Michael Marcus is considered to be one of the first people who employed technical trading to their investment strategy. He is famous to have amassed a substantial amount of money relying on his support and resistance levels and trading at a ratio of about 1 to 15, 1 to 30. This means that even if he had 29 losing trades, the 30th would even his account.
Here are some his most noted quotes:
1) Being a successful trader also takes courage: the courage to try, the courage to fail, the courage to succeed, and the courage to keep on going when the going gets tough.
2) Perhaps the most important rule is to hold on to your winners and cut your losers. Both are equally important. If you don’t stay with your winners, you are not going to be able to pay for the losers.
3) I think the leading cause of financial disablement is the belief that you can rely on the experts to help you. Investing requires an intense personal involvement.
4) Every trader has strengths and weakness. Some are good holders of winners, but may hold their losers a little too long. Others may cut their winners a little short, but are quick to take their losses. As long as you stick to your own style, you get the good and bad in your own approach.
5) Mathematics is the supreme nostalgia of our time.
Saturday, December 30, 2017
Paul Tudor Jones Quotes
Paul Tudor Jones is considered one of the most successful traders. He is still on the stage running his fund and although he is not generating as big of a return as he used to in his prime, his wisdom remains one of the most profound and essential in the market.
Here are some of his memorable and valuable quotes on trading and investing:
1) The secret to being successful from a trading perspective is to have an indefatigable and an undying and unquenchable thirst for information and knowledge.
2) Macro-trading requires a high degree of skill, focus and repetition. Life events, such as birth, divorce, death of a loved one and other emotional highs and lows are obstacles to success in this specific field of finance.
3) I believe that great success is possible in any field - from music to mathematics to macro trading.
4) At the end of the day, the most important thing is how good are you at risk control.
5) Don’t be a hero. Don’t have an ego. Always question yourself and your ability. Don’t ever feel that you are very good. The second you do, you are dead.
6) Markets trend only about 15 percent of the time; the rest of the time they move sideways.
Here are some of his memorable and valuable quotes on trading and investing:
1) The secret to being successful from a trading perspective is to have an indefatigable and an undying and unquenchable thirst for information and knowledge.
2) Macro-trading requires a high degree of skill, focus and repetition. Life events, such as birth, divorce, death of a loved one and other emotional highs and lows are obstacles to success in this specific field of finance.
3) I believe that great success is possible in any field - from music to mathematics to macro trading.
4) At the end of the day, the most important thing is how good are you at risk control.
5) Don’t be a hero. Don’t have an ego. Always question yourself and your ability. Don’t ever feel that you are very good. The second you do, you are dead.
6) Markets trend only about 15 percent of the time; the rest of the time they move sideways.
USD/JPY Depreciates
USD/JPY has been trading to the downside for the past week as the pair posted minor losses going from 113.60 to 112.45. The pair appears to still be going into the downside as the medium term sentiment remains bearish.
As the last trading day of the year closed yesterday, price would open at 112.65 to start the new year. Short-term sentiment is bullish with first bull target at level gravitating towards the double top at 113.60. If that level is taken out, USD bulls will try and push price to 114.70.
Above that the medium term trend would be changed from bearish to bullish. However, if the current sentiment continues to drive the price South, we should see the bear push the price towards major short-term goal at 110.80.
Chart: USD/JPY H4
As the last trading day of the year closed yesterday, price would open at 112.65 to start the new year. Short-term sentiment is bullish with first bull target at level gravitating towards the double top at 113.60. If that level is taken out, USD bulls will try and push price to 114.70.
Above that the medium term trend would be changed from bearish to bullish. However, if the current sentiment continues to drive the price South, we should see the bear push the price towards major short-term goal at 110.80.
Chart: USD/JPY H4
Thursday, December 28, 2017
Gold Approaching Resistance
After the significant EUR/USD move to the upside, Gold was the asset that also gained in value in face of a depreciating US dollar. The precious metal is now trading at $1,294, up from $1,236 just two weeks ago.
