Analytical Charts and Graphs
Technical analysis - the prediction of the behavior of asset prices, traded in the future through the use of technical indicators, the analysis of price changes graphics, trend lines, channels, triangles, pennants, tops and bottoms, as well as analysis of the turning points. Below are explanations, and examples of each of the above technical analyzes.
The trend line - a technical analysis tool used to draw a line through the point at which the price , as the chart shows " Candlesticks " reaches highs and lows. To properly draw a trend line , it must take place at least three points of the maximum take-off or falling prices . Trend lines can be used to construct triangles channels and " neck line " ( for graphics with two tops and two bases) , and also for a clear visual differentiation and support and resistance . We will provide more details how to use the trend lines for making the trade decision.
The channels are formed by two parallel trend lines . There are three types of channels: ascending, descending and horizontal . Rising channels are formed in an uptrend , going down - with a downward and horizontal when the asset price fluctuates within a certain range . Different types of channels are shown in the following graphs .
Looking at the charts, we see that the channels consist of the upper trend line that limits the movement of the prices upwards, and the lower trend line , limiting its downward movement . A trader can use this information to trade binary options. The "up/down" option. Obviously, achieving top-line price within the trend may indicate that it will go down, and the achievement of its lower trend line could indicate that it will go up. This works best for the horizontal channel.
The wedges are formed by two sloping trend lines , while at the rising wedge angle over the lower trend line , while the falling wedge over the angle of the upper trend line.
The figure on this graph - falling wedge. The circle is highlighted area in which the binary options trader should choose an option on the platform UP ( CALL ). In a specific example, expiration must be at least a day , so that the price has moved into profit area.
In the chart above you can see the figure of "rising wedge", a circle highlighted area in which binary options trader should choose an option on the platform DOWN (PUT) . One-day expiration is sufficient to ensure that the transaction brought income.
"Triangle" – is a figure of the technical analysis formed by two trend lines:
- Ascending Triangle: the upper horizontal trend line connecting the highs and the lower diagonal line connects the growing trend lows. Eventually, the asset price breakdown take place, moving in the "bull" direction.
- Downward triangle: the lower horizontal trend line connects the lows and the upper diagonal trendline connects the highs falling. In the end, the price of an asset will carry out a probe moving in the "bearish" direction.
- Symmetrical triangle top sloping trend line connects the declining highs and lower diagonal trendline connects rising lows. Price can move out from the triangle in any direction.
In all these cases, the two trend lines are fixed to a point of convergence. Asset price jumps between the lines of the trend , more and more approaching the point of convergence , and the closer it is to the point , the sooner will come the moment when it breaks the trend line.
The figure in the graph above - a symmetrical triangle. Trading binary options will be waiting for the breakdown that occurs either above or below the trend lines forming a triangle. In this example, the break was bullish, and in a circle , on which the arrow , circled the area in which binary options trader would choose option UP ( CALL ) on the trading platform. Fortunately buy or sell option "60 seconds" in the presence of a triangle chart figure is impossible in case of the time factor.
Descending triangle shown above - bearish signal. The white line at the base of the triangle indicates the area in which the trader should buy the option DOWN (PUT) on the trading platform. The same principles apply when the ascending triangle, when a trader buy a call option UP (CALL) on the breakdown of the upper trend line.
Financial News TV
Financial News is packaged information about current events happening somewhere else. News moves through TV and other media channels, based on word of mouth, printing, postal systems, broadcasting, and electronic communication. Traders are using that information as a fundamental analysis before make a decision, to trade any financial instrument or asset.
It is a list of events that might move the market, used by a professional traders to keep track day to day. Most fundamental different asset traders use this list, that includes the date and time of major scheduled events that can affect the whole financial market. It could be an employment rates, trade volumes, sectors and assets growth and inflation data releases, as well as ministers or any official persons meetings and speech, surveys and central bank interest rate decisions.
Your market analysis should include an overview of your industry, a look at your target market, your own projections for any specific Asset you need to explore. Also, your decision must include an opinion any professional advisers and analysts within the specific sector of financial market.
Here you will find a list of all the recent expiry rates from OK-options's trading platform. You can search the list by date or asset for your strategies evaluating and future trades considering.