There are two basic ways to approach trading. One is in term of trends. The other is in terms of ranges.In the former case one seeks to profit by capturing the directional moves (trends) which sometimes happen in the markets. The latter is based on the...
Topics: Chapter 4

Trading requires that there be some kind of mechanism by which one determines what actions to take, or indeed to take none. Since we are taking a trend trading approach, that means determining whether the market is trending or not, and in which...
Topics: Chapter 4

If you were to ask most market participants what drives prices and creates trends they would tell you it’s fundamentals. Later in this chapter we will go through an explanation of what fundamentals are for the various markets. As a starting point...
Topics: Chapter 4

Fundamental analysis can be applied in any market, though some are a bit more challenging than others. In fact, if you are use a top-down approach to stock market analysis, you could incorporate analysis of several other markets in to your outlook of a...
Topics: Chapter 4

On the surface, one could define technical analysis as the use of historical information to forecast the future. That is the classical definition, but things have started changing in recent years. Today technical analysis is viewed in terms of measuring..
Topics: Chapter 4