What Is Stock Tape Reading, and How Do Traders Use It?
Tape reading is a real-time market analysis method used to track buying and selling pressure. Unlike technical indicators, which rely on historical data, tape reading focuses on executed trades, order flow, and liquidity shifts. Traders use it to assess momentum, identify institutional activity, and refine trade timing. This article explores how tape reading works, its role in modern markets, and how traders apply it to short-term decision-making.
The Origins and Evolution of Tape Reading
Tape reading began in the late 19th century when stock prices were transmitted via ticker tape machines, printing a continuous stream of price updates on paper strips. Traders would gather around these machines, scanning for large trades and unusual activity to anticipate market moves. One of the earliest and most well-known tape readers, Jesse Livermore, built his fortune by studying these price changes and spotting institutional buying and selling patterns.
By the mid-20th century, as markets became faster and more complex, ticker tape machines were replaced by electronic order books. Instead of scanning printed numbers, traders began using Level 2 market data and time & sales windows to track order flow in real time. This transition allowed for more precise liquidity analysis, making it easier to see how large orders impacted price movement.
TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG
Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
Market Insights with Gary Thomson: 19 - 23 May
Market Insights with Gary Thomson: RBA Rate Decision, Canada & UK Inflation Rate, Earnings Reports
In this video, we’ll explore the key economic events, market trends, and corporate news shaping the financial landscape. Get ready for expert insights into forex, commodities, and stocks to help you navigate the week ahead. Let’s dive in!
In this episode, we discuss:
— RBA’s Interest Rate Decision
— Inflation Rate in Canada
— Inflation Rate in the UK
— Corporate Earnings Statements
Don’t miss out—gain insights to stay ahead in your trading journey.
Watch it now and stay updated with FXOpen.
Don’t miss out on this invaluable opportunity to sharpen your trading skills and make informed decisions.
Disclaimer: This video represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
Analytical Gold Price Forecasts for 2025, 2026, 2027, and Beyond
Gold has long been viewed as a so-called safe-haven asset, especially during times of economic uncertainty, inflation, and geopolitical tension. As global markets continue to face shifting monetary policies, global trade tensions, and geopolitical risks, analysing the future price of gold becomes increasingly important for market participants. In this article, we take a deep dive into the historical performance of gold, examine the key factors influencing its value, and present analytical forecasts for 2025, 2026, 2027, and beyond.
Gold Price History
Gold has been a cornerstone of economic systems and wealth preservation for millennia. Revered for its scarcity and intrinsic value, the precious metal has been used as a form of currency, a symbol of wealth, and a reserve asset across different civilisations. Its unique qualities, such as durability and resistance to corrosion, have made it a preferred choice for monetary systems until the modern era introduced fiat currencies.
In the 20th century, gold retained its prominence through the establishment of the gold standard, where currencies were directly linked to gold reserves. Although this system was eventually abandoned, gold has continued to play a significant role as a store of value and a hedge against economic uncertainties, maintaining its relevance in global markets.
TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG
Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
RBA Cuts Rates. AUD Declines
Today, the Reserve Bank of Australia (RBA) decided to cut the interest rate from 4.10% to 3.85%, continuing its easing policy after a previous cut from 4.35% in February.
According to Reuters, the RBA today cited:
→ progress made in bringing inflation under control;
→ economic risks linked to the ongoing global trade war.
Although the RBA’s decision was widely expected, the Australian dollar weakened noticeably against other currencies — including the New Zealand dollar. The AUD/NZD rate fell to its lowest level in nearly two weeks.
TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG
Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
UnitedHealth (UNH) Share Price Rebounds
A month ago, in our analysis of the UNH chart, we:
→ highlighted that UnitedHealth shares had lost nearly 23% in value;
→ drew a descending channel and suggested that bearish pressure could continue, threatening the support level around $450, which had held since early 2022.
Since then, UNH’s stock price decisively broke below that level (as marked by the arrow), falling to around $250 — its lowest point since spring 2020 — before staging a sharp rebound. This steep price movement was driven by a series of fundamental developments, including:
→ the resignation of the CEO and news of a Department of Justice investigation into potential Medicare fraud;
→ UnitedHealth withdrawing its earnings guidance for the coming year;
→ political debates over the Medicaid programme as part of the 2025 budget negotiations;
→ President Trump’s directive to cut prescription drug prices.
Recent news that the new CEO and several top executives have bought tens of millions of dollars’ worth of UNH shares appears to have renewed investor confidence — the share price rose above the $300 mark yesterday.
TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG
Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
Who Is a Bag Holder in Stocks and Crypto?
