Tips for Trading Symmetrical Triangles Short with CFDs

By Jeff Cartridge

The symmetrical triangle is sometimes referred to as a wedge. It is a very well known and easily recognized chart pattern that has been used by many successful traders over the years. A symmetrical triangle is formed when the price action is contained within two lines. The top line slopes down while the bottom line slopes up towards the top line. The angle of the two lines is similar giving rise to the name symmetrical.

Symmetrical Triangles Can Be Profitable Short

Symmetrical triangles provide no clear breakout direction, but 45% break out to the downside making it possible to trade on the short side. Just 44% of these breakouts are profitable and on average the profit per trade is only 0.33% over a period of 9 days. The symmetrical triangle is not one of the best chart patterns when it breaks to the downside, but applying some filters can make this pattern more attractive to trade.

Specific Setups to Improve Profitability

Short breakouts from symmetrical triangles work better in falling markets which is clear from the historical results that were achieved. The market, sector and the stock should be in a down trend or consolidating for the best results when trading symmetrical triangles short.

Symmetrical triangles that breakout early in the pattern, which is not many, produce inferior results to those that breakout later. The best results are achieved when the stock climbs up from the lower boundary and collapses back before reaching the upper boundary of the pattern.

If volume supports a symmetrical triangle breakout then the profitability of the trades improves. For volume to support the breakout, volume when the stock is going down should be greater than volume when the stock is going up. A close lower than the previous day, before the breakout, results in better trades.

Symmetrical Triangles Can Be Profitable

Incorporating these simple changes when selecting symmetrical triangles to trade short, dramatically improves the results. With an average return per trade of 1.58% in 9 days and a hit rate of 47% it is possible for symmetrical triangles to be traded short successfully.

Statistics for this article have been provided by Patterns Trader after analyzing over 60,000 chart patterns on the Australian market from 2000 - 2008. - 23226

About the Author:

Jeff Cartridge has been trading chart patterns since 1998 and created the website LearnCFDs.com Trading Chart Patterns - All The Insider Tricks

Do You Have The Forex Traders Mindset? (Part I)

By Ahmad Hassam

Most of our trading decisions are guided more by emotional than logical thinking. Our mind is capable of playing emotional tricks on us. Human beings are emotional creatures. It is often said that we are our own worst enemy. In forex trading, this is the ultimate truth.

We can get seduced into unfavorable situations by our emotions. Emotions can work for us and against us. Your battles are won or lost in your mind first. A traders mindset is the most important ingredient of success.

Forex trading is not for everyone. Do you have a strong desire to succeed in forex trading? You will end up like the majority who end up losing their money if you just want to try your luck or dabble in trading. Do you have the passion for trading forex?

In order to become a successful forex trader, you must be highly self motivated. You must have a concrete plan of action and not be afraid of failure. Are you ready to devote a lot of time and effort into picking up trading skills and knowledge?

You cannot succeed without knowledge and skills. If you want to succeed at anything, you should immerse yourself in that thing. Learn every nitty gritty. This is the only way to succeed. So you need knowledge and skills in trading currencies in order to become a successful forex trader. To attain consistent success in forex trading, a huge amount of time, effort and money is required for a trader.

Are you willing to accept losses as part of trading? You are going to make mistakes while trading. Do you understand that you can suffer losses in trading? Are you willing to learn from your mistakes? Do you have a traders log that you use to reflect on each lost trade and learn from it?

Every trade needs proper planning. Dont try to rush into a trade. Many traders enter into the trade based on someone elses market analysis. Most depend on market analysis from an analyst. If the trade turns out to be a loser, most of us tend to blame the market analysis and the opinion of the analyst. It is easy to blame others.

When you are confident that you have done your analysis to confirm what others are saying only then pull the trigger. Dont be trigger happy! You must reflect on your decision before pulling the trigger. Is it fair to blame the other person when you could have done further market analysis on your own? When you could have planned your trade in a better way, it is foolish to blame others for your mistakes. So accept your responsibility if the trade goes wrong.