The increased interest in the safe haven is due to the uncertain economic condition in the US and the latest interest rate. Gold is now faced with the opposition at the psychological level of $1,300 where a lot of Gold bears would jump in attempt to bring the price down. First bear target is seen at $1,275, second - $1,250 and third - $1,235.
If bulls are able to break through resistance we might see Gold shining again with new strength. Major bull target is expected at $1,300 which would then act as major support level.
Chart: XAU/USD H4
The increased interest in the safe haven is due to the uncertain economic condition in the US and the latest interest rate. Gold is now faced with the opposition at the psychological level of $1,300 where a lot of Gold bears would jump in attempt to bring the price down. First bear target is seen at $1,275, second - $1,250 and third - $1,235.
If bulls are able to break through resistance we might see Gold shining again with new strength. Major bull target is expected at $1,300 which would then act as major support level.
Chart: XAU/USD H4
EUR/USD Close To Double Top
The EUR/USD pair is now trading close to double top. The Euro made a strong comeback this year as it went as low as 1.05 and slowly but surely made its way to highs around 1.20. The pair is currently trading at 1.1950 and it appears that it's ready to move further up.
If it reaches 1.1965 this would create a double top and potentially there is a chance that the trend would turn around. However, if the trend persists to the upside due to increased buying momentum, we are to see a break above the double top resistance and a continuation of the upward move.
First bull target is seen at 1.1965, if this is taken over, second bull target is the level at 1.2050 and third bull target is seen at 1.2150. On the other hand, weak buying pressure could expose the pair to uncertain times. First bear target is seen at 1.1730, second bear target is seen at 1.1640 and third bear target rests at 1.1550.
Chart: EUR/USD H4
If it reaches 1.1965 this would create a double top and potentially there is a chance that the trend would turn around. However, if the trend persists to the upside due to increased buying momentum, we are to see a break above the double top resistance and a continuation of the upward move.
First bull target is seen at 1.1965, if this is taken over, second bull target is the level at 1.2050 and third bull target is seen at 1.2150. On the other hand, weak buying pressure could expose the pair to uncertain times. First bear target is seen at 1.1730, second bear target is seen at 1.1640 and third bear target rests at 1.1550.
Chart: EUR/USD H4
Friday, December 22, 2017
ActivTrader Platform
Many traders from all levels experience difficulty trying to find a suitable platform that can match their expectations. Traders should spend a good amount of time researching into platforms so they could make a rational choice which one to pick and why.
This is why ActivTrades has taken care of all traders' needs by providing all-in-one solution with their ActivTrader Platform. It is available for desktop and mobile. East to use platform with wide range of instruments accompanied by advanced charting and many tools to boost your trading experience.
You can open a new account or try a demo for free so you could familiarize yourself with any detail and research into the opportunities the platform present. For all interested, click HERE.
This is why ActivTrades has taken care of all traders' needs by providing all-in-one solution with their ActivTrader Platform. It is available for desktop and mobile. East to use platform with wide range of instruments accompanied by advanced charting and many tools to boost your trading experience.
You can open a new account or try a demo for free so you could familiarize yourself with any detail and research into the opportunities the platform present. For all interested, click HERE.
NZD/CAD Posts New Losses
NZD/CAD is down to 0.8901 in today's trading session after the Canadian dollar posts some gains on relatively bearish news regarding the Canadian economy. Core PMI data released yesterday showed -0.1% missing expectations at 0.3%. However, Core Retail Sales turned out to be double than expected at 0.8%.
The Canadian dollar posted gains against all competitors yesterday and transferred the rally to today. However, in the last few hours CAD has been looking relatively weak and losing some grounds against its peers.
Currently, NZD/CAD is standing at 0.8925, slightly higher than its lowest point earlier today. If the pair continues on the downfall, we could be looking at 0.87 as a major support for short term horizon and 0.8640 as a major support on the medium term horizon.
Chart: NZD/CAD H4
The Canadian dollar posted gains against all competitors yesterday and transferred the rally to today. However, in the last few hours CAD has been looking relatively weak and losing some grounds against its peers.