A bag holder is a trader or investor who holds onto a losing asset, refusing to get rid of it despite clear signs of failing. This often happens due to emotional attachment, false hope, or ignoring market signals. Understanding how market participants become bag holders—and how to avoid it—can help prevent unfavourable outcomes.
This article answers the question, “What is a bag holder in stocks and crypto?”, along with the causes, psychological traps, and market conditions that lead to bag holding, and strategies to avoid it.
Who Is a Bag Holder
A bag holder is an investor or trader stuck holding an asset that has plummeted in value, often because they refused to get rid of it when warning signs appeared. The term comes from the idea of being left “holding the bag” while others have already exited.
This may happen when a trader buys at high prices, expecting further gains, only for momentum to reverse. Instead of cutting losses, they hold on, hoping for a recovery that never comes. Some bag holders double down, buying more as prices fall, believing they’re getting a bargain—only to watch their losses grow.
TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG
Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
EUR/USD Regains Pace While USD/JPY Dips Further
EUR/USD started a decent upward move above the 1.1225 resistance. USD/JPY declined below 144.50 and is currently consolidating losses.
Important Takeaways for EUR/USD and USD/JPY Analysis Today
- The Euro found support and started a recovery wave above the 1.1250 resistance zone.
- There is a connecting bullish trend line forming with support at 1.1280 on the hourly chart of EUR/USD at FXOpen.
- USD/JPY is trading in a bearish zone below the 146.10 and 144.90 levels.
- There is a short-term bearish trend line forming with resistance at 144.25 on the hourly chart at FXOpen.
EUR/USD Technical Analysis
On the hourly chart of EUR/USD at FXOpen, the pair started a fresh increase from the 1.1135 zone. The Euro climbed above the 1.1200 resistance zone against the US Dollar.
The pair even settled above the 1.1225 resistance and the 50-hour simple moving average. Finally, it tested the 1.1340 resistance. A high is formed near 1.1339 and the pair is now consolidating gains above the 23.6% Fib retracement level of the upward move from the 1.1223 swing low to the 1.1339 high.
Immediate support is near the 1.1310 level. The next major support is at 1.1280. There is also a connecting bullish trend line forming with support at 1.1280 and the 50% Fib retracement level of the upward move from the 1.1223 swing low to the 1.1339 high.
TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG
Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
European Currencies Strengthen After Corrective Pullback
The EUR/USD and GBP/USD currency pairs are showing moderate gains following a recent correction, supported by fundamental factors weakening the US dollar. Trade uncertainty, a rising national debt, and declining confidence in US exceptionalism have led to a fall in US asset values and a rise in the euro and pound.
In the upcoming trading sessions, investor focus will shift to the release of key macroeconomic data from the eurozone and the UK, including inflation and retail sales figures. These releases could significantly influence expectations surrounding monetary policy decisions by the ECB and the Bank of England. Additional market volatility may be driven by tomorrow’s release of US retail sales and producer price index (PPI) data for April. These figures could, in turn, reshape expectations regarding US interest rates and impact the dollar’s performance against the euro and pound.
Such a dense news flow may provide clearer signals about the future direction of major currency pairs — and possibly clarify whether the April trends are likely to resume.
EUR/USD Technical Analysis
The EUR/USD pair is trading close to a key resistance level at 1.1300, having recovered from its recent decline. Technical analysis suggests that a breakout above this resistance could open the way for further gains towards the 1.1360–1.1420 area. The nearest support lies at 1.1220; a break below this level could lead to a decline towards 1.1100–1.1080.
TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG
Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
Oil Prices Surge Amid Threat of Strike on Iran
As shown on today’s XBR/USD chart, Brent crude oil prices have jumped (as indicated by the arrow) to a one-week high. This surge follows U.S. intelligence reports suggesting that Israel may be preparing to strike Iran’s nuclear facilities.
Although CNN, citing officials, noted that it remains unclear whether Israeli leaders have made a final decision, oil prices are rising as markets price in the risk of escalation disrupting Middle Eastern oil supply chains:
→ Iran is the third-largest oil producer within OPEC.
→ There is concern that Iran could retaliate by blocking the Strait of Hormuz in the Persian Gulf — a key shipping route used by Saudi Arabia, Kuwait, and others to export oil products.
TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG
Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
Tesla (TSLA) Shares Rebound on Musk’s Comments
According to media reports, speaking via video link at the Qatar Economic Forum, Elon Musk stated that he plans to:
→ remain Tesla’s CEO for another five years;
→ reduce his focus on politics, saying he feels he has already done enough;
→ increase his stake in the company from 12.5% to 25%.
