The Arms Index (TRIN), also known as the Short-Term Trading Index, is a stock market trading indicator developed by Richard W. Arms in 1967. It measures market strength by comparing the Advance-Decline (AD) Ratio to the Advance-Decline Volume Ratio, making it a key tool in short-term technical analysis trading. TRIN helps traders determine whether buyers or sellers are in control by...
Here is what I have for you this week: How to improve your trading based on your personality The stock market decisively picks a direction Enlightened Stock Trading system update Why does it always feel like you are behind as a trader? Trading Quote of the week by Jesse Livermore A great experience - The best way to eat at homeHow to improve your trading based on your personalityIf you’ve ever...
The Camarilla Pivot Points trading indicator provides traders with a structured and systematic approach to identifying key support and resistance levels. These technical indicators help pinpoint optimal trade entries and exits based on historical price action, making them a crucial tool for improving trading accuracy and profitability. Think of Camarilla Pivot Points as GPS coordinates for...
Market breadth as a trading indicator is a critical concept in technical analysis that measures the overall participation of stocks in a stock market move. Rather than focusing on a few large-cap stocks that dominate an index, market breadth measures how many stocks are advancing versus declining. This provides a deeper insight into the strength of a market trend. For example, if an index like...
The Chandelier Exit trading indicator is a volatility-based indicator developed by Chuck Le Beau and introduced to traders by Alexander Elder in Come Into My Trading Room. Its purpose isn’t to tell you when to enter a trade—it’s designed to guide you out when the trend might be over. Think of it like a safety line that trails just behind your progress. It protects your trading positions, letting...
The Range Expansion Index (REI) is a trading indicator that measures price strength by comparing the true high and low prices over a specific time-frame. This indicator was developed by Tom Demark and was first presented in his book "The New Science of Technical Analysis." It oscillates between -100 and +100, primarily identifying overbought and oversold levels in financial markets such as forex...
There wasn't a whole lot happening in the stock market this week - Markets are back to the pre tariff war levels, and the last 5 days have been eerily quiet on the major indices. The S&P 500 is hugging the 200 day EMA like it's life depends on it. I always like to remind myself in times like this that there is nothing more certain than high volatility follows low volatility - something will...
The New Highs/New Lows trading indicator is one of the simplest yet most effective tools in technical analysis for gauging market breadth and momentum. It tracks how many stocks are reaching new 52 week highs versus those hitting new 52-week lows. By analyzing the number of stocks making new highs and new lows, traders can assess whether the market is gaining strength or showing signs of...
The Squeeze Momentum trading indicator (SMI) is a volatility indicator designed to identify periods of low volatility when a breakout is likely to follow. In simple terms, it spots squeeze conditions those moments when the market just entered a squeeze before a sharp price movement occurs. Imagine squeezing a spring between your fingers. The more pressure you apply, the more potential energy...
Usually I start my updates with observations about the market, but this week I have an observation about traders... apparently you like learning from the pain of traders that came before you. I know this because one of my most popular videos at the moment is called "27 Losing Trades in a Row... My Turning Point". Here is the video, you should watch it if you haven't seen it yet:That was a...
The Supertrend trading indicator is a trend-following indicator designed to help traders identify market trends and determine potential entry and exit points. Created by Olivier Seban in 2009, it has gained popularity due to its simplicity, adaptability, and effectiveness across various financial markets, including stocks, forex, and commodities. The Supertrend indicator is a widely used...