πŸ“‰ Wise Analyze πŸ“ˆ
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Top quality technical analysis for cryptoπŸ‘Œ
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How and When Do You Trade Fakeouts?

Firstly what is a fake out?β €
β €
It’s when price breaks out of a structure.

This in turn traps many retail traders and comes back into the structure to continue moving in the unanticipated direction like the chart above.β €
β €
Price broke beneath the trend line which indicates price is going down but then it broke back above the ascending trend line indicating price to go up.β €
β €
How would you trade a fake out?β €
β €
You wait for price to come back into the structure before entering a trade.

For example, the image above shows price came back above the ascending channel but then came back down to test the trendline, this is the optimal entry point.β €
β €
@WiseAnalyze #education #tradingfakeout
Supply and demand zones are areas/prices in the market where price is either heavily demanded or either in heavy excess.

A demand zone is created when the demand for a currency is high, meaning many people are looking to buy the asset.

The opposite goes for a supply zone, supply zones are prices in the market where the asset is NOT wanted so therefore people are selling it, forcing it to reverse at said supply zone.

@WiseAnalyze #education #supplyanddemand #zones
Confluence is the β€œassembly” or β€œcoming” together of things.

Traders use it as a fancy word that refers to having multiple reasons for taking a trade.

The more reasons you have to take a trade, the better.

And you gain extra bonus points if the reasons are unrelated.

@WiseAnalyze #education #confluence #strategy #tradingplan #candlesticks #chartpatterns
Volume in trading terms is simply the amount of lots that have been traded on a certain pair over a specified time period.

Volume will give you an idea of how many bulls and bears there are in the market and it will also give you an idea of who is in control.

This can be used to our advantage, if you have a setup that you’re unsure about, volume can tell you what everyone else is thinking.

Use volume wisely... remember NOT all traders make money so following the masses is sometimes not the best thing to do.

@WiseAnalyze #education #volume #markets
Find yourself constantly losing and don’t know why?
β €
The reasons listed above could be the downfall of your trading career and they can all be fixed.

Look back at your trades (in your trading plan), and try to figure out the pattern of error.

When you’ve done this fix it and never do it again.
β €
Seems simple enough right? WRONG!

Most people don’t have enough discipline to do this.

A successful trader needs rock solid discipline!
β €
Keep these points and add them to your NOT TO DO list.

@WiseAnalyze #education #emotions #riskmanagement #tradingplan #knowledge
How and When Do You Trade Fakeouts?

Firstly what is a fake out?β €
β €
It’s when price breaks out of a structure.

This in turn traps many retail traders and comes back into the structure to continue moving in the unanticipated direction like the chart above.β €
β €
Price broke beneath the trend line which indicates price is going down but then it broke back above the ascending trend line indicating price to go up.β €
β €
How would you trade a fake out?β €
β €
You wait for price to come back into the structure before entering a trade.

For example, the image above shows price came back above the ascending channel but then came back down to test the trendline, this is the optimal entry point.β €
β €
@WiseAnalyze #education #tradingfakeout
Engulfing candlesticks produce some extremely profitable trade setups, but do you know how to trade them correctly?

In order to your engulfing candlestick to be valid, it should engulf at least 2 candles, the more candles it engulfs the stronger it is!

When trading engulfing candlestick patterns, you always have to wait for the candle to close, if the candle does not close as an engulfing candle then it is not valid! (DON’T GET TRAPPED IN A TRADE)

@WiseAnalyze #education #engulfingcandlestick #patterns #knowledge
When price is trending, it’s best only to look for trades in the same direction as the trend.

For example, if price is trending upwards, only look for buy positions.

It’s simple, downtrends are made up of Lower Lows and Lower Highs where as uptrends are made up of Higher Highs and Higher Lows.

@WiseAnalyze #education #trend #priceaction #thetrendisyourfriend
Basic Candlestick Patterns.

Bullish / Bearish Engulfing

A very simple yet one of the most effective patterns.

Learn the basics first and things will fall in place automatically

@WiseAnalyze #education #candlesticks #bullishengulfing #bearishengulfing
Find yourself constantly losing and don’t know why?
β €
The reasons listed above could be the downfall of your trading career and they can all be fixed.

Look back at your trades (in your trading plan), and try to figure out the pattern of error.

When you’ve done this fix it and never do it again.
β €
Seems simple enough right? WRONG!

Most people don’t have enough discipline to do this.

A successful trader needs rock solid discipline!
β €
Keep these points and add them to your NOT TO DO list.

@WiseAnalyze #education #emotions #riskmanagement #tradingplan #knowledge