Currently, NZD/CAD is standing at 0.8925, slightly higher than its lowest point earlier today. If the pair continues on the downfall, we could be looking at 0.87 as a major support for short term horizon and 0.8640 as a major support on the medium term horizon.
Chart: NZD/CAD H4
Thursday, December 21, 2017
Gold Higher
Gold has been trading to the upside for the last couple of weeks. Price reached a low of $1,236 on 12th Dec and has been on the upside since then reaching a high of $1,268. Current market price is $1,263, slightly lower than the highest high but still showing signs of strength.
As the US dollar is depreciating, market participants flock to safety into the precious metal. Bulls' first target is seen at $1,275 which would break the support turned resistance and would suggest that Gold is ready to push higher to the psychological $1,300 level.
On the other hand, gold bears could try and bring the price to a double bottom level at $1,235 and possibly even lower if the US dollar stabilizes.
The remainder of the year is expected to present a calm trading environment as market participants will most likely trade lighter volumes in exchange to more time spent with family and loved ones during Christmas time.
Chart: XAU/USD H4
As the US dollar is depreciating, market participants flock to safety into the precious metal. Bulls' first target is seen at $1,275 which would break the support turned resistance and would suggest that Gold is ready to push higher to the psychological $1,300 level.
On the other hand, gold bears could try and bring the price to a double bottom level at $1,235 and possibly even lower if the US dollar stabilizes.
The remainder of the year is expected to present a calm trading environment as market participants will most likely trade lighter volumes in exchange to more time spent with family and loved ones during Christmas time.
Chart: XAU/USD H4
USD/CHF Consolidated
The USD/CHF pair is trading in consolidation for the past couple of week. The price has experienced somewhat of a congestion in the range of 0.9900 and 0.9820. Main trend on the short term scale is neutral as the pair is trading sideways.
Market participants would need a market shaker that could stimulate both sides to take action and this would break the range trading. Bulls are now trying to outrun as price has made some attempts in the last few hours to post fresh gains going from 0.9832 to current market price of 0.9887.
If bulls could go above 0.99 this could further ignite buying power and push the price higher to parity. On the other hand, bears are dominating the mid-term horizon as price is now out of the upwards trending channel and currently looking to form a new one.
Chart: USD/CHF H4
Market participants would need a market shaker that could stimulate both sides to take action and this would break the range trading. Bulls are now trying to outrun as price has made some attempts in the last few hours to post fresh gains going from 0.9832 to current market price of 0.9887.
If bulls could go above 0.99 this could further ignite buying power and push the price higher to parity. On the other hand, bears are dominating the mid-term horizon as price is now out of the upwards trending channel and currently looking to form a new one.
Chart: USD/CHF H4
Wednesday, December 20, 2017
NZD/CAD Correction
The NZD/CAD pair has been moving steadily to the upside for the past couple of weeks going from 0.8680 to a high above 0.90. Currently, price is a bit lower trading at 0.89710. If the correction is sustainable this could take the pair to first level of support at 0.8900.
Second support level is seen at 0.8808. The latest top almost made a double bottom before retracing in the opposite direction as bears were eager to short the pair. Major bear target is now seen at 0.8700.
On the other hand, if bulls can take the pair to a new high we could be looking at a continuation of the bullish movement that started at 0.8680. First bull target would be to take out the resistance in the face of 0.9030, second target would be a break of 0.91.
Chart:NZD/CAD H4
Second support level is seen at 0.8808. The latest top almost made a double bottom before retracing in the opposite direction as bears were eager to short the pair. Major bear target is now seen at 0.8700.
On the other hand, if bulls can take the pair to a new high we could be looking at a continuation of the bullish movement that started at 0.8680. First bull target would be to take out the resistance in the face of 0.9030, second target would be a break of 0.91.
Chart:NZD/CAD H4
Friday, December 15, 2017
Jesse Livermore Quotes
Jesse Livermore, also known as the Boy Plunger, is famous as being one of the most successful traders and speculators. He netter a profit of 100 million in the 1929 stock market crash. His discoveries about the market are still regarded as one of the best.
