictly an educational service.