Directional Movement Index (DMI): Formula, Uses, and Trading Applications

The Directional Movement Index (DMI) is a technical indicator commonly used to confirm signals in trend-following strategies. Different sources may interpret the indicator in various ways. Internationally, the DMI often includes three components: +DI, -DI, and the Average Directional Index (ADX). In trading platforms, this full combination is often called the ADX. However, in some strategies, when the DMI is mentioned, it may refer specifically to the +DI and -DI lines only, excluding the ADX line.

This article compares the ADX and DMI indicators, explains the signals generated by the DMI, and explores how this tool can be applied in... Read full author’s opinion and review in blog of #LiteFinance https://www.litefinance.org/blog/for-beginners/best-technical-indicators/dmi-indicator/?utm_source=telegram&utm_medium=social&utm_campaign=post

Try Your Luck in Lucky Ticket Draw Exclusively for Taiwan

Dear clients,

LiteFinance launches Lucky Ticket Draw in Taiwan! Between 07.11.2024 and 07.02.2025, our clients from Taiwan will have a chance to win one of 19 amazing prizes:


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How to participate in the draw?


Deposit at least $500 in one payment.
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Receive one Lucky Ticket for... Read more https://www.litefinance.org/company/detail/news/105224/?utm_source=telegram&utm_medium=social&utm_campaign=post

Short-term Analysis for BTCUSD, XRPUSD, and ETHUSD for 07.11.2024

Dear readers,

I've prepared a short-term forecast for Bitcoin, Ripple, and Ethereum based on the Elliott wave analysis.



Highlights and key points


BTCUSD: The price has likely started rising within a bullish impulse. Consider long positions from the current level with Take Profit at 86,373.27.
XRPUSD: The price is growing within correction (B). Consider long positions with Take Profit at 0.591.
ETHUSD: The final part of the ascending wave X is expected to develop. Consider buying from the current level with Take Profit at 3,062.31.


Elliott Wave Analysis for Bitcoin



BTCUSD may have formed correction [4] as a triple zigzag (W)-(X)-(Y). A new... Read full author’s opinion and review in blog of #LiteFinance https://www.litefinance.org/blog/analysts-opinions/short-term-analysis-for-btcusd-xrpusd-and-ethusd-for-07112024/?utm_source=telegram&utm_medium=social&utm_campaign=post

Tangible Assets vs. Intangible Assets: How Do They Differ?

Can a business exist without any assets? Actually, no. Today, all kinds of enterprises possess various assets and simply can’t function properly without having some. An asset is traditionally determined as a valuable item, controlled or owned by an entity, person, or government, and it is expected to provide assessable benefit in the future. However, it can also be something that doesn’t have a physical embodiment, e.g., a resource or a strategy. That’s why all assets are subdivided into two major categories: tangible and intangible. 

Understanding the very essence of multiple kinds of assets can be a bit confusing, so... Read full author’s opinion and review in blog of #LiteFinance https://www.litefinance.org/blog/for-beginners/tangible-vs-intangible-assets/?utm_source=telegram&utm_medium=social&utm_campaign=post

Short-term Analysis for Oil, Gold, and EURUSD for 07.11.2024

I welcome my fellow traders! I have made a price forecast for the USCrude, XAUUSD, and EURUSD using a combination of margin zones methodology and technical analysis. Based on the market analysis, I suggest entry signals for intraday traders.

Yesterday, gold's short-term uptrend reversed.



Highlights and key points



USCrude: oil is testing the short-term downtrend's boundary 72.01 - 71.51 again.


XAUUSD: gold's short-term uptrend has reversed.


EURUSD: the euro is trading in a correction within the short-term downtrend.



Oil price forecast for today: USCrude analysis

Yesterday, oil tried to continue the short-term downtrend. However, the price has failed to reach... Read full author’s opinion and review in blog of #LiteFinance https://www.litefinance.org/blog/analysts-opinions/short-term-analysis-for-oil-gold-and-eurusd-for-07112024/?utm_source=telegram&utm_medium=social&utm_campaign=post

US Dollar Extends Gains Against Euro. Forecast as of 07.11.2024

Donald Trump's policies will likely accelerate inflation in the US and dampen economic growth outside the country. As a result, the Fed will likely have to adopt a more cautious approach with regard to interest rate cuts, whereas the ECB may stick to a more proactive stance. Let's discuss this topic and make a trading plan for the EURUSD pair.



