In today’s post I will be discussing the inverse head and shoulders pattern that recently formed in the USDCHF forex pair. This was on the daily chart and the breakout happened on the 1st of February 2021. I will give my opinion / insight on how I think traders out there might / could have traded it; hoping readers gain some insight from it. Let’s start.
Author: tradingsossos
In this post I’m going to explain the bare essentials that are necessary in a trading strategy. As part of a trading strategy you must, at the very least know: the markets you are trading, your trading time frame, entry reasons, risk of the trade and how you manage your trades. I’ll be discussing that next with the help of some examples. Let’s start.
In one of my previous posts, I wrote about how I want to practice becoming more patient and disciplined this year and beyond; not just in my trading, but also generally in my life. In that same post I mentioned how I would start by doubling down on practicing mindfulness. It is something I’ve been doing for some time, but I never really used the benefits that come with it. This post is about mindfulness and about how I’m currently using it to become more patient and disciplined.
In this post I will explain the ascending and descending triangle as chart patterns being used by many traders as part of their trading arsenal. These patterns are very popular in the realm of technical analysis and can be either of the continuation or reversal type as you will see shortly.
In 2021 I want to work harder on my patience and discipline. It has always been something that I’ve been good in some areas of my trading and not too great in others. I’ve also come to realize that patience and discipline is something worth working on all the time, not just in trading but also my life in general.
A written out trading plan is good. Having a written trading plan that you know has an edge is great. Having a written out trading plan with an edge which was backtested is even better. But will such a trading plan (written + backtested + proven edge) be enough to trade successfully?
The following is an excerpt from a chapter called Stick to your Guns from the book “Technical Analysis of Stock Trends” which was written by Robert D. Edwards and John Magee:
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The Symmetrical Triangle
In this post I will explain the symmetrical triangle as a chart pattern being used by many traders as part of their trading arsenal. This pattern is very popular in the realm of technical analysis and can be either of the continuation or reversal type as you will see shortly.
As traders markets will often frustrate us. This is normal and especially so in the beginning of a trader’s journey. If you stay in the game long enough and are serious about trading, you will eventually find ways on how to deal with them.
In this post I will cover the shooting and inverted hammer candlestick patterns (also known as pin bars to many traders). They are reversal candles, meaning they indicate that the prevailing market trend may come to an end. Before I go any further, if you are new to candlesticks, you can read about candlestick basics here.