Seeking confluence is a central theme in technical analysis. High-quality trades enjoy confirmation from different analytical methods. Other than varying your trading tools, you can also look for confirmation from a higher time-frame. This is why multiple time-frames analysis is a popular method among swing traders. Using multiple time-frames in your market analysis is a […]
Three Black Crows Candlestick Pattern Trading Guide
Three Black Crows is a bearish candlestick pattern that you can identify quickly. This pattern does not form frequently, but they stand out visually. While the convention sees it a short setup, you’ll learn that this is not always the case. The Three Black Crows pattern is worth studying because it shows sustained bearish action. […]
Double Top and Bottom Trading With Bollinger Bands
Bollinger Bands is a versatile trading indicator that includes a volatility measure. It plots directly over price. Hence, it does not distract us from price action while offering a helpful benchmark. One way to use the Bollinger Bands effectively is to clarify chart patterns. As Bollinger Bands reflect market volatility, they are a good gauge […]
RSI Hidden Divergence Pullback Trading Guide
Divergence strategies? They are for trading reversals, right? Well, not always. In this article, we will focus on its clandestine sibling – the hidden divergence. This less-known occurrence sets the stage for continuation trades and not reversal trades. You can identify both regular and hidden divergences with most trading oscillators. Examples include MACD, Stochastics, and […]
Candlestick Patterns With A Moving Average
Candlestick patterns have little value without the right price action context. If you’ve been studying candlestick formations, you must have heard this principle many times over. You cannot trade patterns in a vacuum. But what do we mean by context? It is an overall technical assessment that encompasses: The market’s trend Support and resistance structure […]
Hikkake Trade Setup
Hikkake means to trap, trick, or ensnare. Dan Chesler discussed this candlestick trading setup in the Active Trader Magazine in April 2004 (“Trading False Moves with the Hikkake pattern”). Primarily, this price pattern seeks to identify inside bar breakouts and profit from their failures. An inside bar is a price bar that is entirely within the […]
