Natural Gas Technical Analysis (6 July 2016)

Bursting Setup – Natural Gas

Recently we witnessed an intraday breakout in Natural Gas which occurred after the formation of The Bursting Setup, a breakout technique developed by The Financial Doctors.

Natural Gas - 60 Minutes

Natural Gas gave this breakout of nearly .200 points after breaking the Lower Price Wall of The Bursting Setup.

For Intraday & Positional Tutorial Calls and Detailed Technical Support, Ask The Financial Doctor

COMEX Silver Technical Analysis (1 July 2016)

Bursting Setup – Silver

Recently we witnessed a significant breakout in Silver which occurred after the formation of The Bursting Setup, a breakout technique developed by The Financial Doctors.

COMEX Silver 60 Minutes

COMEX Silver gave this major breakout of nearly 3.100 points after breaking the Upper Price Wall of The Bursting Setup.

For Intraday & Positional Tutorial Calls and Detailed Technical Support, Ask The Financial Doctor

COMEX Gold Technical Analysis

Bursting Setup – COMEX Gold

Recently we witnessed a breakout in COMEX Gold which occurred after the formation of The Bursting Setup, a breakout technique developed by The Financial Doctors.

COMEX Gold - 15 Minutes

COMEX Gold gave this breakout of nearly 20 points after breaking the Lower Price Wall of 1231.5 .

For Intraday & Positional Tutorial Calls and Detailed Technical Support, Ask The Financial Doctor

MCX Silver Technical Analysis

Bursting Setup – MCX Silver

Recently we witnessed a breakout in MCX Silver which occurred after the formation of The Bursting Setup, a breakout technique developed by The Financial Doctors.

MCX Silver - 15 Minutes

MCX Silver gave this breakout of nearly 700 points after breaking the Lower Price Wall of 37472. Price Consolidated. Price Pattern was acceptable. Volume Pattern was acceptable.

For Intraday & Positional Tutorial Calls and Detailed Technical Support, Ask The Financial Doctor

MCX Gold Technical Analysis

Bursting Setup – MCX Gold

Recently we witnessed a breakout in MCX Gold which occurred after the formation of The Bursting Setup, a breakout technique developed by The Financial Doctors.

MCX Gold gave this breakout of nearly 300 points after breaking the Upper Price Wall of 29015. Price Consolidated. Price Pattern was acceptable. Volume Pattern was acceptable.

For Intraday & Positional Tutorial Calls and Detailed Technical Support, Ask The Financial Doctor

Support & Resistance

Improve Your Trading Strategy With Support And Resistance

What is the best way to improve your trading strategy? Use support and resistance concepts in your trading strategy.

Learn how to use support and resistance levels in your trading strategy to improve your trading results.

WHAT ARE SUPPORT AND RESISTANCE LEVELS?

Before you learn about support and resistance, you must first understand basic demand and supply.

Demand and supply are the underlying forces of price movements. Market turns up when demand overwhelms supply and turns down when supply overcomes demand.

(Technical analysis studies recurring price patterns that result from demand and supply changes. Fundamental analysis drills into the determinants of demand and supply.)

Prices move up when demand is stronger than supply. Buyers are more eager to buy than sellers are willing to sell. So buyers will offer a higher price to entice sellers. Price rises. Prices drop when supply is stronger than demand. Sellers are more eager to sell than buyers are willing to buy. In this case, sellers will lower their asking price until buyers are willing to buy. Prices fall.

At support levels, we expect demand to overwhelm supply. When demand is stronger than supply, price will rise. Or at least, price will stop falling at the support level. At resistance levels, as supply overcomes demand, we expect the price to stop rising and fall.

Take note that support and resistance are not clear-cut price levels. They occur over a range of prices. However, for convenience and clarity, many technical analysts draw lines to mark out support and resistance.

Drawing lines to represent support and resistance is acceptable as long as you understand that the lines actually represent zones where the demand and supply imbalance switches.

Trading Setup Tutorials : "Moving Average Channel Trade Setup"

MOVING AVERAGE CHANNEL

This day trading setup by Jake Bernstein uses a moving average channel to figure out trend and key support and resistance levels. We will build a moving average channel with a 20-period SMA of highs and lows.

Source: The Compleat Day Trader, Second Edition

RULES FOR LONG DAY TRADE

1.  Wait for two consecutive bars to move entirely above the high of the channel.

2.  Buy as price tests the 20 SMA of lows (more aggressive traders can buy on test of 20 SMA of highs).

RULES FOR SHORT DAY TRADE

1.  Wait for two consecutive bars to move entirely below the low of the channel

2.  Short as price tests the 20 SMA of highs (more aggressive traders can sell on test of 20 SMA of lows)

MCX Gold Technical Analysis

Bursting Setup – MCX Gold

This is a recent breakout example of MCX Gold. The breakout came into effect after the formation of The Bursting Setup, a breakout technique developed by The Financial Doctors. 

