Articles for: ProfitSource

Pivot points are an Indictor often used by floor traders or day traders as a quick and easy way to calculate resistance and support levels.

When you look at a line chart of the DOW or All Ordinaries and ask investors to look back and point to where they would like to have bought in, almost without exception they point to the major retreats that we call ‘pullbacks’.

Volume indicators are often used to confirm the validity of price movement.

The word ‘black’ means different things to different people.

In the last issue of the Trading Tutors Newsletter, Chief Editor Tom Scollon offered some interesting insights into how he weights one sector to another.

The phrase “resistance becomes support” has been taught, traded and no doubt even argued by many a trader over the years.

Markets are tough right now – an understatement you might say. So what to do?

As traders, we can sometimes spend so much time looking for the latest technical analysis indicator that we forget to have a good look at the past history of the market we are trading.

As I am sure most of you know sharemarkets are divided into sectors. For example Financials excluding property is about 40% of the Sharemarket, Materials is about 20%, and Industrials are about 8%.

Volume is one of the simplest and most undervalued indicators around. Like indicators in general, volume alone does not give the whole picture.