Here are some of his best lines on trading, speculation and investing:
1. “After spending many years in Wall Street and after making and losing millions of dollars I want to tell you this: It never was my thinking that made the big money for me. It always was my sitting. Got that? My sitting tight!”
2. “Experience has proved to me that real money made in speculating has been in commitments in a stock or commodity showing a profit right from the start.”
3. “It is literally true that millions come easier to a trader after he knows how to trade, than hundreds did in the days of his ignorance.”
4. “The market does not beat them. They beat themselves, because though they have brains they cannot sit tight.”
5. “I never hesitate to tell a man that I am bullish or bearish. But I do not tell people to buy or sell any particular stock. In a bear market all stocks go down and in a bull market they go up.”
Thursday, December 14, 2017
Gold Up on Weak Dollar
Gold is trading sharply to the upside since yesterday's announcement by the Fed to raise the interest rate. The precious metal reacted bullishly to the news as traders and investor flew to it as a safen haven in light of the depreciating US dollar.
Lately, Gold has been losing ground making new bottoms and exiting trading channels thus making it hard for investors to find a good long entry point. The latest depreciation in Gold could still not be over. Yesterday's price boost sent Gold to $1,259 from a low of $1,235.
The upward move in Gold does not appear to be sustainable and the trend may soon continue on its way down. It's important to have clearly defined entry and exit points before entering into the Gold market in such an uncertain trading environment.
Chart: XAU/USD H4
Lately, Gold has been losing ground making new bottoms and exiting trading channels thus making it hard for investors to find a good long entry point. The latest depreciation in Gold could still not be over. Yesterday's price boost sent Gold to $1,259 from a low of $1,235.
The upward move in Gold does not appear to be sustainable and the trend may soon continue on its way down. It's important to have clearly defined entry and exit points before entering into the Gold market in such an uncertain trading environment.
Chart: XAU/USD H4
EUR/USD Up Despite Rate Raise
The FED raised the interest rate from 1.25% to 1.50% yesterday during the press conference. Oddly, however, the market reaction was to sell the US dollar, which could be counter as a classic buy the rumor sell the news scenario.
EUR/USD went up quite sharply after the announcement as the initial reaction was a move from 1.1760 to a high of 1.1845. The pair is still trading to the upside, although somehow lower with current market price at 1.1825.
Main trend on the short term remains neutral with sideways trading between 1.19 and 1.17. Major medium term resistance is seen at the 1.1950 level and medium term support is seen at the 1.15 level.
Today we have the ECB interest rate decision expected to remain unchanged and later we are to hear Mario Draghi speak on current economic conditions and future outlook for the EU.
Chart: EUR/USD H4
EUR/USD went up quite sharply after the announcement as the initial reaction was a move from 1.1760 to a high of 1.1845. The pair is still trading to the upside, although somehow lower with current market price at 1.1825.
Main trend on the short term remains neutral with sideways trading between 1.19 and 1.17. Major medium term resistance is seen at the 1.1950 level and medium term support is seen at the 1.15 level.
Today we have the ECB interest rate decision expected to remain unchanged and later we are to hear Mario Draghi speak on current economic conditions and future outlook for the EU.
Chart: EUR/USD H4
Wednesday, December 13, 2017
USD/CAD Consolidates
USD/CAD has consolidated around the level 1.2860. The pair has been trading to the upside lately as the USD made some gains against major competitors, EUR included. USD/CAD however has gotten into congestion point just a few points below the short-term resistance.
As short-term resistance stands at 1.2910, USD bears might prepare another run towards their goal and if successful, they might even go for medium term resistance at 1.3160.
On the other hand, bears could try and bring the price down which would be highly unlikely to happen before the FED release.
FED is preparing to release their latest decision on Interest Rates and the market is already expecting .25% raise from 1.25% to 1.50%. They have mentioned multiple times that they do not want this to be a surprise for the market but still heavy volatility is to be expected today evening 19:30 GMT.
Chart: USD/CAD H4
As short-term resistance stands at 1.2910, USD bears might prepare another run towards their goal and if successful, they might even go for medium term resistance at 1.3160.
On the other hand, bears could try and bring the price down which would be highly unlikely to happen before the FED release.
