Market Analysis Overview

Your success as a trader is directly tied to your ability to analyze the markets and make intelligent decisions what will likely happen to price of the underlying stock assets.   Like a golfer that knows how and when to use the clubs in the bag. 

 

To analyze the market, charting platforms like TradingView (and others), provide a variety of indicators to analyze price movements which ultimately will help you make informed trading decisions.

 

TradingView is used by 90M+ traders and investors worldwide to spot opportunities across global markets. It is replete with resources to help you understand and analyze the markets of stocks, foreign exchange, and crypto currency. It is an excellent charting platform, and you can sign up for a free account.   

 

There are different plans and every year and TradingView offers discounts on various memberships levels.  TradingView offers You-Tube tutorials on how to use their platform which I highly recommend.  There are many tools in this platform, and you don’t need to use them all, but you will need to understand a portion of them.

 

Also, when you look at the charts and start to mark them up with trend lines and/or support and resistance zones, something that is useful is to adopt a color scheme.  That way each time you look at the chart you will know which time frame a certain colored line represents. 

 

For example, when you are drawing trend lines, sketching out candlestick pattern, drawing channels, or anything else you do to mark up your charts, use a color scheme.   You might use these – Dark Purple for Monthly, Light Purple for Weekly, Green for Daily, Orange for Four-hour, Red for One-hour.  It is actually a very useful habit and will help you to be clear minded when looking at the charts in terms of understanding the Time Frame associated with a certain line.   

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