Major takeaways


Fiscal stimulus and trade duties will fuel inflation in the US.
The Fed will be forced to pause rate cuts.
Markets are speculating about the parity of the euro to the US dollar.
Consider short trades on the... Read full author’s opinion and review in blog of #LiteFinance https://www.litefinance.org/blog/analysts-opinions/us-dollar-extends-gains-against-euro-forecast-as-of-07112024/?utm_source=telegram&utm_medium=social&utm_campaign=post

Pound Poised to Plunge Amid Economic Uncertainty. Forecast as of 07.11.2024

The BoE is faced with the challenge of making crucial decisions in the context of ongoing uncertainty. The budget proposed by the Labour Party and Trump's proposed protectionist policies are likely to influence inflation in the UK. Let's discuss these topics and make a trading plan for the GBPUSD pair.



Major takeaways


The repo rate would be 50 bps lower without Labour's budget.
UK inflation will accelerate to 3% in early 2025.
The Bank of England will be forced to act slowly.
The GBPUSD pair may drop to 1.27 and 1.25.


Weekly fundamental forecast for pound sterling

The Bank of... Read full author’s opinion and review in blog of #LiteFinance https://www.litefinance.org/blog/analysts-opinions/pound-poised-to-plunge-amid-economic-uncertainty-forecast-as-of-07112024/?utm_source=telegram&utm_medium=social&utm_campaign=post

Decoding Higher Highs and Lower Lows: Trading Basics

Understanding higher highs and lower lows is crucial for trend prediction in technical analysis and trading. These chart patterns help identify and use ongoing market movements in trading strategies.

This article will explain how to spot highs and lows in the world of trading, why they are key market indicators, and how to use them to improve your trading strategy. 



Key Takeaways



Higher Highs (HH) and Lower Lows (LL) help spot market trends.


Higher Lows (HL) signal a potential trend reversal to the upside when highs finish higher.


A Lower High concept (LH) indicates weakening buying pressure and a bearish trend.... Read full author’s opinion and review in blog of #LiteFinance https://www.litefinance.org/blog/for-beginners/technical-analysis/lower-highs-and-higher-lows/?utm_source=telegram&utm_medium=social&utm_campaign=post

Benefits of Forex Trading

Most investors in the modern market choose Forex trading to join the global financial world and start trading. It is also known by the initials FX, which stands for Foreign Exchange. This rapidly developing currency market is considered the most suitable for beginners in the trading world. Popular banks such as JP Morgan and UBS, as well as various financial institutions and Forex brokers, are the economic entities through which it's possible to buy and sell currency values such as US Dollars, Euros, etc.

The Foreign Exchange market allows trading of any type of securities in various currencies depending on... Read full author’s opinion and review in blog of #LiteFinance https://www.litefinance.org/blog/for-beginners/what-is-forex/forex-trading-benefits/?utm_source=telegram&utm_medium=social&utm_campaign=post

Short-term Analysis for BTCUSD, XRPUSD, and ETHUSD for 08.11.2024

Dear readers,

I've prepared a short-term forecast for Bitcoin, Ripple, and Ethereum based on the Elliott wave analysis.



Major Takeaways


BTCUSD: The price has likely started rising within a bullish impulse. Consider long positions from the current level with Take Profit at 86,373.27.
XRPUSD: The price is growing within correction (B). Consider long positions with Take Profit at 0.591.
ETHUSD: The final part of the ascending wave X is expected to develop. Consider buying from the current level with Take Profit at 3,062.31.


Elliott Wave Analysis for Bitcoin



BTCUSD may have formed correction [4] as a triple zigzag (W)-(X)-(Y). A new bullish wave... Read full author’s opinion and review in blog of #LiteFinance https://www.litefinance.org/blog/analysts-opinions/short-term-analysis-for-btcusd-xrpusd-and-ethusd-for-08112024/?utm_source=telegram&utm_medium=social&utm_campaign=post

Volume Weighted Average Price (VWAP)

The Volume-Weighted Average Price (VWAP) indicator is a great alternative to standard moving averages. Although moving averages are popular and widely available, forming the basis of many trading platforms and indicators such as Bollinger Bands, they have certain limitations. Moving averages calculate an average price based on time frames but do not take into account trading volumes, which can reduce accuracy.

The need to improve the accuracy of the analysis has led to the development of alternatives such as exponential and weighted averages (LWMA, WMA). This article reviews the VWAP definition, its pros and cons, and its practical application.



Major... Read full author’s opinion and review in blog of #LiteFinance https://www.litefinance.org/blog/for-beginners/best-technical-indicators/vwap-indicator-what-is-vwap-in-trading-and-how-to-use-it/?utm_source=telegram&utm_medium=social&utm_campaign=post

Short-term Analysis for Oil, Gold, and EURUSD for 08.11.2024

I welcome my fellow traders! I have made a price forecast for the USCrude, XAUUSD, and EURUSD using a combination of margin zones methodology and technical analysis. Based on the market analysis, I suggest entry signals for intraday traders.

