In this post, we take a look at the Elliot Wave trading strategy. At the end of the article, we present you with an Elliott Wave strategy. In the 1920s and 1930s, stock market analyst, Ralph Nelson Elliott, discovered that…
With e-minis, the Chicago Mercantile Exchange’s Globex electronic trading platform has made it possible for individuals with less capital to play the futures and commodity markets from around the world. It is one of the most efficient and cost-effective ways…
Understanding volume and price, and how they can influence the market, is very important in trading. Since volume is the measure of activities in the market, traders can use the information provided to increase the probability of their trades. A…
We rank Williams %R as the best oscillating indicator for trading strategies. It’s certainly not the most known nor the most used, but in our humble opinion, our backtests proved Williams %R to be the most stable indicator for almost…
An exhaustion gap can signal an upcoming trend reversal, but recognizing and acting on this shift is where the challenge lies. This article slices straight to the heart of exhaustion gaps, explaining their significance in market movement and might provide…
In technical analysis, a breakaway gap is a significant price jump through support or resistance levels, indicating the potential start of a new trend. Are you wondering what a breakaway gap is in the stock market and how to identify…
The CCI (Commodity Channel Index) is a technical indicator that measures the current price level of a security relative to an average price level over a given period. It is a momentum oscillator that is used to identify extreme conditions,…
Globalization has made it possible for investors to tap into investment opportunities around the world, and as the second largest economy in the world, the Chinese stock market provides opportunities. But what is your China trading strategy? You can also…
Hedge funds employ many investing strategies, and the long-short equity strategy is one of them. But what does this long-short equity strategy mean? Long short equity strategy is a method of investing whereby a trader takes long positions in stocks…
The micro E-mini Nasdaq 100 futures strategy is the method or technique that you can use to trade the micro E-mini Nasdaq 100 futures profitably. Micro E-mini Nasdaq 100 futures are a type of electronically traded Nasdaq 100 futures that…
Is it possible to use the ADX indicator (Average Directional Movement Index) (DMI) to find a profitable ADX trading strategy? This article looks at the ADX indicator where we make some historical backtest to evaluate and analyze. The adx indicator…
There are certain trading strategies that you can trade based on price action alone. One of them is the HHLL trading strategy. You may be wondering what the HHLL trading strategy is. Here you go: The HHLL trading strategy is…
There are different strategies for trading the market, such as trend following, price action, scalping, momentum, Martingale, mean-reversion, and so on. All are risky, but the Martingale trading strategy is known for its huge risks. What is this strategy and…
The largest economy in Latin America, Brazil has a well-established financial market and is the top investment destination in South America. The country has some of the biggest stock and commodity exchanges in the continent, providing opportunities for day trading…
For many, the approach is to buy low and sell high. But that is not the case with the 52-week high trading strategy – you do the opposite. What is the 52-week high trading strategy? The 52-week high strategy is…
As traders, we rely on different analysis tools to gain some insights into what the market might do next; one such tool that is easy to use is the Stoller Average Range Channels (STARC). What do you know about this…
There are several trading tools and indicators available to us day traders but only a few can track market movements and price action like the Schaff Trend Cycle (STC) does. What do you know about this indicator? The Schaff Trend…
What is the best swing trading strategy? Is swing trading still profitable with positive returns? We have summarized 10 free swing trading strategies that might help you start your trading career. The internet is flooded with anecdotal evidence about how…
The Russell 2000 Rebalancing Trading Strategy is a method that takes advantage of the abnormal outperformance of the Russell 2000 index during its annual rebalancing at the end of June. Traders buy on the close of the first trading day…
Intraday trading is one of the most exciting but, at the same time, the most demanding form of online stock trading, and the OHL trading strategy helps you focus on the most important aspects of the trading day. As a…
Sell the rip refers to a trading strategy that aims to sell an asset (either closing an open long position or opening a short position) when its price has risen to a level considered overvalued. This investment approach follows the…
Below is a simple and easy trading strategy to implement in QQQ. Let’s go straight to the trading rules: Trading Rules The equity curve since January 2000 looks like this (starting with 100 000 in equity and allocating 100% of…
Agriculture futures offer a vast array of hedging and speculative opportunities, and Corn is one of the most highly traded commodities globally. Also known as maize, corn is widely cultivated in countless varieties throughout the world. Corn futures trading requires…
If you have been trading or just following the gold and silver markets, you must have heard about the gold-silver ratio. What does the gold-silver chart ratio strategy mean? The gold-silver chart ratio strategy is a technique for trading the…
These 10 different crude oil trading strategies can help you make money. This article provides methods for timing trades, incorporating market data, and managing risk. Learn about crude oil trading with confidence and set another successful example for others. Crude…
Since its birth in the 1980s, derivatives trading has opened up a world of markets for traders who want to profit from the price movements of various derivatives. To succeed in this market, you must have a derivatives trading strategy….
