Well, by looking at past history. And history in the world of technical analysis is all about price, value, and volume. So price and value, depending on what you're trading and volume. But that's the other great thing about technical analysis is once you learn it, you can go from trading stocks to futures to options to Forex to cryptocurrency to whatever you want because all those quote-unquote things, all those assets have a price and value, and then there's volume attached with that. But this is what it's all about for technical analysis, trying to gauge people's emotions, trying to figure out how to best capitalize on how people's emotions have influenced supply and demand looking back at the past. past can be a great indicator of the future. Now I didn't say a guarantee of the future, but if you take and look at how people have acted in the past under certain circumstances, you know that can provide value going into the future.
They have many uses in various forms, even though they are complex they can fundamentally alter the traits of any portfolio if used properly with the right knowledge, and tools & I am here to help you achieve that.
Starting in the 1970s and increasingly in the 1980s and 90s, the world became a riskier place for the financial institutions. Swings in interest rates widened, and the bond and stock markets went through some episodes of increased volatility. As a result of these developments, managers of financial institutions became more concerned with reducing the risk their institutions faced. Given the greater demand for risk reduction, the process of financial innovation came to the rescue by producing new financial instruments that helped financial institution managers manage risk better. These instruments, called derivatives, have payoffs that are linked to previously issued securities and are extremely useful risk reduction tools.
Under Normal circumstances gold and US Dollar share inverse relation. When the US dollar declines other currencies tend to rise and there is a demand for commodity along with gold, this is because international gold is denominated in the US dollar, another reason is when the US dollar starts to lose value investors look for alternative investment sources to hold value which gold is acting from generations.
We have witnessed 2008 & survived which gave us the experience to look at the aftermath of situations like these rather than staying and panicking. As we all are aware that this situation was inevitable with or without COVID-19, if there was no pandemic then the tension between the US & China could have bought similar situations to the economy worldwide in one or the other ways. Always keep in mind that this is not the 1st one and obviously not the last one, this is a learning opportunity for every one of us to be alert and prepare for the worst things that might happen with backup plans for survival.
This will also be beneficial if you want to learn different strategies, with different styles, there are different things to be considered for following and becoming successful. Knowing common styles of trading will make your learning curve very short so you can start trading and making money without losing your valuable time in searching for what these styles mean and what you should follow.
Watch out for the market trends in the longer time horizon to know and plan about the future investment as there are times when some markets are more volatile than other in particular period of times say for example in the current times stocks related to tourism industry and Tech industry are volatile than any other industry.
We as a result of corrupt governments and power-hungry politicians, who without transparency and our will are using resources which belong to us, at the same time restricting us from becoming independent decision-maker for our resources, forcing us to become dependent upon them. Why the 1$ we hold today is worth less than 1$ with passing time in terms of purchasing power? Is this because of us or the so-called our systems' lack of competence? You may say it is because of inflation but have you ever thought about the reason and cause of inflation?
As witnessed in the market NEPSE is in full control of bulls, the market had rallied about 48% from its low at 1102 points. This is the first localised post in the blog which is relevant to traders and investors of Nepal Stock Exchange. I have been watching the market
As stated in earlier post I am sharing with you an indicator to aid you in planning trading strategy. I will also mention why I choose this, what is it and how does it help. This has saved me a lot during my trading and investment race. I apply this