If you truly want to make money in the markets, pay attention to fear and greed. Remember, most investors are irrational. They buy because everyone else is. They sell because everyone else does. And in doing so, they send stocks up, or even down far too much. If you can spot those very overreactions, you can do very well […]
Technical Analysis: Why Fibonacci Retracement Levels are Essential
incomesetups | November 8, 2021
Bollinger Bands. Relative Strength. The Golden Cross. Cup and Handle Patterns. These are just a handful of terms associated with technical analysis. The idea behind this style of trading is based on two key ideas. First, Stock Prices Move in Trends For a technical analyst, the trend is always his friend. That’s why most technical trading strategies are trend following. […]
How to Spot Overbought Pivots up to 80% of the Time
incomesetups | November 8, 2021
With the incredibly popular Avengers: Endgame film, shares of Disney Co. exploded from a low of $107.50 to $142.50 in April 2019. After the film grossed $1.2 billion in its opening weekend (biggest in history), analysts were still seen raising price targets. JP Morgan noted the stock could run to $150 a share by the end […]
Price Expansion and Retraction: The Rubber Band Effect
incomesetups | November 8, 2021
If you pull a rubber band too far, too fast, what happens? It snaps back, right? The same thing happens with stocks, indexes, and currencies.If they’re pulled too far in one direction, eventually they’ll snap back and revert to back to the mean. In fact, we see it happen all the time. To spot that, we begin […]
One of the Most Powerful Indicators We Use
incomesetups | November 8, 2021
One of the best ways to improve your trading is to experiment. It’s how I found that a combination of Bollinger Bands (2,20), MACD, relative strength (RSI), Williams’ %R, and Money Flow (MFI) can help lead to success as high as 80%. Over the next few years, I’ll add or delete indicators to strengthen my […]
Technical Education 101: Channel Trading
incomesetups | November 8, 2021
When it comes to technical analysis, there are thousands of patterns to watch for, decipher and understand along the way. They’re not so tough to understand. In fact, one of the easiest ones to understand is the channel, defined as two parallel trend lines within a tight trading range. The upper line connects the price […]
Spotlight on Marijuana Stocks
incomesetups | November 6, 2021
Controversial or not, it’s still one of the most profitable stories of 2017. Multiple states have approved its medicinal and/or recreational use. Several more are likely to follow suit. And while Canada has noted it would take its time with regard to broad legalization, the opportunity to find profitable opportunities is big. In the U.S. alone, analysts […]
Trading 101: How to Trade the Political Process
incomesetups | November 6, 2021
Sometimes it pays to sound like a broken record. For quite some time, we’ve been telling investors that if you want to transform your wealth, keep your eye on the political process. Look at defense spending, for example where Donald Trump has plans to increase spending by $54 billion in the 2018 Department of Defense […]
Gold Trading: Be Greedy When Others Are Fearful
incomesetups | November 6, 2021
Gold is a fickle beast. There’s a great fear that Federal Reserve policy on rates will remove the shine from the metal. But that’s really never the case. In fact, when interest rates rose to 0.5% from 0.25% in December 2015 followed by a promise of four hikes in 2016, gold bottomed out and ran […]
Opportunity in the Most Crowded Trade of the Year
incomesetups | November 6, 2021
Well, this could be embarrassing. Analysts, traders, hedge funds have all been largely optimistic about the sustainability of the oil rally months after OPEC agreed to curb production. OPEC, Russia and handfuls of other producers announced plans last year to reduce production by up to 1.8 million barrels a day through June 2017. Russia alone […]