Traders always want to have a Holy Grail trading strategy or indicator that can allow them to make all the money in the shortest possible time. While such indicators do not exist, the ADX and RSI are among the best…
As Warren Buffett rightly said: “You need to be fearful when others are greedy, and greedy when others are fearful.” This perfectly applies to the Rubber Band trading strategy, but what is it? The Rubber Band trading strategy is a…
Today, we show you the performance data of a quarterly trading strategy that boasts substantially better risk-adjusted returns than buy and hold: Buy and hold returns 7.2%, while our quarterly trading strategy compounds at 9.8% if we adjust for much…
The Relative Strength Index (RSI) is among the common and most powerful technical indicators widely used by professional traders and investors when analyzing financial markets. This index has been used by traders to make crucial decisions since it was initiated…
Today we will look at a strategy that saw the day of light nearly 60 years ago. The somewhat cryptic name is the Coppock Curve. What is the Coppock Curve strategy about? The Coppock Curve Strategy was devised by economist…
Today we will look at another trend following strategy developed by a famous fund manager long ago. It’s called Fabian Timing Model and was developed by Richard Fabian in the 1960s. The Fabian timing model is a simple quantitative long-term trend…
A Pair Trade in SPY And TLT (Pairs Trading Strategies). A few days ago, we witnessed major moves in both long-term Treasuries (TLT) and the S&P 500 (SPY). That is not abnormal: when the going gets tough in stocks, many…
Day traders always look for ways to identify key intraday support and resistance levels. This is where the Camarilla pivot points come in. But what is the Camarilla pivot point trading strategy? Introduced in 1989 by Nick Scott, a successful…
An inside day is defined by two bars where the last bar has all price action below yesterday’s high and above yesterday’s low. In other words, today’s price action and trading are completely inside yesterday’s. Our backtests indicate that an…
Volume trading strategy is a trading method that involves analyzing the volume of shares or contracts that are being traded in a particular stock or market. The idea behind this strategy is that high trading volume can indicate strong buying…
A deflation trading strategy refers to the methods and techniques you can use to invest and make money during a period of deflation. This includes how to spot the asset to trade, the direction to trade, and how to spread…
Hard Red Winter Wheat trading strategy refers to the methodologies and techniques you can use to trade Hard Red Winter Wheat futures contracts profitably. Hard Red Winter (HRW) wheat futures are contracts to receive or deliver the specified quantity of…
This article presents an ETF rotation strategy. Sector rotation is popular and this is not without merit. The idea is to be in the sector that shows the best recent momentum. Today we present an ETF momentum rotation trading strategy…
In chapter 5 of Larry Connors‘ book High Probability Trading, published in 2009, there is a trading strategy called %b strategy. The book contains many strategies which we test in chronological order. 12 years have passed since the book was…
Some stocks, and indeed some stock market sectors, are known for their relatively stable prices and little intraday fluctuations. Some traders and investors prefer such stocks, as they make use of low volatility stocks strategy. Want to know more about…
A trend reversal is a change in the direction of the price trend of an asset. This change in direction can be to the upside or downside. The trend reversal strategy is any analysis or trading technique a trader uses…
U.S. Dollar Index futures offer an easy way to trade the U.S. Dollar Index (USDX or DXY), which is a measure of the value of the US dollar relative to a basket of the currencies of U.S. most important trade…
Once used as a form of currency in Central and South America before the Spanish conquest, cocoa is now used to produce chocolate and some of the most popular beverages in the world. Cocoa belongs to the soft commodity category,…
Investors have a variety of options when it comes to investing strategies — Bond vs. Equity, Passive vs. Active, and Value vs. Growth strategy. Here, we focus on the two most popular strategies — Growth Investing and Value Investing. The…
Interested in optimizing your market timing and trend identification with moving average trading strategies? This comprehensive guide delves into the intricacies of utilizing fundamental moving averages such as the SMA and EMA. Explore techniques for refining entry and exit points,…
When it comes to trade entry and exit, most traders tend to think in singular terms — one shot in and one shot out. But breaking the position size into multiple smaller trade sizes and scaling in gradually may offer…
Platinum futures offer an easy way to gain exposure to the platinum market. Known for its use in jewelry and decorations, platinum is a rare and expensive metal that has found diverse uses in recent times. Apart from its use…
An inverse ETF trading strategy is a trading method that seeks to profit from declining market conditions by buying inverse ETFs — exchange-traded funds that are designed to move in the opposite direction of the underlying index. The best inverse…
