forex trend indicators

as a result, traders must learn that there are a variety of indicators that can help to determine the best time to buy or sell a forex cross rate. many investors will proclaim a particular combination to be the best, but the reality is, there is no "best" moving average combination. now we have a trend-following tool to tell us whether the major trend of a given currency pair is up or down. this difference is then smoothed and compared to a moving average of its own. if the red line is below

overnight swing trading

the goal of swing trading is to capture a chunk of a potential price move. successful swing traders are only looking to capture a chunk of the expected price move, and then move on to the next opportunity. for example, if a swing trader sees a bullish setup in a stock, they may want to verify that the fundamentals of the asset look favorable or are improving also. by taking on the overnight risk, swing trades are usually done with a smaller position size compared to day trading (assuming the

day trading terms

pattern day trader rules: (see complete definition) the pattern day trader (pdt) rule states that if a trader takes 3 or more day trades in a 5 day period, they are a day trader and they must maintain a minimum account balance of $25,000 usd. this means traders think the price of stocks or a specific stock will be going down. this means they have a “long” position and expect the stock to go up. the shares have been borrowed from the broker to sell in advance, with the intention of buying the

free options backtesting

an "iron condor" is a directionally neutral, defined risk strategy that profits from a stock trading in a range through the expiration of the options. tom sosnoff is a trailblazer in the online brokerage industry, driving innovation and financial education for investors of all levels. when combined with a trade, it is possible to show a profit and loss for any price and date between now and expiration for any position you are analyzing. a chart showing profit and loss on the horizontal-axis,

stock scalping strategy

scalping is a trading style that specializes in profiting off of small price changes and making a fast profit off reselling. the most obvious way is to use it when the market is choppy or locked in a narrow range. the first type of scalping is referred to as "market-making," whereby a scalper tries to capitalize on the spread by simultaneously posting a bid and an offer for a specific stock. this kind of scalping is immensely hard to do successfully because a trader must compete with market

intra day

so, the first step for a day trader is to figure out what to trade. the same is true for stocks that tend to move more than $1.50 per day. the market always moves in waves, and it is the trader's job to ride those waves. when the indexes and market futures are dropping, it can be profitable to short sell stocks that drop more than the market. in this way, when prices fall, you are likely to be in stocks or etfs that will fall the most, thus increasing the profit potential of the trade.