⚙️ PriceMomentum: Introducing a New Chart Type from TradingCenter

A PriceMomentum chart improves a regular price chart by adding key features like intraday momentum and market volatility, giving traders a clearer view ️for stronger chart analysis.

️〽️ The PriceMomentum Chart: A First Look

PriceMomentum was created by Giorgos Protonotarios to offer a new way of looking at chart analysis. This chart type focuses on percentage changes rather than absolute prices. It also uses an algorithm that factors in market volatility and shifts in periodic momentum. It brings together three key elements:

• Periodic Percentage Change (%)

• Bullish/Bearish Periodic Momentum

• Volatility (measured by the daily high-to-low range)

Basic Features:

• Focuses on percentage gains/losses while ignoring price levels

• Closer to a logarithmic chart than a standard price chart

• Combines price action with intraday momentum and volatility, making it more accurate near market tops and bottoms

• Very sensitive to momentum shifts, especially when paired with high volatility (often seen near tops/bottoms)

• Technical analysis patterns and formations remain fully valid on a PriceMomentum chart

• Moving averages can be applied as usual

Read more: PriceMomentum Chart: A New Perspective to Chart Analysis

📖 The Complete Technical Analysis Guide

Technical analysis is a trading method that aims to forecast the future price movement of a financial-traded asset based on past market data such as price movement and volume.

1. Introduction to Technical Analysis

Technical analysts use charts, patterns, indicators, and oscillators to identify similarities in the current and past market activity that can suggest future price movements. Technical analysis can be applied to all financial classes and assets such as stocks, indices, Forex pairs, and commodities. Technical analysts focus on two major questions:

(i) What is the current price of a financial-traded asset

(ii) What is the history of price movements of this financial-traded asset

Technical analysis cannot predict the future, but it can help traders and investors evaluate the possibility that a certain trend will continue or reverse. Furthermore, and most importantly, technical analysis can help investors to identify the best possible time to enter/exit the market.

Technical analysis is a valuable tool for timing entry points in any financial market. These are the three general principles of technical analysis: {Press the Following Slider}

Read more: Technical Analysis Guide

Mastering the Wyckoff Trading Method: Step-by-Step Tutorial

What is the Wyckoff Method?

Developed in the early 1930s by Richard Wyckoff, this method combines principles and chart schematics to identify market structure and predict major trends in their early stages. The Wyckoff method can be applied to all financial markets.

□ This analysis starts with the 3 fundamental Wyckoff laws, then reviews the 4 market phases, followed by detailed accumulation/distribution schematics, and concludes with the 5-step method.

MODERN TRADING WITH THE WYCKOFF METHOD

Wyckoff Three Laws

Three fundamental laws support Wyckoff's principles:

(1) Demand & Supply Law

The law of demand and supply is the core idea behind every economic theory. Prices go up when demand is greater than supply, and they go down when supply is greater than demand. When demand and supply are balanced, the price should stay the same.

The law of demand and supply cannot be broken in the long run. However, in the short term, it can fail, especially when trading volume is low. This is why Wyckoff insisted that price action should always be studied together with volume bars. Today, advanced traders also use the order book to analyze demand and supply.

(2) Cause & Effect Law

This is one of the fundamental laws of the universe. For every effect, there is a clear cause, and for every cause, there is a clear effect. According to Wyckoff, price action is never random; it is always the effect of a specific cause. This means price changes happen because of certain events. By studying the phases of accumulation and distribution, traders can make reliable forecasts about future price movements.

In Wyckoff’s basic chart, two consolidation phases create the cause that leads to future price changes (effect):

■ Accumulation is the cause of a coming uptrend (effect)

■ Distribution is the cause of a coming downtrend (effect)

With a simple chart, traders can measure the cause (Accumulation/Distribution) and estimate the size of the effect (Uptrend/Downtrend).

(3) Effort vs Result Law

The third law connects price action (result) with volume (effort). Price changes are the result of a certain effort, and this effort can be measured by looking at trading volume.

Read more: Wyckoff Method Trading Tutorial

📊 Major Technical Analysis Indicators

Technical analysis indicators help traders identify trends and generate trading signals through crossovers and divergences.

🛈 What is a Technical Analysis Indicator?

