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Showing posts from August, 2019

The Golden Rule in online trading: Positive correlation

The Golden Rule in Online Trading As you may or may not know gold is the world’s most traded precious metal.  Gold (XAU)  refers to the gold spot market price. Nowadays, gold is used vastly in the jewelry market and for investment purposes, it is regarded as a  safe haven commodity . Gold was mostly extracted during post-war era and is sought after all over the world, typically bought for a premium over spot and sold at a discount to spot in physical exchanges. The reason that gold is considered a safe haven, can be  attributable to its intrinsic value . Meaning that it remains relatively stable during times of uncertainty and high volatility in the market and  rarely experiences unpredictability. For now, let us focus on the Australian dollar and how this currencies strength and value is  dictated by the performance of its imports and exports. Taking into consideration that the gold from Australia is essentially the  ‘gold standard’  a...

This Is Why You Might Want to Trade Oil

According to CNBC, we are about to witness an abundance of trading opportunities in the oil market. And President Trump is to blame. The United States administration is about to impose crude sanctions against Iran on November 4. What is the most possible outcome? In accordance with the law of supply and demand, when supply goes down and demand stays the same, the price of the asset cannot but depreciate. Of course, the price surge is not guaranteed. Still, this is what CNBC experts claim to be quite likely. After all, the price of oil has already increased 25% since the beginning of 2018. Source:   The global economic impact of $100 oil ‘isn’t trivial’: Here are the likely winners and losers Here is how to trade oil on the IQ Option trading platform: Go to   iqoption.com . You can trade oil as a digital option, as a commodity or even trade one of the oil-related exchange-traded fund. The easiest way to find the required asset is to click the ‘ Open New As...

The Power of Crossovers: EMA Trading Techniques

A moving average may become a powerful technical analysis tool in the hands of an experienced trader, and even more powerful when it is an exponential moving average. When used together, these two lines form an indicator that is beyond belief. If you still haven’t tried it you probably should consider it. Simple tool, strong signals   Moving averages are good at what they are doing. They plot average prices of an asset for given period of time on a chart. Moving averages can follow the trend, act as support and resistance lines, detect possible reversal points and even determine potential entry and exit positions. The most basic version of the moving average is a simple moving average (SMA). Each bar in this case is assigned with an equal weight. Older results, therefore, are as important as the newer ones, which is not always useful. This type of the moving average will track the general level of prices, but at the same time lacks precision.  The weighted moving ...

Candlestick Patterns: Improve Your Results With Only 4 Tips

Japanese candlesticks are a commonly utilized technical analysis tool. Using them you can both learn something new (which is always of value in trading) and improve your results. Read the full article to get a deeper understanding of candlestick patterns. Four Tips For Candlestick OnlineTraders A lot of traders consider Japanese candlesticks to be their preferred technical analysis tool. Regardless of the asset, candles bring the chart to life in a way that makes the battle between bulls and bears exciting to watch. However, though these tools can give a clearer view of the market and provide valuable signals, they are not always easy to read. A bearish looking candle could appear at any point in a bull market, which is why knowing what to do about it is the real key to your success. 1. Know Your Candles The first step on the road to success is to know your candles. Of course you have to know a down candle from an up candle, or a doji from a spinning top, but there is mo...

Learn to Understand Quotes Better

Have you ever been confused by the quotes that are used when you open and close the deals? If you ever wondered why the deal was opened above or below the line that you see on the chart, this article is for you. Let’s make it clear once and for all! Bid and Ask First of all, it is important to know about the basic Ask and Bid prices. Ask price is the price at which you buy the asset. Bid is the price at which the asset is sold.  Ask and Bid quotes are the quotes at which you open your CFD-type deals on the IQ Option platform.  The difference between Ask and Bid prices is called Spread. You may enable the visibility of Ask and Bid quotes in the settings menu and this is what it will look like: So how does it work? Let’s look at an example. Let’s say you open a deal on GBP\NZD, under the Forex tab. You make a prediction that the price will go up and open a <Long> position by clicking <Buy>: The deal is opened at the level of the current <Ask>...

8 Facts for trading JP Morgan (JPM) Stock – Outlook into earnings

JP Morgan (JPM: NYSE) Stock reports Q1 2017 earnings on April 13th 2017 before the opening bell. These are the eight key factors to consider before trading. 1) Shares seek  momentum Down 2% since the start of 2017 JP Morgan shares have been recently flailing in the midst of a stellar past 12 months performance that delivered a whopping 39% share price growth.* This is a strong indication that investors are waiting for a factor to drive confidence allowing momentum to develop through the course of 2017. This quarter’s earnings report has a high probability of delivering this trigger – especially given US economic strengthening and the softening fallout terms of Brexit. JPM :NYSE Up 39% over the past 12 Months 2) Earnings JPMorgan reported Q4 2016 earnings of 1.53 per share, exceeding the 1.44 consensus expected by Wall Street analysts covering the company. This was a 19.70% Q4 improvement year on year. The forecast for Q1 2017 EPS is for 1.51USD. ** However, the bank has...