by Henry Liverman | May 10, 2021 | Market Definitions
An extremely unpredictable event that produces potentially drastic effects on markets. Black swan events are characterized by their rarity, impact, and general belief “we should have seen it coming.” Examples of a black swan event are 9/11, the 2008...
by Henry Liverman | May 10, 2021 | Market Definitions
A bearish technical indicator created by price moves that show a horizontal line across swing highs and a rising line across the swing lows. These two lines create an rising triangle pattern. They typically begin wide at the bottom and constrict as the prices rise...
by Henry Liverman | May 10, 2021 | Market Definitions
A lesser known potential bullish chart pattern made up of a sharp V-shaped bottom (the “Adam” bottom) and a second, longer-term cup-shaped bottom (the “Eve” bottom). This creates a double bottom pattern that eventually compresses into a tight...
by Henry Liverman | May 7, 2021 | Market Definitions
A horizontal trading pattern created by drawing trendlines on a price chart along a converging price range. Characterized as continuation patterns, triangles are used in technical analysis to determine the direction of a trend. Triangles are made up of ascending,...
by Henry Liverman | May 7, 2021 | Market Definitions
Mathematical calculations plotted and tracked on a price chart that can help traders identify signals and trends within the market. There are 4 main types of indicators: trend (eg MACD), momentum (eg RSI), volatility, and volume. Many other types of indicators have...
by Henry Liverman | May 7, 2021 | Market Definitions
An indicator that identifies a turning point in the price trend and indicates a price pause, pullback, or reversal is likely. In essence, if a chart shows nine consecutive candles above or below the closure of 4 prior candles, it indicates a TD9 sell signal. The...
by Henry Liverman | May 7, 2021 | Market Definitions
Generally considered to be a foreign country that offers foreign individuals very low “effective” taxation rates. While there is no set definition of a tax haven country, some common characteristics are low to no income taxes, minimal financial reporting,...
by Henry Liverman | May 6, 2021 | Market Definitions
A trading strategy based around attempting to force other traders out of their stop positions. The stop hunter attempts to trigger the stop loss orders of other traders to trigger a temporary period of high volatility in the market in order to profit. Stop hunting...
by Henry Liverman | May 6, 2021 | Market Definitions
All the shares of a corporation into which ownership is divided. Meaning that a stock represents fractional ownership of a corporation. Also known as equity, they make up the foundation of many investor’s portfolios. They are most prominently sold on stock...
by Henry Liverman | May 6, 2021 | Market Definitions
An oscillating momentum indicator that makes use of support and resistance levels. It is bound within a range of 0 to 100 and used to track the momentum of a price (as opposed to the actual price itself). A stochastic oscillator compares a particular closing price...