Wave analysis in stock market.

2. Smart Price Action Trading - Wave Analysis.

If market is converting from down trend to up trend, then it will surely take the resistance at second wave of the down trend.

So, we can short at the new high to take profit of the correction.

Note: Always remember no setup no trading.

Comments

Difference between BOS and CHOCH?

BoS = Break out Structure. CHoCH= CHange of CHaracter.

Fibonacci Trick

4. Price Action Trading - Fibonacci Trick. If market is in a trend, then we can draw Fibonacci Retracement of recent high and low of the market price. We can get three major levels using the Fib tool which are 0.5, 0.6, 0.38. We can check whether price is respecting the Fibonacci levels or not. If it respects and trading above 0.5 level, then we can go for long positions. If market opens above the 0.5 level and sustains above it then, we can take a long position. As we can see in the below image that the price is breaking the recent trendline and taking a re-test for up move. If it is breaking the trend line and taking re-test then we can go long as market is trading above 0.5 level and very near to demand zone. Hope the above information is helpful and happy trading :)

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- How the big players operate: Their psychology, motivation and objectives. For many traders the psychology of the big players is a mystery. The big players don't care about your stops The truth of the matter is that retail trader's stops don't factor on the radar of bank traders at all. In-fact professionals don't even see retail stops on an individual level, nor could they care less because the sizes are too small. Big players care about groups of stops That is not to say, professionals don't care about stops. Stop orders are very important to the institutional traders on an aggregate level - that is, they care about where large groups of stops are sitting. This could happen when, for example, a large number of retail trader's stops are sitting at the same level, or it could be where a corporate or fund has orders placed. Even though a bank trader only has knowledge of their own book, this grouping of stops is generally happening across a number of banks at th...

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