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All of a sudden, there’s a gap in the chart of your favorite stock. Surprise news, earnings, something unexpected caused a bout of extreme optimism or pessimism that resulted in the move. Look at Palo Alto Networks (PANW), for example.  In early June 2017, shares closed at $118.59.  However, shortly after the close, news of a […]

The Parabolic Stop and Reverse (SAR), commonly known as Parabolic SAR is a trend following indicator that highlights current price direction. It also provides entry and exit signals as well with dotted lines. What we simply want to do is buy an asset when the dots move below the price, and sell or short-sell when the […]

We have all heard the phrase, “the trend is your friend” and as traders we also know just how amazing profitable it can be trading alongside it as well as how devastating it can be to out accounts when we trade against it. But before we are truly able to spot likely trend reversals, we must be […]

Traders are often told to buy excessive fear or greed. Unfortunately, many of those traders aren’t aware of when to pull the trigger, or realize when fear or greed have gotten way out of control. Then, when they finally do decide to make the trade, the stock has already begun to pivot. And more often […]