Keys on how to analyze

Thanks for the info. mate!

The art of successful trading is partly due to an understanding of the current relationships between markets and factors affecting it and the reasons that these relationships exist. It is important to get a sense of causation, remembering that these relationships can and do change over time.

I once heard that ā€œOur trade isnā€™t determined by the entry prices, but the exit prices we setā€ and I think this is quite true as per OPā€™s ending statement. When a trader is running his trade, definitely he shouldnā€™t fidget with the strategy. But when the market suddenly becomes uncertain because of any news, at that time, the trader can adjust his sl-tp to either exit the trade with a small loss, or stay in the trade longer for profit.

If you are analysing the market when day trading, the best time frame is 4H. In a 4H chart, the price action gets enough time to form the right patterns, and for your sl-tp to execute perfectly.

Grasping the right usage of stop loss and take profit is important as it avoids huge losses. Our trading strategy should be followed until we see how it performs, and stop loss can always be used in targeting an allowable risk threshold by placing it according to our risk calibour. In case market trends change we could be at a safe position to enter into a new trade.

I agree, market trends keep on changing and we should understand how the market works in order to analyse it. Before we can actually make some good decisions we should understand the relationship of the market and major events.

One should focus on developing a disciplined strategy without letting emotions like greed, fear, anxiety etc get in the way.

If you are technically analysing the price patterns for day trading, it is good to use short term indicators like the Average True Range (ATR), the RSI, and the Bollinger Bands. Indicators play a vital role in confirming the probability of direction of movement, so you can double check your analysis before making a decision.

Thanks

But can we also Check the Companyā€™s Market value or not

Iā€™m not clear how useful that would be to a short-term trader. But Iā€™m not involved in company share trading or investment.

For me itā€™s accumulation zonesā€¦ Big players cannot dump their full position into the market ā€¦ so they Will slowly get in at certain price levels or ā€œaccumulation zonesā€

(Exception are the crazy ā€œeconomistsā€ at the bank of Japanā€¦ this guys Will just go ALL IN when their price hits) LOOOOOOLZ

i trade grid ,i donā€™t analyze

Scalpers and short-term traders are not these of profound analysis, because they take advantage of unexpected fluctuations taking place in the market.

Yes they do, and its a great skill if you can do it. But most new traders canā€™t.

There are a lot of patterns to consider like head and shoulders, double bottom and so on. If you can advise some of them to take a closer look at, that would be great.

OP hasnā€™t been around since July. hahaha