The Beginner’s Guide

There are two ways to earn in trading. The first, mainly used by swing / intraday traders, is the positive risk / reward ratio. Intraday traders, and especially swing traders, generally enter into positions with the highest possible ratios. The second is the winrate...

What are Bollinger bands John Bollinger, an American writer, and financial analyst is best known for his technical indicator, the Bollinger Bands, that measures whether prices move too far from a moving average, and therefore from a volatility indicator. There are 3...

What is the moving average? Very present in technical analysis and indicator par excellence for trend monitoring, moving averages make it possible to gauge the current trend and measure its extent. There are different types of moving averages, the main ones being the...

What is the quantity of shares or crypto-currency exchanged during a given period? The analysis of volumes is often neglected nowadays in favor of technical indicators and oscillators of all kinds. It is true that the volumes displayed on your trading platform or at...

What is momentum? A key indicator of technical analysis, it belongs to the oscillator family and makes it possible to measure the strength of price movements. Its calculation is very simple. Momentum = Closing of the price of the period - Closing of the period n...

The RSI (Relative Strength Index) is a technical oscillator telling us how strong the price action is. Developed by J. Welles Wilder in the 1970s, it is the most widely used indicator by technical analysts and traders.   Calculation formula RSI = 100 -...

The technical indicator MACD or Moving Average Convergence Divergence was created by the American Gérald Appel and has several interesting features. Basically, designed to detect moving average crosses more quickly (which, it should be remembered, often give late...

What is the Commodity Channel Index? The CCI, or Commodity Chanel Index, was first designed for commodities markets. Developed in the 1980s by an American, Donald Lambert, ITC has seen its popularity increase over the years and is now used in all markets. The CCI is...

Divergences Divergences. All beginners, as well as more or less confirmed, know these strategies. Indeed, when an indicator is lowering again while prices are rising, or vice versa, we say that there is a divergence between the price and the indicator. This is...

The DMI indicator is a trend indicator that makes possible to assess the power of the latter and in particular to assess the balance of power between buyers and sellers. It was invented by someone rather famous in the world of technical analysis: the American engineer...

Charles Dow, author of the most famous stock market information company Dow Jones and Company and the world famous Wall Street Journal, he also gave his name to a theory : the Dow’s theory.   This theory identifies three main trends : - The primary trend that...

What is Stochastic? This indicator developed by George C. Lane in the 1950s compares the closing price to the difference in the same value over a period of time. Composed of two lines, the first one, blue, is called the numerical stochastic noted ''%K'' set by default...

What is Parabolic Stop and Reversal (SAR)? This indicator was created by Welles Wilder. It was developed for trend monitoring and not to give us input/output signals but to adjust its STOP LOSS. Indeed, when the position no longer generates any gain and starts to...

What is OBV? The OBV or On Balance Volume is an open-ended indicator related to prices and volumes.  Developed by the American Joseph Granville, who used to say that volumes are in trading ''the steam that makes the train whistle'', this indicator makes it possible to...

What is the retracement of Fibonacci? Leonardo Fibonacci was an Italian mathematician who lived in the 12th and 13th centuries ((1175 - 1250). He is known to have highlighted the famous Fibonacci sequence. The sequence of Fibonacci numbers is, after 0 and 1, a...

Fibonacci extensions are the opposite of Fibonacci retracements. While retracements ''retrace'' the price of the main movement and are therefore between 0% and 100% (full and total retracement), extensions to the opposite extend the previous movement beyond 100%....

What is the pivot point? Pivots are a technique widely used in financial markets. The objective of the pivot points is to determine areas that will serve as psychological thresholds (support and resistance) for the prices. These pivotal points are generally calculated...