Triangular Moving Averages (TMA)
Moving average is another famous analytic tool used by various traders. Many of them refer to different days in measuring averages and draw the trend line. However, there are two obvious lines that are acceptable to be the reference predictions of the change in the trend. They are EMA50 and EMA200. The EMA50 line indicates middle term of market trend (either bullish or bearish) while the other EMA200 line indicates the long time market trend.
When I began to learn about Forex Fibonacci I started from. This lesson, so I put it into my web. In order to be useful to people like me, it all began six lessons, if so then I guarantee that you will understand it more.
Predicting trend from the candlestick chart can be of at most effective when taking other indicators or tools in consideration. This section describes the two most famous indicators incorporating with candlestick chart analysis.
A candlestick chart was introduced in 1755 by a Japanese rice merchant, Munehisa Homma. By analyzing demand and supply to adjust the rice price, he had authored 2 books i.e. ‘Sakata Henso’ and ‘Soba No Den’. In the following years, western countries adopted the chart to analyze stock market, futures market, options market, and forex market. There are approximately 50 types of the candlestick chart but only frequently used ones will be discussed in this section.
Hedging seems to be unimportant in investment, but it is one of the fundamental lessons every investors must learn. Managing risk in your portfolio is as important as gaining profits from your portfolio. However, hedging has not been mentioned much as it was thought of as a complicated investment strategy.