Following on from last week's article where I quoted Sir John Templeton as saying “tell me where there is the most pessimism and I will tell you where to invest”. That describes global equity markets now and more accurately the South African market. Most investors are bearish and pessimism is high. But that doesn't mean you should be buying every stock making 52-week lows or in bargain territo... ››› more
I'm sure you're thinking, WHAT!?
Normally when you hear of a bearish pattern, you'd expect a market to drop in price.
So how can I expect the JSE to rise?
Today I'm going to explain my unusual prediction on the JSE and how you can bank a 664% gain.
If you missed the gold prediction then you still have a chance to bank a 489% gain from the rise in gold - Go here.
... ››› more
A useful trend reversal pattern to use in forex trading is the triple top formation.
This pattern can indicate that a currency is about to take a hefty fall. Spot this fall and you're in line for a profit.
So what is a triple top formation? And how do you use it to put a short trade on?
Let's take a closer look…
What is a triple top?
The triple top formation combines other tre... ››› more
Trend continuation patterns are very useful tools to have in your forex strategy toolbox. If you spot one of these patterns emerging, there's a good chance the currency will resume its trend.
One of these trend continuation patterns is the pennant formation.
So what exactly is a pennant formation? And how can you use it to your forex trading advantage?
Let's take a closer look…
Wh... ››› more
When it comes to forex trading, there are a number of chart patterns that can yield good results.
One of these is the double top pattern. If you can spot one of these forming, you could be onto a winning short trade.
But remember, don't rush! There's a link between the length of time a pattern like this takes to develop and the significance of its formation. Patience is of the essence.
So... ››› more
When it comes to using trend reversal patterns to unearth opportunities to profit in the forex market, one of the most popular is the head and shoulders pattern.
If you spot a head and shoulders pattern emerging, you can use it to pinpoint a fall in a currency's price.
But to do that you need to understand the signals generated from it.
Read on to find out what you need to know about head... ››› more
Chart patterns, such as wedge patterns, can be great at identifying when a change in trend is afoot. By keeping an eye out for the formation of these patterns, you can get in at the start of a trend, maximising your profit potential. If you're looking to take advantage of the next fall in price, then a rising wedge can be very useful. Let's take a closer look at how to identify one of these…
W... ››› more
With the onset of a new year, it's a great time to have a look at the investment and trading principles you follow. If you're a short-term trader, your investment principles will be different to those of a long-term investor. With that in mind, read on to discover four short-term trading principles from a technical standpoint…
When it comes to your trading principles, you should review these a... ››› more
Many traders use engulfing patterns as part of their essential trading toolkit. They're actually really simple and they do exactly what the name suggests. They signal reversals. Let's delve a bit deeper into engulfing patterns…
You are best to use engulfing patterns on daily charts, Max Munroe in Forex Round Up explains…
An engulfing pattern is when the second candlestick entirely engulfs... ››› more
If you're a technical analysis enthusiast, you can use bearish patterns to tell you when it's time to sell. If you spot a bearish pattern in a share price graph of a share you own, chances are you'll sell. Read on to find out how you can use a rounding top to call a sell…
Bearish patterns fall into two categories – the trend reversal or the trend continuation, Gareth Stokes in Fear, Greed an... ››› more
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