These comments, which came alongside news that Tesla will begin testing robotaxis in Texas in June, sparked renewed interest in Tesla (TSLA) shares. TSLA stock outperformed other MAG7 members, climbing above the $353 mark at yesterday’s peak — its highest level since late February 2025.
Just ten days ago, when the price was still below the psychological $300 level, we highlighted TSLA’s strength following its rebound from the $220 support area and suggested a bullish outlook. But is the picture still as optimistic today?
TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG
Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
Simple Trend Strategies
In trading, successfully navigating market trends can make all the difference. This article provides a deep dive into four simple yet effective strategies that show you how to trade with the trend. Regardless of your level of experience, these strategies offer actionable insights that can enhance your trading journey.
Understanding Trend Trading
Trend trading is a strategy that aims to capture gains by analysing an asset’s movement in a particular direction. Traders use various methods like price action, moving averages and chart patterns to identify the trend, be it upward (bullish) or downward (bearish).
The core philosophy is “the trend is your friend,” implying that it’s generally more effective to move with the market trend rather than against it. Understanding the trend not only increases the chances of making successful trades but also minimises risk, as traders set up safeguards, like stop-loss orders, aligned with the trend’s trajectory.
VIEW FULL ARTICLE VISIT - FXOpen Blog…
Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
Apple (AAPL) share price slips towards psychological $200 level
Yesterday, Apple shares (AAPL) fell by 2.5%, edging closer to the key psychological threshold of $200. Moreover, the stock is underperforming the broader market, which reached new highs earlier this week — a move AAPL has yet to replicate.
Why is AAPL’s stock price declining?
According to media reports, investors may have grown concerned after OpenAI acquired a startup founded by Jony Ive, Apple’s former chief designer, for $6.5 billion.
The move is being interpreted as OpenAI’s first step toward launching a physical AI-powered device — one that could, eventually, pose a challenge to Apple’s hardware, even if not in the near term.
TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG
Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
How to Trade with a Momentum Indicator
The momentum oscillator (MOM) is a vital instrument in the trader’s toolkit. Designed to measure the velocity of asset price changes, it serves as a compass for traders, pointing them towards prevailing market trends. By analysing this indicator, traders can gain insights that allow them to seize budding opportunities in volatile markets. Keep reading to broaden your understanding and elevate your momentum indicator strategies.
Momentum Technical Analysis
Momentum technical analysis is a crucial aspect of understanding the financial markets. Traders and investors rely on momentum tools to identify potential trends and make trading decisions.
VIEW FULL ARTICLE VISIT - FXOpen Blog…
Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
USD/CAD Rate Drops Towards Yearly Lows
The USD/CAD chart is currently showing clear signs of a bearish trend, characterised by a sequence of lower highs and lower lows (A→B→C→D→E→F→G).
This week’s decline suggests the downward structure may continue to develop, putting the current yearly low around the 1.3770 level at risk.
Why Is USD/CAD Falling?
On one hand, the US dollar remains under pressure:
→ Following last week’s downgrade of US debt ratings by Moody’s, investor attention has shifted to the country’s $36 trillion debt burden.
→ A tax bill backed by Donald Trump — recently passed in the Republican-controlled House of Representatives — could add trillions more to the national debt. Market participants may be increasingly concerned about the US’s fiscal outlook, prompting a shift towards safe-haven assets.
On the other hand, the Canadian dollar has strengthened this week relative to other major currencies. Tuesday’s CPI figures from Canada came in above analysts’ expectations and may be seen as a sign that the inflation surge could delay any potential rate cuts by the Bank of Canada.
TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG
Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
Palantir Technologies (PLTR) Shares Pull Back from Another High
Shares in Palantir Technologies (PLTR), a company specialising in big data analytics software, have seen phenomenal growth in 2024, surging by approximately 340%, making it the top performer in the S&P 500 (US SPX 500 mini on FXOpen). This exceptional performance was driven by booming demand for artificial intelligence (AI) and machine learning technologies, which underpin Palantir’s products. The company has demonstrated steady growth in revenue and profitability, attracting major new clients across both the commercial and government sectors.
In 2025, PLTR remains among the market leaders, with its share price up roughly 60% year-to-date. In mid-May, it hit a fresh record high on the back of a strong fundamental backdrop. That backdrop was bolstered yesterday by news that the Pentagon had increased funding for its Maven Smart System programme — which involves deploying AI on the battlefield — to $1.3 billion through to 2029.
However, this news did not result in a new high. In fact, this week, PLTR stock have underperformed the broader stock market — and this may be explained by technical analysis.
TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG
Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
