A sentiment indicator is a graphical or numerical indicator designed to show how a group feels about the market or economy. Bearish sentiment damaged investor confidence that caused the stock market to have its worst December performance since 1931. The broad-based S&P 500 index fell 9.2% for the month, while the Dow Jones Industrial Index , comprising of 30 industrial bellwether companies, shed 8.7% over the period.
When you see an extreme in either or both, you can trade against these ex […]

Scalping requires a large deposit – To make the most from small, rapid trades, scalpers need to be able to freely access funds. Those who trade in this rapid way aim to scalp between 5 to 10 pips from each of their trades. This article provides an introduction to the basics of forex scalping. While this example uses stochastics, a range of other technical indicators such as Fibonacci retracements, MACD and RSI may also help. Learning how to be a forex scalper can be overwhelming for the inexper […]

Further, the functionality of the carry trade is straightforward and can produce regular cash flows. Trend reversals are often misconstrued as being retracements, which can lead to substantial capital loss. Frequently, a market pulls back before entering a rotational phase, effectively reducing a retracement trade’s profit potential. In trending markets, periodic ranges can be significant, requiring a large capital outlay to trade retracement strategies properly.

Limit Orders- a limit or […]