Harmonic price patterns enable us to distinguish possible areas for a continuation of the overall trend. Six Harmonic Price Patterns There are six harmonic price patterns: The ABCD Pattern The Three-Drive Pattern The Gartley Pattern The Crab Pattern The Bat Pattern The Butterfly Pattern 3-Step Price Pattern Recognition Process The three basic steps in spotting harmonic price patterns are the following Step 1:…
Yay! You made it! Congratulations! You’ve read all six gazillion pages of the School of Pipsology and now you have everything you need to conquer the forex world, retire in a year or two, and then go travel the world in your Gulfstream G700™ jet, right? Think again NOOB! I’m still a noob! Sorry to burst…
As you may have guessed, profiting off Harmonic Price Patterns is all about being able to spot those “perfect” patterns and buying or selling on their completion. There are three basic steps in spotting Harmonic Price Patterns: Step 1: Locate a potential Harmonic Price Pattern Step 2: Measure the potential Harmonic Price Pattern Step 3: Buy or sell on the…
Once upon a time, there was this insanely smart trader dude named Harold McKinley Gartley. He had a stock market advisory service in the mid-1930s with a huge following. This service was one of the first to apply scientific and statistical methods to analyze the stock market behavior. According to Gartley, he was finally able…
We can’t stress enough how important proper risk management is to succeed in forex trading. To help keep us from losing our risk capital, we have learned in the Senior Year of the School of Pipsology all about stop losses. But out of the four kinds of stops discussed, which one do you think suits your currency trading personality best? …
More often than not, your attitude towards risk is crucial to determining the success of your forex trading endeavor. This could help you find out which trading style is best for you, what kind of system you should use, appropriate trade management techniques, or how you can improve your trading in general. Are you a gambler, a neurotic, or…
The ABCD Let’s start this lesson with the simplest harmonic pattern. So what could be more basic than the good old ABCs? We’ll just pop in another letter at the end (because we’re cool like that), and we’ve got the ABCD chart pattern! That was easy! To spot this chart pattern, all you need are ultra-sharp…
Now that you’ve got the basic chart patterns down, it’s time to move on and add some more advanced tools to your forex trading arsenal. In this lesson, we’ll be looking at harmonic price patterns. These bad boys may be a little harder to grasp but once you spot these setups, it can lead to some very nice…
We learned all about mechanical trading systems in the School of Pipsology. We even learned how to design and build our own forex trading systems. But like men, not all mechanical trading systems are created equally. Some systems, called trend-following systems, do a better job at catching strong directional moves, while others, known as mean reversion systems, are better for spotting probable currency pair reversal points….
Some forex traders live and die by technical indicators while others couldn’t care less about them. Some rely heavily on their own fundamental or technical analysis while some like to let robots do the thinking. This test is designed to help you determine whether your personality suits discretionary, hybrid or mechanical (automated) trading. Take the results with a grain of salt….