The Dow Theory is a financial concept based on a set of ideas from Charles H. Dow‘s writings. Fundamentally, it states that a notable change between bull and bear trend in a stock market will occur when index confirm it. The trend that is recognized is considered valid when there is strong evidence supporting it. The theory states that if two indicators move in...
ZIGZAG Pattern is made up of 3 waves were Wave A has 5 impulse waves, Wave B has 3 corrective waves, and Wave C has 5 waves. Our main focus is riding Wave C once wave B finishes its retracements to fibonacci levels. Ideally, Wave A = Wave C. This means if Wave A made 20% move, Wave C should do the same.
This video tutorial discussion: • What is QE and QT? • Each impact to the stock market • The latest QT, how will the stock market into 2024? Dow Jones Futures & Its Minimum Fluctuation E-mini Dow Jones Futures 1.0 index point = $5.00 Code: YM Micro E-mini Dow Jones Futures 1.0 index point = $0.50 Code: MYM Disclaimer: • What presented here is...
In the video I review my trades on the DOW Jones Index for the session and talk through the setups, price action and reasoning for the trades. I also talk through the overall bias for the session and the missed opportunity from my sessions plan. Feel free to join in our live trading room....link in the signature below. ** If you like the content then take a look...
Prepping a market and having a defined directional bias coming into a trading session, is the key for a winning day. In the video I talk through a Live Trading session we had with our group and the reasons why we were bias short. I talk through the areas our traders hit sell entries and Where and Why I was happy to enter the market short once my ideal Price...
In this video I take a look at the psychology of a phase of Price Action that we traded in out Live Trading Room. I review the key price action that I am looking for to get involved in the action for a new momentum push up/down. Our aim in trading is always to enter a trade in the 'unknown' as traders start to realise they are on the wrong side of the...
ADA is showing one of the tenets of the DOW Theory. According to Dow, the market has three phases: 1) An accumulation phase 2) A public participation phase 3) A distribution phase The accumulation phase represents informed buying of the investors. The public participation phase is where the prices advance rapidly along with great news. In the distribution phase,...
Dow Jones Industrial Average is the oldest index in the world. The index always shows what is happening with the US economy - the largest economy in the world. Let's look at the chronology of important economic events since 1916: 1916 Lusitania - Sunk by German Submarine / Emergency Revenue Act - Includes Estate Tax 1917 US Formally Declares War on Germany 1918...
First I would like to say "Happy New Year" to all my followers and wish you good fortune in 2023. This chart shows yearly candles in the past 40 years for NASDAQ 100, S&P 500, and Dow Jones. In these charts, you can see yearly changes in 2022, 2009,2008, 2001, and 2000. To plan your investment strategies in 2023, you need to answer this question: What stage of...
Welcome to @TradingView , this is @Vestinda! We're excited to share with you our insights on the Dow Jones Theory and how it can benefit cryptocurrency traders. Dow Theory, also known as Dow Jones Theory, is a trading strategy developed by Charles Dow in the late 1800s. Charles Dow did not write any books during his lifetime, but he did co-found The Wall...
The Federal Reserve has been increasing interest rates for the past 9 months, causing a ripple effect throughout the financial world. In recent week, we have seen 3 major banks collapse as a direct result of the interest rate hikes, which has caused trouble in the financial world as well. As a trader, it's essential to understand how these events can affect your...
Hunstman is a chemical manufacturer whose earnings have plummeted over 85% compared to the first half of 2022. The chart is a prime example of a large head & shoulders pattern. Analysts expect its earning to remain depressed and the chart shows signs of Distribution over the past 2 years.
Just passing this cool info written by a guy called Ben Carlson. - Ben discusses the differences between probability and certainty: "There are two arguments I see on a regular basis that show up as a result of data overload: …because that’s never happened before. …because that’s what’s always happened before. -The problem with this line of thinking is that...
All index traders trade it... But do we know anything about The Dow Jones? I'm going to break down what it is, some interesting facts about the Index and what companies makes up the index. Save it because it's all you need for the Dow Jones. WHAT IS THE DOW JONES? The Dow Jones 30, or DJIA or "The Dow" is a stock market index that reflects the performance...
Historically, an inverted yield curve has been viewed as an indicator of a pending economic recession; hence the inversion of the yield curve might be perceived as a leading indicator. Once the yield curve is inverted, it may be several months before we see GPD contracting; and it is not guaranteed that we will see a sharp drop in GDP. First pane: You can see...
We are used to the fact that the world's most prominent investors are known for their outstanding deals, returns and stability of results over a long time horizon. Yes, all this is certainly a sign of excellence, but no investor has gained his popularity through books. The books he wrote. This man created his writings back in the 1930s and 1940s, but they still...
A buying strategy in a downtrend. How to identify buying opportunity in a downtrend? Not my preference to buy in a downtrend, but that does not mean we should avoid it when buying opportunity arises. Recognizing it is a downtrend, we keep our buy position short-term; as we are going against the trend. Discussion: Rules in constructing a downtrend parallel...
A very brief look at 5 of the most significant market crashes to date, using the Dow Jones Index. Content taken from various online sources. Great Crash 1929 Many factors likely contributed to the collapse of the stock market. Among the more prominent causes were the period of rampant speculation (those who had bought stocks on margin not only lost the value...