FED is preparing to release their latest decision on Interest Rates and the market is already expecting .25% raise from 1.25% to 1.50%. They have mentioned multiple times that they do not want this to be a surprise for the market but still heavy volatility is to be expected today evening 19:30 GMT.
Chart: USD/CAD H4
EUR/NZD Touches Support
EUR/NZD has been trading to the downside for the past couple of weeks. The pair reached a low of 1.6890 from a high of 1.7480. Main trend on the short-term remains bearish until we can get a strong support reaction from market participants at current market price.
The trend has halted for now until we see if the support would be strong enough and turn the trend to the upside. So far the bulls are managing to withstand the blows of the bears and the price has fluctuated between 1.6940 and 1.6890.
If we get below 1.6890 and see a close then this would be a strong indicator that price has breached support and is ready to continue to the downside. For the moment, however, it is best to wait it out and see what price does before taking any positions.
Chart: EUR/NZD H4
The trend has halted for now until we see if the support would be strong enough and turn the trend to the upside. So far the bulls are managing to withstand the blows of the bears and the price has fluctuated between 1.6940 and 1.6890.
If we get below 1.6890 and see a close then this would be a strong indicator that price has breached support and is ready to continue to the downside. For the moment, however, it is best to wait it out and see what price does before taking any positions.
Chart: EUR/NZD H4
Friday, December 8, 2017
SmartPattern by ActivTrades
A powerful indicator called SmartPattern is designed by ActivTrades to help you in your trading game. The pattern is made for history buffs that believe that history repeats itself. Myself being one of those, I strongly recommend that you look into this.
As history truly does repeat itself, it is no wonder then that the market is just another field in which we can observe the recurrent processes and event that have already happened and will happen again.
SmartPattern can help you analyze any market in any time frame and what it does is it detects chart patterns and detailed statistics.
Based on technical analysis, the SmartPattern tool can save time, effort and eliminate bias in your trading judgement.
It's available for ActivTrades Live clients and is completely free for unlimited time. For more info, visit HERE.
As history truly does repeat itself, it is no wonder then that the market is just another field in which we can observe the recurrent processes and event that have already happened and will happen again.
SmartPattern can help you analyze any market in any time frame and what it does is it detects chart patterns and detailed statistics.
Based on technical analysis, the SmartPattern tool can save time, effort and eliminate bias in your trading judgement.
It's available for ActivTrades Live clients and is completely free for unlimited time. For more info, visit HERE.
Tuesday, December 5, 2017
Silver Steady Ahead of NFP's
Silver is trading at its lowest point since the month of August when the precious metal reached a low of 16.11. Currently, Silver stand at 16.27, a level of consolidation for the past few days. If the metal continues to gravitate freely into the chart, we might see a continuation of the depreciation to first support level at 16.11, the level that would mark a double bottom. This would be a good chance to enter long in the market with a tight stop slightly below 16.11.
If we have reached that level before Friday's data release we could see a bullish move in the precious metal market, both silver and gold.
On the other hand, a better than expected US data would drive gold and silver to levels below long support which would indicate that they are getting deeper into bearish teritorry.
Silver has been trading sideways for the past 7 months, we could expect it to break away from the pattern and start on a new journey.
If we have reached that level before Friday's data release we could see a bullish move in the precious metal market, both silver and gold.
On the other hand, a better than expected US data would drive gold and silver to levels below long support which would indicate that they are getting deeper into bearish teritorry.
Silver has been trading sideways for the past 7 months, we could expect it to break away from the pattern and start on a new journey.
GBP/JPY Depreciates After Failed Negotiations
The Sterling depreciated yesterday due to failure to come up with an agreement on the Brexit question. UK's PM Theresa May and Jean-Claude Juncker failed to reach a consenus on the Brexit terms and what initially seemed like an event with a positive outcome ended up as nothing more than just a regular talk with no real consequences.
What was expected from yesterday's lunch was to pave the way from a divorce to trade between the UK and the EU but none of that happened and the Sterling took a dive depreciating against its peers.
