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resistance

How to Analyze Stock Support and Resistance?

Comparing Price Action with Leading Indicators During a downtrend, traders need to be able to determine if a big white candlestick is a true Reversal back to an uptrending pattern, or if it is just momentary Rebound price action caused by Buy the Dip Investors and Buy to Cover Traders. …

Why Use Stock Volume to Reveal Weak Candlestick Patterns?

How Retail Traders Avoid Whipsaw Trades Many traders still rely solely upon Price and Price Indicators, which leaves them highly vulnerable to whipsaw trades. Stock Volume reveals weak candlestick patterns, and so it is critical in the automated markets today to use it. This is because giant Buy Side Institutions …

What Are Spatial Pattern Recognition Skills™?

Reading Stock Charts Like the Professional Traders All Technical Traders need to have very high visual pattern skill development so that they can click through charts quickly, and identify patterns that they prefer to trade. Unfortunately for most Retail Traders, this skill is underdeveloped, leaving them to rely too much …

Invaluable Weekly Chart View

Interpret What Price Will Do After Volume Spikes The chart example below with a daily view, shows that High Frequency Traders caused a huge white candlestick and volume spike, as indicated by the vertical red arrow on the right. Since then this stock has been in a sideways price action …

Selling Short Bounce Areas

How to Identify Them Topping patterns have undergone dramatic changes in the past decade due to Market Structure changes which have created new types of venues, orders, routing, and Market Participants. Once the new topping formations are identified, the next analysis must be where small, minor non-reversal runs aka bounces …