A Technical Analysis (TA) Indicator is a tool that uses historical price and volume data to help traders identify the current market trend and predict future price movements.

• Technical indicators can show trend direction, market momentum, and measure volatility

• Technical indicators may help traders in their decision-making

• Oscillators are indicators that move within a fixed range, and most of them range between 0 and 100.

Here is some key information about MACD, RSI, and other widely used technical indicators.

(1) MACD (Moving Average Convergence Divergence)

□ Type: Momentum Oscillator & Trade Signal Tool

□ Asset Classes: All

□ Chart: M30 and higher

MACD is one of the most widely used tools for analyzing different financial assets (Forex, Stocks, Indices, Commodities, Cryptocurrencies, etc.). It is a trend-following momentum oscillator that converts two moving averages into a single indicator by subtracting the longer moving average from the shorter one.

👉 Tips for trading with MACD:

(i) Use the standard settings (12,26,9)

(ii) Divergences between the price chart and the MACD histogram can signal possible price reversals

(iii) Signals are more reliable on higher timeframes (H1 and above)

🧮 Breakdown of the MACD Formula:

• 12-period EMA: 12-period Exponential Moving Average of closing prices.

• 26-period EMA: 26-period Exponential Moving Average of closing prices.

• MACD Line: 12-period EMA – 26-period EMA

• Signal Line: 9-period EMA of the MACD line.

• MACD Histogram: MACD Line – Signal Line

Read more: Key Technical Indicators with Formulas

How to Trade with the TD Sequential (Tom Demark)

What is the TD Sequential?

The TD (Tom Demark) Sequential is a powerful counter-trend tool designed to identify the exact time of trend exhaustion and price reversal. The TD Sequential aims to solve the problem of several TA indicators that are profitable during trending markets but perform very poorly in ranging markets. TD Sequential can be used in any timeframe and in any market conditions; however, it is more reliable on H4 timeframes and above.

Key Features

(1) TD Sequential can be applied to any timeframe and any financial-traded asset

(2) It has two phases: The setup phase (9-count) and the Countdown phase (13-count)

(3) TD Sequential works only with Japanese Candlesticks or Bar charts

(4) Timewise, the TD Sequential is ideal for the early recognition of key market turning points

(5) TD Sequential also generates support and resistance levels (TDST lines)

(6) The rules of TD Sequential can be easily modified; therefore, there are many variations

The Two (2) Phases of the TD Sequential

TD Sequential includes two phases that emerge after a Price-Flip:

(A) The TD Setup (Momentum Phase)

The TD Setup phase takes place after a Price Flip and includes a 9-candle count. If the 9-candle count is completed, the TD Sequential identifies a point of a likely top or bottom. (Trading Signal-1)

(B) The TD Countdown (Trend Exhaustion Phase)

The second phase is valid only if a TD Setup is already established. The TD Countdown includes a 13-candle count. If the 13-candles count is completed, the TD Sequential identifies a point of a likely top or bottom. (Trading Signal-2)

Read more: The TD Sequential and How to Trade it

Exact Swing Points -Support & Resistance

Learn a Swing Trading strategy that’s so easy even a beginner trader could be trading it in no time! In this article, you will learn how to determine where exactly the support and resistance points and the swing points are on a chart. This is a particularly important lesson! Just about every system or method of trading at least takes note of where the key support and resistance levels are. I’ll discuss a double use for this method of identifying these points.

Now, how do you know where support and resistance really are?

🔗 More: » Technical Analysis Guide

The problem with Support and Resistance (S&R) is that it is not a definite number. It is not an exact point on the chart at which price will, without any hesitation, stop.

In fact, S&R is actually an area – it is not an exact number as we would all like to think.

The dilemma, of course, is that in order to do our calculations, we need an exact point. You can’t enter $50.10/20 area when using Fibonacci or working out your stops and limits. You need an exact number, even though S&R is not an exact number.

Try telling your broker that you want a stop loss at somewhere between 50 and 55, and watch him burst a blood vessel. This is what I want to concentrate on in this lesson. This is a technique I have found to be particularly good at not only identifying strong S&R points but also swing points. In order to find S&R, we must first identify market swing points. There are various ways of doing this, but I am going to use the one I have used for years.

■ Swing Up

Read more: Exact Swing Points -Support & Resistance