Volatility goes up and down in any financial market. Low volatility is often followed by periods of high volatility and vice versa. Bollinger Bands are one of the tools a trader can use to measure volatility. What is the Bollinger Band Squeeze about? The Bollinger Band Squeeze strategy is about going in the same direction…
Instrument/asset Long Term Treasuries (TLT) Trading rules The trading rules of the edge read like this (please also backtest yourself – you might find a way to improve it): Today is the last day of the month – go short at the close. Results (You must take into consideration that TLT pays a dividend on…
Traders always want to have a Holy Grail trading strategy or indicator that can allow them to make all the money in the shortest possible time. While such indicators do not exist, the ADX and RSI are among the best indicators for short-term trading. What are they? The RSI, ADX, (and IBS). These technical indicators…
We did a backtest where we optimized the month and trading day to find the best trading days for the S&P 500 from the year 2000. We remind you that the TRADING day is different from the calendar day. We backtested the result by entering at the close of trading day N and selling at…
Instrument/asset S&P 500 (SPY) Trading rules The trading rules of the edge read like this (please also backtest yourself – you might find a way to improve it): Today’s open is higher than yesterday’s high; and The IBS indicator is lower than 0.2. The trading edge behaves slightly differently depending on the close in relation…
Forex trading is a great way to make money if you understand how the market works, and no currency pair is more liquid than the EUR/USD trading pair. This is why you should consider a EUR/USD trading strategy. Let’s take a look at EUR/USD and the forex market. EUR/USD trading strategy refers to the techniques…
Instrument/asset Long Term bonds (TLT) Trading rules The trading rules of the edge read like this (please also backtest yourself – you might find a way to improve it): Today’s low is higher than yesterday’s high; and Yesterday’s 5-day RSI was below 30. Results Below is the table if we hold for N days since…
Day trading is becoming popular among retail traders in many markets. Many new retail traders want to try out a day trading price action trading strategy. What is it, and how can you be successful? A day trading price action strategy refers to the pattern of price movement of an asset. Thus, a day trading…
In the world of trading, the Relative Strength Indicator (RSI) stands as a timeless beacon of analysis. Invented by Welles Wilder in the 1970s, it has become a cornerstone of trading strategies. Today, we unveil a fresh perspective on RSI with the Triple RSI Trading Strategy. This innovative approach harnesses the power of RSI in…
Instrument/asset S&P 500 (SPY) Trading rules We make the following trading rules: (The trading rules of the edge read like this (please also backtest yourself – you might find a way to improve it)): Today was a down day; and Today is either Monday or Tuesday; and Last trading day was either Thursday or Friday,…
