Multiple Time Frame Analysis
Multiple Time Frame Analysis is the practice of analyzing a currency pair by looking at the same pair through several different time frames on charts. The advantage here is that by looking at a larger time frame,...
Author: Dailyfx.com
Support and Resistance
Support and Resistance is the most important thing Technical Analysis. Let’s start out our discussion by looking at a chart.
Stops and Limits
The placement of stops and limits is a critical component to successful trading. Stops are put on a trade to take a trader out of a trade at a predetermined point at a worse price than the...
Never Trade Without a Protective Stop
After having identified your entry on a new trade, the next step should always be to identify the price level for your protective stop.
Fast Stochastics or Slow Stochastics?
One of the technical indicators we teach in the DailyFX Power Course is the Stochastic Oscillator.
What a Trend Change Looks Like
With expectations of USD strength in 2010 by many analysts, it might be a good time to look at what a trend change looks like on a chart. The current EUR/USD daily chart shows a good example...
Using Bollinger Bands
One of the more popular technical indicators in use today is Bollinger Bands. Created by John Bollinger in the early 1980s, this tool is essentially a Moving Average with a volatility filter.
What is the Average Directional Index (ADX)?
You see that the EUR/USD was moving up strongly, so you bought this pair on the last pullback.
What Do They Mean by Overbought and Oversold?
Many times in trading we hear the terms overbought and oversold. We hear an analyst state that the AUD/USD is overbought and due for a correction or that the USD/CAD is oversold and due for a bounce....
Buy the Strongest, Sell the Weakest
One of the best technical tools we can use in our analysis is the strength or weakness of other currency pairs.