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Investor Time Frequency of Graphs - buys prospective stocks for the long haul  Daily graph – each one represents on day of trading activity Trader...

Investor Time Frequency of Graphs - buys prospective stocks for the long haul  Daily graph – each one represents on day of trading activity Trader  Weekly graph – one bar measures 5 - buys and sell stocks into short-term days of trading  Monthly graph – one bar is equal to Equity Market one month of duration  Trend Bias – generally move up  Intraday graph – a single bar will  Price Volatility – sentiment changes represent 1, 5, 10, 30, 60 minutes  Uncertainty – to the unversed Third Dimension of Price  Opportunity – to the skillful trader  Volume – it measures the number or Technical Analysis value of shares that trade in a day. - a study of market action (price), primarily the use of charts (graphic form), for the purpose of forecasting future price trends (timing). Importance of Market Price  Price discounts everything – the market 2 Kinds of Market Sentiments price builds in all known information  Bullish Sentiments – it charges forward  Price moves in trends – an object in with force because it has so much motion tends to stay in motion; while intensity. an object at rest tends to stay at rest  Bearish Sentiments – it’s heading  Price history repeats itself – people downward because the sentiment is tend to react in similar fashion to poor stimuli, grooming repetitive patterns of behavior Support 3 Kinds of Chart - is a price point underneath a market that shows heaviness in buying sufficient to prevent  Line Chart – simply connecting all the prices from falling down closing prices you get one day after day to a lengthy period of time Resistance  Bar Chart – it gives a picture of what - is a price point above a market that shows happened in the price today. Was it heaviness in selling sufficient to prevent prices positive at the end of the day or was it from rising up negative (Four price points:OHLC)  Candlestick Chart – a modern way of doing chart. Identifying Trends Fibonacci Retracement  Trends – are durable price swings in a - a method of technical analysis for determining market. They show the general support and resistance levels. It is named after direction of a securities price over time the Fibonacci Sequence of numbers, whose  Trendlines – are guidelines that follow a ratios provide price levels to which market tend trend that connect several areas of to retrace a portion of a move, before a trend support or resistance to project buying continues in the original direction or selling action over time Correction Strategy - a pullback in price because the market needs  Buy – closer to pullbacks to support to able to fix something.  Hold – as long as your trendlines do not Consolidation in TIME break  Sell – when your trendlines break - prices move up and it pauses and sidewinds for a while until it hits the Trendline again Trend Time Period diffusing the exaggeration of price  Short Term – from days up to 3-6 Reaction in PRICE months  Medium term – range up to 6-12 - prices pull itself back down to the Trendline so months that it can fix the need to correct faster  Long Term – 12+ months Extended Trendline Parallels/Price Channels - prices will be fixed by market forces - can get you a good semblance of the Overbought swing orderliness of how prices are moving. It’s moving within a set range. - (a very sharp upward advance) when prices move up too fast too soon, endorses profit Leonardo Fionacci (1170-1240) taking - was a medieval mathematician who Oversold swing discovered the series of numbers while studying the reproductive behavior of rabbits. - when prices fell too fast too soon, solicits bargain hunting (too many are selling in panic Fibonacci Numbers mode). - the remarkable thing about these numbers is Bargain Hunting the frequency with which they appear in the environment. Technical analysts who follow - buying activity of people waiting out there on Fibonacci numbers usually make use of the the other side for the price to come back and it number 1.618 creates a new rally Area Patterns (Consolidations) - depicted by sideways moving markets. Prices pause in a pattern to fix extendedness and/or gain energy. Breakout – a condition where prices push above a pattern’s resistance (BUY) Breakdown – a condition where prices slide below a pattern’s support (SELL) Shape - can unravel clues to its directional bias or inclination Size - proposes its possible swing potential or intended target after range break