Yesterday, the euro corrected within a short-term downtrend.



Highlights and key points



USCrude: oil is trying to reverse its short-term downtrend.


XAUUSD: gold is declining after hitting the resistance (A) 2706 - 2700 with the first target of 2674.


EURUSD: the euro has failed to pierce the resistance (A) 1.0805 - 1.0794 within a short-term downtrend.



Oil price forecast for today:... Read full author’s opinion and review in blog of #LiteFinance https://www.litefinance.org/blog/analysts-opinions/short-term-analysis-for-oil-gold-and-eurusd-for-08112024/?utm_source=telegram&utm_medium=social&utm_campaign=post

Trump Policies to Turn Against Strong US Dollar. Forecast as of 08.11.2024

The retreat of the Trump trade allowed EURUSD bulls to recover. The Republican has not yet taken office as US President. Furthermore, there is often a discrepancy between words and actions. Let's discuss these topics and make a trading plan.



Major Takeaways


Investors doubt Trump will fulfill his promises.
The Fed leaves the door open for a rate cut in December.
Markets are challenging the central bank.
The EURUSD pair may drop to 1.05.


Monthly US Dollar Fundamental Forecast

Donald Trump does not like to remain silent. During his first tenure as President of the United States, he was called... Read full author’s opinion and review in blog of #LiteFinance https://www.litefinance.org/blog/analysts-opinions/trump-policies-to-turn-against-strong-us-dollar-forecast-as-of-08112024/?utm_source=telegram&utm_medium=social&utm_campaign=post

Cardano (ADA) Price Prediction for 2024, 2025–2030 and Beyond

Cardano (ADA) has kept investor interest alive for several years, thanks to its regular innovations that enhance the network's operations. A significant milestone in the blockchain platform's development in 2024 was the Chang upgrade, aimed at bolstering decentralization and refining its governance structure. Such changes positively impact market sentiment as they give the platform additional benefits and allow the community to be more involved in project management. However, overall market trends remain uncertain, making short-term forecasting challenging.

Like many cryptocurrencies, Cardano constantly faces challenges related to the regulatory environment and competition in the blockchain market. Moreover, the coin's success depends... Read full author’s opinion and review in blog of #LiteFinance https://www.litefinance.org/blog/analysts-opinions/ada-price-prediction/?utm_source=telegram&utm_medium=social&utm_campaign=post

Zoom (ZM) Price Prediction for 2024 and Beyond

The Zoom stock is a popular financial instrument among investors and traders due to its high volatility and liquidity. The company is listed on the Nasdaq stock exchange, a major stock trading venue in the US. Recently, the company's stock has exhibited robust growth, followed by an equally rapid decline.

The ZM stock saw a surge in popularity in 2020, but investor interest has since waned. The stock is demonstrating growth in 2024, with an increase of approximately 23% in price between August and October. This article provides an analysis of the anticipated performance of ZM in the coming year... Read full author’s opinion and review in blog of #LiteFinance https://www.litefinance.org/blog/analysts-opinions/zoom-stock-price-prediction/?utm_source=telegram&utm_medium=social&utm_campaign=post

USDСAD: Elliott Wave Analysis and Forecast for 08.11.24 – 15.11.24

Major Takeaways


Main scenario: Once the correction ends, consider long positions above the level of 1.3624 with a target of 1.4100 – 1.4300. A buy signal: the price holds above 1.3624. Stop Loss: below 1.3600, Take Profit: 1.4100 – 1.4300.
Alternative scenario: Breakout and consolidation below the level of 1.3624 will allow the pair to continue declining to the levels of 1.3418 – 1.3205. A sell signal: the level of 1.3624 is broken to the downside. Stop Loss: above 1.3650, Take Profit: 1.3418 – 1.3205.


Main Scenario

Consider long positions above the level of 1.3624 with a target of 1.4100... Read full author’s opinion and review in blog of #LiteFinance https://www.litefinance.org/blog/analysts-opinions/usdsad-elliott-wave-analysis-and-forecast-for-081124-151124/?utm_source=telegram&utm_medium=social&utm_campaign=post

USDCHF: Elliott Wave Analysis and Forecast for 08.11.24 – 15.11.24

Major Takeaways


Main scenario: Consider short positions from corrections below the level of 0.8907 with a target of 0.8200 – 0.8000. A sell signal: the price holds below 0.8907. Stop Loss: above 0.8950, Take Profit: 0.8200 – 0.8000.
Alternative scenario: Breakout and consolidation above the level of 0.8907 will allow the pair to continue rising to the levels of 0.9044 – 0.9222. A buy signal: once the level of 0.8907 is broken to the upside. Stop Loss: below 0.8870, Take Profit: 0.9044 – 0.9222.