GBP/JPY went as high as 152.949 and depreciated to 150.51 just a while ago. Currently, the pair is trading at 150.70, slightly higher than the lowest low but the selling wave is still taking place and we might see below 150 before the end of the week.
Chart: GBP/JPY H4
What was expected from yesterday's lunch was to pave the way from a divorce to trade between the UK and the EU but none of that happened and the Sterling took a dive depreciating against its peers.
GBP/JPY went as high as 152.949 and depreciated to 150.51 just a while ago. Currently, the pair is trading at 150.70, slightly higher than the lowest low but the selling wave is still taking place and we might see below 150 before the end of the week.
Chart: GBP/JPY H4
Monday, December 4, 2017
What to Expect into the Week
The week ahead has some interesting gems for the Fed watchers and overall market enthusiasts. Today, however, pretty much nothing has been scheduled. One thing that moved the market today was a lunch between the UK Prime Minister Theresa May. The discussion created a buying wave in the Sterling.
On Tuesday we have Australian Interest Rate Decision aimed to remain at current rate of 1.50%. Also Non-Manufacturing PMI will be released from the US and Services PMI from the UK.
On Wednesday Canada is announcing its Interest Rate Decision expected to remain unchanged at 1.00%.
Thursday the spotlight will be on ECB President Draghi to deliver a speech on EU political and economical stability and future outlook.
And Friday of course is reserved for the most important monthly US report - NFP's and Jobs report.
On Tuesday we have Australian Interest Rate Decision aimed to remain at current rate of 1.50%. Also Non-Manufacturing PMI will be released from the US and Services PMI from the UK.
On Wednesday Canada is announcing its Interest Rate Decision expected to remain unchanged at 1.00%.
Thursday the spotlight will be on ECB President Draghi to deliver a speech on EU political and economical stability and future outlook.
And Friday of course is reserved for the most important monthly US report - NFP's and Jobs report.
Sterling Up on Monday Afternoon
The Sterling is trading higher today after UK Prime Minister Theresa May and European Comission President Jean-Claude Juncker met for a critical lunch at 1.15pm. The purpose of the lunch is to make progress towards a deal between the U.K. and Brussels on Brexit.
A few other important political figures will accompany the duo at the lunch and together they will be discussing the steps towards fulfilling the agreement contract for Brexit.
The Sterling shot up against all parties as GBP/USD is now trading at 1.3513, up from 1.3418. GBP/JPY is at 152.71, GBP/CAD makes a trend turn with a high of 1.7160.
Some of the conclusions we can make are that Britain and EU have agreed to regulatory alignment but negotiations will continue until breakthrough.
A few other important political figures will accompany the duo at the lunch and together they will be discussing the steps towards fulfilling the agreement contract for Brexit.
The Sterling shot up against all parties as GBP/USD is now trading at 1.3513, up from 1.3418. GBP/JPY is at 152.71, GBP/CAD makes a trend turn with a high of 1.7160.
Some of the conclusions we can make are that Britain and EU have agreed to regulatory alignment but negotiations will continue until breakthrough.
Friday, December 1, 2017
Silver Breaks Support
Silver broke the medium term support yesterday as the precious metal fell below 16.50. That level was eyed by investors as a potential rebounce point and Silver did what it could to try and rebounce. The metal gravitated towards that level for more than a day when finally the sellers outweighed the buyers and price dipped to a low of 16.30.
Price has not changed much since the bottom was hit and now Silver is faced with new horizons below support. It may decide to consolidate until US announces the NFP's and Jobs report next Friday.
Whatever the case may be, it's important to know that market analysts are now more and more talking about a potential spike in the price of both Gold and Silver so you might want to consider the idea of having some of your capital invested in the precious metal market.
Chart: XAG/USD D1
Price has not changed much since the bottom was hit and now Silver is faced with new horizons below support. It may decide to consolidate until US announces the NFP's and Jobs report next Friday.
Whatever the case may be, it's important to know that market analysts are now more and more talking about a potential spike in the price of both Gold and Silver so you might want to consider the idea of having some of your capital invested in the precious metal market.
Chart: XAG/USD D1
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