This is the recent example for MCX Gold-

MCX Gold - 15 Minutes

It broke the Upper Price Wall of 29365 and it has already given 300 points in Intraday in MCX Gold. Prices consolidated. Price Pattern was acceptable. Volume Pattern was acceptable. Lets see where it takes Gold from here on.

Trading Setup Tutorials : "The Sandwich Trade Setup"

The Sandwich Trade Setup

The sandwich trade is made up of multiple candles and involves an engulfing bar. It forms by the market going up or down sharply and then having multiple small bars follow it. After those small bars a bigger bar engulfs the previous small bars. This essentially forms a sandwich and you will get a better idea of what it looks like.

It can act as a reversal signal or a continuation signal depending on whether the 2nd big bar is bullish or bearish.

What a Sandwich Trade Looks Like

The diagram below shows a bullish sandwich trade, notice how the price drops sharply down then it is followed by a couple small bars. Then an engulfing bar consumes all of the small bars since the sharp price drop. This is a simple example of a sandwich trade.

Trading Setup Tutorials : "Hikkake Trade Setup"

HIKKAKE TRADE SETUP

Dan Chesler discussed this candlestick trading setup in the Active Trader Magazine in April 2004 (“Trading False Moves with the Hikkake pattern”). Hikkake means trap, trick or ensnare. This trade setup seeks to profit from false breakouts.

RULES FOR LONG HIKKAKE

1.   An inside bar.

2.  The next bar has a lower high and lower low.

3.   Place buy order at the high of the original inside bar for the next three bars.

4.   Cancel order if not triggered after three bars.

RULES FOR SHORT HIKKAKE

1.   An inside bar.

2.  The next bar has a higher high and higher low.

3.  Place sell order at the low of the original inside bar for the next three bars.

4.  Cancel order if not triggered after three bars.

Trading Setup Tutorials : "Bollinger Squeeze"

BOLLINGER SQUEEZE

Bollinger Squeeze is a trade setup by John Bollinger, using his very own Bollinger Bands.

Bollinger Bands is a channel formed by two vertically displaced moving averages: one displaced upwards by two standard deviations and one displaced downwards by two standard deviations. The typical parameters refer to a simple moving average and standard deviation based on 20 periods.

Bandwidth is the width of the Bollinger Bands. A decreasing Bandwidth shows decreasing volatility and an increasing Bandwidth shows increasing volatility. Bollinger Squeeze setup uses decreasing Bandwidth (the Squeeze) to find periods of low volatility and trades price breakouts from sluggish price action.

Trading Setup Tutorials : "Yum-Yum Continuation Pattern "

Yum-Yum Continuation Pattern

Yum-Yum continuation pattern is a delicious trading setup found in the Ultimate Trading Guide by John R.Hill, George Pruitt, and Lundy Hill. If we’re a book analyst, we would issue a “strong buy” for this book for its variety of sound price-based trading ideas.

Take a look at Yum-Yum and if you find it yummy, you might want to take a look at the book.

TRADING RULES – YUM-YUM CONTINUATION PATTERN

LONG TRADING SETUP

1.  Existing upwards trend

2.  Swing high broken with a wide-range bar that exceeds the 10-period average range

3.  Close is near the high of the bar and above the open

4.   Buy on breakout of wide range bar (within 1 to 3 bars)

SHORT TRADING SETUP

1.   Existing downwards trend

2.   Swing low broken with a wide-range bar that exceeds the 10-period average range

3.   Close is near the low of the bar and below the open

4.   Sell on breakout of wide range bar (within 1 to 3 bars)

MCX Lead Technical Analysis

Bursting Setup – MCX Lead

Recently we witnessed a massive breakout in MCX Lead after the formation of The Bursting Setup, a breakout technique developed by The Financial Doctors.

MCX Lead  - 60 Minutes

MCX Lead has already given a breakout of nearly 7 points after breaking the Lower Price Wall of 124. Prices consolidated. Price Pattern was acceptable. Volume Pattern was acceptable. Lets see how it goes.

For Intraday & Positional Tutorial Calls and Detailed Technical Support, Ask The Financial Doctor

S&P Futures Technical Analysis

Bursting Setup – S&P Futures

Earlier in the day we have seen a Major Breakout in S&P Futures after the formation of The Bursting Setup, a breakout technique developed by The Financial Doctors.

