Weekly Technical Market Insight: 16th -20th November 2020

Weekly Technical Market Insight: 16th -20th November 2020

US Dollar Index: With US elections sparking a risk-on rally (major US equity benchmarks finished strongly higher across the board), safe-haven demand for the US dollar, as measured by the US dollar index (DXY), declined considerably last week. Down 1.8 percent, the DXY drowned previous gains and crossed paths with daily support at 92.26. Although there’s scope for a recovery off the aforesaid support this week to daily supply forged between 94.02/93.82, shifting to September’s low at 91.74, or perhaps daily support at 90.99, might also be perceived as a possibility. As underlined in previous analysis, the primary trend on...

Weekly Technical Market Insight: 9th -13th November 2020

Weekly Technical Market Insight: 9th -13th November 2020

US Dollar Index: With US elections sparking a risk-on rally (major US equity benchmarks finished strongly higher across the board), safe-haven demand for the US dollar, as measured by the US dollar index (DXY), declined considerably last week. Down 1.8 percent, the DXY drowned previous gains and crossed paths with daily support at 92.26. Although there’s scope for a recovery off the aforesaid support this week to daily supply forged between 94.02/93.82, shifting to September’s low at 91.74, or perhaps daily support at 90.99, might also be perceived as a possibility. As underlined in previous analysis, the primary trend on...

Black and White Technical Report: The Week Beginning 2/11/2020

Black and White Technical Report: The Week Beginning 2/11/2020

This week will be dominated by the US election result, market commentary is split on the outcome for the equity and commodity markets from each candidate and volatility will rule in the coming days with potential price swings in each direction. Traders should remember markets are based on future economic outcomes, currently the overall bias is for a continued push higher, with COVID-19 and the potential economic fallout this is the only chain dragging on bullish sentiment. Gold and Silver remain at risk of setting a new leg down to test the resilience of longer term holders as risk off events also extend...

e-Books: Developing a Trading Plan

e-Books: Developing a Trading Plan

Developing a good trading plan will provide you with a solid framework to improve your trading. The first step to developing a trading plan is to define your specific goals and a time frame to achieve them. Successful trading is a by product of adhering to a sound plan that addresses your entry and exit strategies, risk and money management. Entry Fundamental or technical analysis can be used to analyse signals to determine when you should enter into a trade. There are a number of methods that can be used to determine your entry including ‘buy low, sell high’, ‘buy...

e-Book: Money Management

e-Book: Money Management

Many traders overlook the importance of money management but it is a key component in determining your trading success. Money management refers to the process of analysing trades for risk and potential profits and managing trades to ensure trading longevity and maximise profitability. The important role money management plays is best illustrated through drawdown analysis. Drawdown Drawdown refers to the amount of money that is lost trading, expressed as a percentage of your total trading capital. If every trade you took was profitable, your account would never experience a drawdown. Drawdown measures the money that is lost while trading but...

e-Book: Preserve Your Trading Capital – Live to Trade Another Day

e-Book: Preserve Your Trading Capital – Live to Trade Another Day

The number one and most important rule of trading is – preserve your capital. Without capital you are unable to trade. As Jesse Livermore said “A trader without money is like a shop owner without inventory”. Preservation of your trading capital is perhaps the most important goal. Regardless of whether you make bad decisions during any trading period, if you employ capital preservation, you will have a chance to recoup losses and ultimately achieve success. The common-sense rules we suggest that you impose on your trading will enable you to survive all market conditions. If you understand and observe these...