If you trade stocks or any other financial market, you will often be confronted with that temptation: to buy more when the price goes lower. On the one part, you may have a cheaper entry price, but on the other…
Heating oil is a low-viscosity liquid produced from refining crude oil, which is used almost exclusively for heating residential and commercial buildings. The demand for heating oil rises as the temperature drops during the winter, which makes it a highly…
Leveraged ETF trading strategy refers to a short-term investment method that involves trading leveraged ETFs — exchange-traded funds that use financial derivatives and debt to amplify the returns of an underlying index. There are hundreds of leveraged ETFs across different…
We have previously published an article on using RSI on SPY (relative strength index). The RSI has proven to be a valuable indicator/tool for mean reversion in the main stock indices. Today we present an RSI trading strategy. In this…
Most traders tend to focus on the daily and intraday charts. Only a few get to look at the weekly chart, let alone trade from them. But the weekly chart may provide more consistent setups that are easier to trade…
As the world has become more connected online and many regions are opening up their financial markets to the global investing community, diversifying your investment portfolio into other economies has never been easier. The Australian market is a simple choice…
The Triple RSI trading strategy is a modified version of the RSI strategy with four key variables, three of which are based on the RSI. It focuses on mean reversion, and the trading rules involve conditions related to RSI readings,…
Chapter 6 of Larry Connors‘ High Probability Trading contains a trading strategy called Multiple Days Up (MDU) And Multiple Days Down (MDD). The book was published in 2009, the trading tests were done until 31st of December 2008, and it’s…
With the S&P 500 index rising significantly over the years, the worth of the popular E-mini S&P 500 futures became out of reach to retail traders with small accounts. This prompted CME to create the Micro E-mini S&P 500 index…
The NR7 trading strategy is a narrow-range strategy that is both well-known and popular. If you do a search on the internet, you get multiple hits on the strategy. To our knowledge, the strategy was first developed by Tony Crabel…
The Bollinger Bands is a very popular indicator for performing different kinds of market analysis, but when it comes to extracting information about price volatility, it’s the domain of its offspring, the Bollinger Bands Width. What do you know about…
Consumer confidence Index tries to gauge the temperature of the economy. It swings from pessimism to optimism – just like Mr. Market who is rather manic-depressive. In the US it’s made by the Conference board and it casts doom and…
One of the most known factors in investing is momentum. Momentum states that an asset that has been going up is more likely to keep going up in the future than to fall. It has been widely researched by academia…
Extracted from sugarcane and sugar beet plants, sugar is a soluble and sweet-tasting carbohydrate used to sweeten food products. Sugar futures are actively traded on commodity exchanges, such as CME and ICE. You can use sugar futures contracts to speculate…
Usually, timing strategies generate a lot of false signals that cause traders to lose money. To avoid that, today we will look at a strategy that does not generate false signals and can successfully predict the end of a bear…
This article looks at how likely you are to go broke as retired or FIRE. Low interest rates make many pensioners and those who retire early (FIRE) allocate more and more capital to risky stocks. Many tend to forget that…
You might have saved up some money and decided to invest. You already know what you want to invest in, but now you have another decision: When should you invest? If you research the subject, you will likely come across…
Rosh Hashanah in commonly known as the Jewish New Year. This, of course, means a lot for Jewish people, who celebrate it during a three-day holiday. But during that timeframe, the market is generally open. Can we make a profitable…
The end-of-month effect (also called the Ultimo Effect) is a well-known trading strategy in the stock market. We have covered this anomaly before. Perhaps what is lesser known is that the effect spills over to the first three days of…
Trading Strategies for Futures Expiration Week. Our backtests indicate that both DAX 40 and Euro Stoxx 50 have much better performance during the futures expiration week compared to any other random week. Let’s start with the DAX 40 contract: DAX…
Many investors focus on searching for seasonalities in the US stock market. However, seasonal patterns can also be exploited in international stock markets. Today we will show you a seasonal trading strategy for the German stock market. It is based…
The even vs. odd days trading strategy shows that most of the gains in the S&P 500 come on even days, not on odd days. It’s a rather peculiar effect but most likely the result of chance. Can we develop…
Yes, our backtests indicate that there is an end of month effect in Bitcoin and this can potentially be a viable turn of the month trading strategy. The end of month effect, sometimes referred to as the turn of the…