Fear and greed are two demons that are going to haunt you in every trade. Fear and greed are the two most important and dominant emotions that affect not only the individual traders but also the currency markets. A trader is constantly under the influence of fear and greed when trading. Can you be greedy when others are fearful? Do you need to be fearful when others are greedy? In fact, these two emotions are the main drivers of the forex markets.

Fear and greed are behind the steering wheel of the currency market. Fear makes many traders like you over pessimistic about a currency pair. They start the selling frenzy. Similarly, greed is going to make many traders like you over optimistic in thinking that a currency is going to appreciate. Greed starts a buying frenzy. It develops a bubble based on the irrational exuberance. It is inevitable that this bubble is going to burst. When greed takes over, the market becomes bullish. When fear takes over, the market turns bearish. - 23226

About the Author:

Mr. Ahmad Hassam has done Masters from Harvard University. He is interested in day trading stocks and currencies. Know Swing Trading. Learn Forex Trading!

http://ezinearticles.com/?Chinas-Electronics---Why-You-Should-Buy-Them&id=2487008

By Gawel Newell

For China, the electronics industry has not been so much a curse to their history-rich culture; instead, it has become a boon to their economy that they have made to fit in a perfect way. Because not only do they now create computers, mobile phones, etc., but China electronics leads the way in their export industry.

Product Exportation from China: There was a day when it was not quite so easy to receive electronics products (or any other products) from China's export trade. There were too many barriers in place for the average consumer or even the local small business to receive them. With the growth of the Internet, however, these obstacles are being knocked away. Now, global resources from almost every industrialized country can be ordered online and received through that country's export industry. Electronics are no exception, and China is one of the better nations at capitalizing on this trend.

How to Find Exportable Electronics from China: So perhaps you're wondering where can you as a private individual or a business owner go to find products exported from China? As with so many other things today, you look on the Internet. There are literally dozens of directories which list hundreds of manufacturers with products that you can order from China as well as other electronics-savvy countries from Asia.

In fact, the best sites do a good job of hiding the fact that you're dealing with an Asian export business. As with any other retailer's site, you'll simply visit the site then click on what you want or do a search on the product you're seeking.

These export sites look and operate much like a website from a state in the next town over. If you've decided you want a computer or mobile device from china, then it's just a matter of doing a Yahoo or Google search on a keyword phrase such as "China mobile phones." As an example, if you searched for "China computer manufacturers, " the first link, as of this writing, is "Global Source."

China: The Great Glass Exporter: As we just alluded to, China's exports are not limited to just electronics. There are numerous other area where they excel. One of them is glass products. Indeed, China remains one of the world's major glass exporters, exporting more than 12 percent of the world's glass goods. And because they're not focused solely or even mostly on electronics, Chinese exports are rising considerably. Glass is, of course, one of the country's leaders. It now competes aggressively with glass exports from the U. S., Japan, Germany, the U. A. E. And Hong Kong. The reason China is able to compete so well is because of lower prices and slightly different monetary policies.

China. Exports more glass than any other country. Therefore, they remain the biggest glass exporter; it exports nearly 12. 25 percent of glass goods. China's export goods are rising tremendously and glass goods export is rising with the highest ranking foreign shipping, which are U. S., Germany, Japan, Hong Kong, and U. A. E. China's world out-sourcing is bigger than other areas of the globe due to their cheaper prices and fiscal policies. A lot of online directories include section searches, so international companies spot their providers and are able to make worldwide purchases of wanted goods in all sections.

Furthermore, China is a top-ranking exporter on the globe because of a massive labor force and superior technology. Several U. S. Firms have started purchasing cheap and excellent electronic goods and apparel and material goods from China markets. With section searches in online directories, many people can find data on these goods and can execute worldly purchases to build their profession and company. China's product exportation is obviously a money-making trade for lots of global businesses because of their punctual product delivery and their size to ship products in ample supply. - 23226

About the Author:

When it comes to discount electronics China is first source that pop up in ones head. According to Gawel Newell China electronics is has almost become synonymous with cheap quality electronics.