This is a live example for S&P Futures-

S&P Futures - 240 Minutes

S&P Futures has already given this breakout of nearly 25 points in Intraday after breaking the Upper Price Wall of 1897 followed by a Bull Flag to the upside with an estimated target of 1950-1960 Area. Prices consolidated. Price Pattern was acceptable. Volume Pattern was acceptable. Lets see how it goes.

For Intraday & Positional Tutorial Calls and Detailed Technical Support, Ask The Financial Doctor

DOW Technical Analysis

Bursting Setup – DJI (Dow)

Earlier in the day we have seen a Major Breakout after the formation of The Bursting Setup in MCX Gold 11February 2016. This is yet another live example in DOW Futures. The Bursting Setup is a breakout technique developed by The Financial Doctors.

This is a live example for DOW Futures (DJI)-

DOW Futures - 240 Minutes

DOW has already given this breakout of nearly 250 points in Intraday after breaking the Lower Price Wall of 15729. Prices consolidated. Price Pattern was acceptable. Volume Pattern was acceptable. Lets see how it goes.

For Intraday & Positional Tutorial Calls and Detailed Technical Support, Ask The Financial Doctor

MCX Gold Technical Analysis

Bursting Setup – MCX Gold

The previous day we discussed about The Bursting Setup formation in 120 Minutes NYMEX CrudeOil Chart 10 February 2016.

Today we witnessed the breaching of Upper Price Wall in MCX Gold of 28527 which is also the high of Bull Flag. Now its possible that we can see 29000-29300 level soon

MCX Gold - 240 Minutes

Price Pattern is acceptable. Volume Pattern is acceptable. It should start its breakout mode anytime. Lets see how it goes.

For Intraday & Positional Tutorial Calls and Detailed Technical Support, Ask The Financial Doctor

NYMEX CrudeOil Technical Analysis

Bursting Setup – NYMEX & MCX CrudeOil

After yesterday's breakout in NYMEX CrudeOil 120 Minutes, this is yet another live breakout example of MCX CrudeOil followed by the breakout in NYMEX CrudeOil. The breakout came into effect after the formation of The Bursting Setup, a breakout technique developed by The Financial Doctors.

This is the live example for MCX CrudeOil-

MCX CrudeOil - 15 Minutes

It broke the Lower Price Wall of 1924. Prices consolidated. Price Pattern was acceptable. Volume Pattern was acceptable. It has already given '30 points. Interestingly it is hovering over a Lower Price Wall of “$27.72” in NYMEX CrudeOil.

NYMEX CrudeOil Technical Analysis

Bursting Setup – NYMEX CrudeOil

This is a live breakout example of NYMEX CrudeOil followed by the breakout in MCX CrudeOil. The breakout came into effect after the formation of The Bursting Setup, a breakout technique developed by The Financial Doctors.

This is the live example for NYMEX CrudeOil-

NYMEX CrudeOil - 120 Minutes

It broke the Lower Price Wall of ‘$29.57’. Prices consolidated. Price Pattern was acceptable. Volume Pattern was acceptable. It already has given '$1.50' followed by some important support on the downside. Interesting to see where it takes CrudeOil from here on.

MCX Gold Technical Analysis

Bursting Setup – MCX Gold

Earlier this day we discussed about The Bursting Setup formation in 60 Minutes MCX CrudeOil Chart 8 February 2016. And now we are here with yet another success story in MCX Gold.

This is a recent example for MCX Gold-

MCX Gold - 15 Minutes

MCX Gold gave this breakout of nearly 350 points in Intraday after breaking the Upper Price Wall of 28041.

For Intraday & Positional Tutorial Calls and Detailed Technical Support, Ask The Financial Doctor

MCX CrudeOil Technical Analysis

Bursting Setup – MCX CrudeOil

This is a live breakout example of MCX CrudeOil. The breakout should come into effect after breaking the Lower Price Wall of The Bursting Setup, a breakout technique developed by The Financial Doctors.

This is the live example for MCX CrudeOil-

MCX CrudeOil - 60 Minutes

If it breaks the Lower Price Wall of 2107, it should come into breakout mode. Prices are consolidating. Price Pattern is acceptable. Volume Pattern is acceptable.

Also an important point to consider is, a Strong Support Area 2070 – 2090 is just under this level. So this area may act as a reverse point for MCX CrudeOil. Lets see what happens.

For Intraday & Positional Tutorial Calls and Detailed Technical Support, Ask The Financial Doctor.