Main Scenario

Consider short positions from corrections below the level of 0.8907 with a target of... Read full author’s opinion and review in blog of #LiteFinance https://www.litefinance.org/blog/analysts-opinions/usdchf-elliott-wave-analysis-and-forecast-for-081124-151124/?utm_source=telegram&utm_medium=social&utm_campaign=post

EURUSD: Elliott Wave Analysis and Forecast for 08.11.24 – 15.11.24

Major Takeaways


Main scenario: Consider short positions from corrections below the level of 1.0946 with a target of 1.0605 – 1.0400. A sell signal: the price holds below 1.0946. Stop Loss: above 1.0980, Take Profit: 1.0605 – 1.0400.
Alternative scenario: Breakout and consolidation above the level of 1.0946 will allow the pair to continue rising to the levels of 1.1043 – 1.1210. A buy signal: the level of 1.0946 is broken to the upside. Stop Loss: below 1.0990, Take Profit: 1.1043 – 1.1210.


Main Scenario

Consider short positions from corrections below the level of 1.0946 with a target of 1.0605... Read full author’s opinion and review in blog of #LiteFinance https://www.litefinance.org/blog/analysts-opinions/eurusd-elliott-wave-analysis-and-forecast-for-081124-151124/?utm_source=telegram&utm_medium=social&utm_campaign=post

GBPUSD: Elliott Wave Analysis and Forecast for 08.11.24 – 15.11.24

Major Takeaways


Main scenario: Consider short positions from corrections below the level of 1.3113 with a target of 1.2240 – 1.1900. A sell signal: the price holds below 1.3113. Stop Loss: above 1.3150, Take Profit: 1.2240 – 1.1900.
Alternative scenario: Breakout and consolidation above the level of 1.3113 will allow the pair to continue rising to the levels of 1.3440 – 1.3800. A buy signal: the level of 1.3113 is broken to the upside. Stop Loss: below 1.3080, Take Profit: 1.3440 – 1.3800.


Main Scenario

Consider short positions from corrections below the level of 1.3113 with a target of 1.2240... Read full author’s opinion and review in blog of #LiteFinance https://www.litefinance.org/blog/analysts-opinions/gbpusd-elliott-wave-analysis-and-forecast-for-081124-151124/?utm_source=telegram&utm_medium=social&utm_campaign=post

USDJPY: Elliott Wave Analysis and Forecast for 08.11.24 – 15.11.24

Major Takeaways


Main scenario: Consider short positions from corrections below the level of 154.81 with a target of 138.08 – 131.25. A sell signal: the price holds below 154.81. Stop Loss: above 155.20, Take Profit: 138.08 – 131.25.
Alternative scenario: Breakout and consolidation above the level of 154.81 will allow the pair to continue rising to the levels of 156.74 – 161.70. A buy signal: the level of 154.81 is broken to the upside. Stop Loss: below 154.50, Take Profit: 156.74 – 161.70.


Main Scenario

Consider short positions from corrections below the level of 154.81 with a target of 138.08... Read full author’s opinion and review in blog of #LiteFinance https://www.litefinance.org/blog/analysts-opinions/usdjpy-elliott-wave-analysis-and-forecast-for-081124-151124/?utm_source=telegram&utm_medium=social&utm_campaign=post

Can the Aussie Balance Between Two Opposing Sides? Forecast as of 08.11.2024

Australia is between a rock and a hard place: the US is its most important military partner, while China remains the largest consumer market. A trading war between the two will not benefit the AUDUSD. Let’s discuss it and make a trading plan.



Major Takeaways 


Trump's trade retreat provides a boost to the Australian dollar.
A potential trade war may be less severe than anticipated.
Divergence in monetary policy supports the Australian dollar.
If AUD/USD falls below 0.662, it signals a selling opportunity.


Weekly Fundamental Forecast for Australian Dollar

“Buy the rumor, sell the fact.” This age-old principle has poured... Read full author’s opinion and review in blog of #LiteFinance https://www.litefinance.org/blog/analysts-opinions/can-the-aussie-balance-between-two-opposing-sides-forecast-as-of-08112024/?utm_source=telegram&utm_medium=social&utm_campaign=post