What we learned about price levels
This is part 2 of a two part blog. Read the first part here. Quick summary: to test the validity of price levels in markets, we created a test in…
Time of day influences in currencies
In my last post, I looked at intraday activity in stock indexes; I had a few requests to repeat the same work, showing time of day influences--intraday volume (tick volume)…
Watch for a US Dollar fakeout
Markets move in alternating waves of with-trend strength (or weakness) interspersed with moves against the trend. We call these moves pullbacks or consolidations, and they create some of the most…
A new tool to measure trend strength: the Grimes Efficiency Ratio
Is a market trending or not? Even this simple question, which is at the heart of most of our thinking about markets, is not easy to answer. Definitions of trend…
Visualizing USD trend strength
The US Dollar is in a trend of historic proportions; the strength and rapidity of its advance has shocked many other currencies as they scramble to adapt to the new…
Trading a long complicated pullback in the Dollar
We spend a lot of time, as traders, developing skills of precision trading: when to enter trades, where to put stops, when to add, when to take partial profits, when…
Technicals for everyone: overbought / oversold
Continuing from yesterday's post, I wanted to dig a little bit deeper into the idea of what happens when markets go too far, too fast and snap back. This concept…
How to trade pullbacks
I'm starting a short series of posts here on pattern recognition, focusing on simple patterns that I have found useful in actual trading. Some of my readers may have questions…
The pullback: a trade that works
I've written quite a bit lately on things that don't work, and tried to point out some errors in common practical technical analysis. Yes, I'll do more of that in…
The sweet taste of… failure?
I'm always doing research. Sometimes these are large, multi-month projects, but other times they are just a quick look to see "what the data says", and I share some of…
Video blog: trade review and the art of trading management
Continuing from yesterday's post, I thought it might be interesting to review some trade setups I posted here this month (here and here, but also this post on the euro…
Six trading ideas
Here are a few trading ideas. Some may be immediately executable; some may need to go on a watchlist. In most cases, these are consolidation plays and could be entered…