Online Brokers Trading Commissions Explained

By Charles Benedict

The lower trading commissions have transformed how retail investors trade stocks. If you are looking solely on price, it's quite easy. But if you are looking at the different options pass the price, then the decision isn't so easy.

The reason why many people are looking at OptionsHouse is due to its cheap stock trades. If you are looking for a trading platform that works and is cheap, look no further.

If you don't mind the bad publicity and the fact that they might change the rules again, Zecco isn't a bad choice. Currently, they still offer free stock trades for those that have $25,000 in assets or trade 25 times a month.

OptionsXpress is pretty awesome because they are a great options broker. However, their stock trades are $14.95 which is pretty high. This one is for those that don't mind paying a little extra for a good broker.

Wells Trade is totally integrated with Wells Fargo so it's easy if you are a Wells Fargo customer. If you have $25,000, you get 100 free trades. Otherwise, it's $19.95 so only use this option if you have the funds.

One of the best discount broker is TradeKing, because of its amazing customer support. Their $4.95 a trade made headlines back in the days and continue to be one of the best options out there.

Etrade has a special place in my heart because that's who I started with. The broker is solid and the pricing is $9.99 ($12.99 if you have less than $50,000 in assets).

Scottrade offers seven dollar trades, which isn't bad but not the cheapest. However, their customer support is second to none and they also have the most branches nationwide. In addition, they are the cheapest option that offers face to face interaction.

TradeMonster is relatively new but they are endorsed by Guy Adami and the Najarian Boys on Fast Money. People love OptionsMonster (which they also own) so I would check it out just based on that alone.

Charles Schwab, or Schwab for short, loves customers who have more than $300,000 in household investable assets. Less than that and you don't really get the same quality attention.

TD Ameritrade isn't that great but it works. The less than ten dollar trade was a first of its kind. They also advertise no hidden fees although there's a fee if you transfer your account away from them. - 23226

About the Author:

Netflix coupon is not really a stock broker but with the money you will be saving with these discount brokers, you may want to use it for some great DVDs.

Tips for Trading Symmetrical Triangles Long with CFDs

By Jeff Cartridge

Symmetrical triangles have been very popular with traders over the years trading the chart pattern when it breaks out in either direction. A symmetrical triangle is defined by two lines, one on the upper boundary of the price movement which slopes down and one on the lower side which slopes up. The lines have almost the same angle, hence the name symmetrical.

Symmetrical Triangles, Breakout Unclear

Symmetrical triangles show no clear breakout direction. Just over half (56%) of the patterns break upwards and this is likely due to the upward bias of the markets. The average gain is 0.85% in 9 days with less than half of the breakouts (44%) being profitable.

Specific Setups to Improve Profitability

Surprisingly a break to the upside works better in a falling or consolidating market. By using filters that require the market to be in a consolidation or a down trend you can improve the results. If the sector is consolidating or rising the results also improve. This is more as you would expect.

Symmetrical triangles are sensitive to the length of the pattern with breakouts that occur in less than 25 days, from the start of the pattern, performing the best. While the pattern breakout works best in the range specified, avoid trading patterns that breakout early, in the first 30% of the pattern length.

If volume strongly supports a symmetrical triangle breakout then the profitability of the trades improves. For volume to support the breakout, volume when the stock is going up should be 40% greater than volume when the stock is going down.

Symmetrical Triangles Can Be Very Profitable

You can improve your trading results by using a series of simple filters that have been outlined here. This select group of symmetrical triangles delivers an average profit of 1.87% in 11 days and is profitable on 55% of the trades. Overall this makes symmetrical triangles attractive to trade.

Note: Statistics for this article have been provided by Patterns Trader after analyzing over 60,000 chart patterns on the Australian market from 2000 - 2008. - 23226

About the Author:

Jeff Cartridge is a private trader and created the website LearnCFDs.com A Simple Timeless Method for Huge Gains