The Dark Cloud is one of the more frequent patterns that can be found in charts. Trading expert David Jones deciphers its structure and meaning for us in this detailed video and shows it in real chart examples. Unlike the Engulfing Candlestick pattern this combination of consecutive candlesticks is found a bit more often and are considered more unreliable. Traders look for these formations as confirmations of larger trends, especially if they are around price levels already identified as support or resistances. David demonstrates the theory behind this pattern and showcases it in real chart examples that also have different levels of success. Its equivalent pattern, perceived as a bullish […]
The last week has seen one of the most serious drops for Bitcoin ever since the flagship cryptocurrency entered the mainstream. Several support levels were broken withing days of each other and right now it’s trading at 7703 after bouncing up from yesterday’s low at 5970. A lot of news has been accompanying this selloff – the largest U.S. banks banned cryptocurrency purchases with their credit cards, the UK imposed the same barrier at almost the same time. More regulation does seem to be on its way in the western economies but at the same time governments in Singapore and Australia have shown no signs of any unease with the […]
Japanese candlesticks have one ability that most other chart types don’t – they can show so called “engulfing” patterns. An engulfing pattern is defined as when the open and close price of a bullish or bearish candle are within the range of the open and close price of the candle following them. When this happens many traders believe it is a sign that a trend has just finished and this is the best possible entry point. That’s the theory but as we know the market doesn’t always answer to predefined rules. That’s why David Jones includes real examples alongside the theory behind these specific chart patterns. You’ll also see different […]
0 It’s been another week of ups and downs for Bitcoin but overall the larger bearish trend has continued. No new highs have been registered and there is a support level that has had a couple of tests and could be seen again if the downward momentum continues. That support lies at 9150, which was touched on the 17th of January. If selling continues and it’s broken, then a further down move to 8400 could also materialise. Trading expert David Jones also discusses the latest news from South Korea where authorities have clarified their requirements for trading bitcoin and cryptocurrencies in general. They won’t be banning it altogether but rather […]
It might seem logical what a point or pip is in trading but some traders, especially new ones can get confused about the meaning of the term. This video sheds light on the exact definition of the terminology and what it represents. Different examples of currencies with two, four and five digits after the decimal are included so that you can see what represents a pip. Stocks are also discussed and presented, as they make up a sizeable portion of the trading world. Real examples on the chart are also shown, so that you can place them in context and see how they are used when talking about trades, targets […]
0 The difference between the buy and sell price (also known as bid and ask) is one of those things that mystifies newbies. We’re not used to having two prices for the same thing when we go to a store or shop online. This video explains in detail what they mean and why it’s there in the first place. As there are many connected things stemming from the bid/ask price David covers them as well, to provide a more holistic description of the term. The exact terminology, its place on a chart, how to interpret it is discussed in a simple and easy to grasp way before continuing to a […]
The Slow Stochastic isn’t necessarily among the top three of most popular indicators but it does have a large and loyal following. Our trading expert David Jones takes a look at the math behind it, ways to adjust its parameters and different tricks and tips on how to get the best out of it. It’s one of those indicators that “smooth the edges” – they need a bit more to provide a buy or sell signal. The parameters that build it are designed not to react to sharp moves in both directions (which are often followed by pullbacks) and looks at a broader picture to come into an oversold or […]
Selling with the goal of profiting, also known as shorting, is one of those things that many new traders are baffled by. How can I sell something that I don’t own? How can I win if something appears to be losing? This video answers those questions and more. From the definition of the term, to what it looks like in the Trading 212 platform, we look into this term in a simple way that will make it as simple as possible to understand. David goes through the theory and demonstrates it in the real market with a step by step guide on how to find situations when a short could […]
One trading jargon that you’ll hear very often is margin. It’s usually in terms like margin account, margin trading and even margin call. It seems a bit complex at first but after this video with trading expert David Jones it should be something quite easy to grasp. David breaks it down to the basics once again and explains the meaning of the word as well as the scenarios in which it’s used. He makes several trades on the Trading 212 platform – one in Forex and one for a stock CFD – and points to the exact value of the margin as it changes once the trade has been opened. […]
In the first video of our new series explaining trading terminology, David Jones looks at one of the first things newbies see when they open a real account – leverage. What is it exactly? How does it work? Is there any way to see it in a real environment? All these questions and more are answered in this video. Leverage is one of the basic things that one has to understand and keep in mind when trading. Many traders, even experienced ones, miscalculate its impact and reduce their chances of a profit. Knowing what it is will improve your risk-management, reduce stress levels and could lead to better decision-making. Do […]
