Level 1 is a service provided by your broker that displays real-time bid, ask and last quote information for stocks. Level 1 is the most basic form of quoting and does not show market depth like Level 2 does. The bid represents what the buyers are willing to pay for the stock at that specific time […]
The Trading Journey If you’ve started trading recently or you’re an experienced trader operating on the financial markets for many years, there is one thing you know for sure: handling emotions has been (or currently is) a big deal. Personally, I’ve encountered many obstacles on my path to get where I am today and, to […]
Many traders rely so much on technical indicators that they avoid or forget that all indicators are derived from price, so when you are using indicators you are adding an extra layer of analysis between yourself and price. Technical indicators are like different colored lenses, each one offers a different view, but the clearest view […]
When we think about the true definition of a sniper a few key points come to mind. An elite sniper is one who has complete control over both physical and psychological states in high stress situations, highly proficient and skilled with their weapons system, tactful and selective in their approach, and their heightened state of […]
When you are trading and looking at a bid/ask quote, you are looking at the Level 1. To go a step further, you can subscribe for Level 2 quotes where you will gain access to the NASDAQ order book that contains price quotes for each price level and the size on each order along […]
Table of contents What is the Pattern Day Trader (PDT) Rule? PDT Meaning History of the Pattern Day Trader Rule Example of the Pattern Day Trader Rule Ways Around the Pattern Day Trader Rule What is the Pattern Day Trader (PDT) Rule? Pattern Day Trader (PDT) rule is a designation from the Securities and […]
Candlesticks are used for charting price action by displaying the high, low, open and close prices for the time period specified. Depending if the candlestick closes higher or lower from the opening price, it will have a different color, usually either red or green where red marks a down candle and a green marks a […]
Of all the patterns created by price action, the flag and pennant pattern are some of the easiest to recognize as well as trade. They provide excellent entry and exit points with defined risk and reward scenarios. Below we’ll compare their differences in both appearance and trading tactics. Flag Pattern A popular trading pattern for […]
Options are a financial derivative that trade based on the price action of the underlying asset and are bought and sold in units called contracts, which usually represent 100 shares per contract of the underlying. Options come in two different types: calls and puts. Traders can choose to buy (option holder) a call/put long or sell […]
Patience Pays in Day Trading Everyone has heard the statement “Patience is a virtue.” Well, I am here to attest to the truth behind the saying while day trading the markets. Day trading requires an extreme amount of focus while making important decisions that often occur in split seconds. Simultaneous analysis of Market conditions, charts, […]
