Average True Range ATR seen by FxPremiere Live Alerts sending out daily FX News. The Average True Range (ATR) by Live FX Signals site FxPremiere.com
Similar to Bollinger Bands, the Average True Range (ATR) index measures the volatility of an instrument over a given period of time. The true range compares the following, looking for the greatest absolute value: FX Signals – Dollar treads water
- 1 HIGH minus current LOW
- 2 HIGH minus previous CLOSE
- 3 LOW minus previous CLOSE
Average True Range ATR by FxPremiere.com Forex Signals
The Bearish Gartley Pattern
- First introduced in 1935 by trader H.M. Gartley in his book, “Profits in the Stock Market”
- Contains an bearish ABCD pattern preceded by a significant high or low (point X)
- A visual, geometric price/time pattern comprised of 4 consecutive price swings, or trends-it looks like a “W” on price chart.
- A leading indicator that helps determine where & when to enter short (sell) position, or exit along (buy) position.
Why is the Bearish Gartley Pattern important?
Sometimes there is a misconception that you need highly evolved market knowledge and years of trading experience to be successful. However, we often see that the more information we have the more difficult it is to create a clear plan. More information tends to create hesitation and doubt, which in turn allows emotions to creep in. This can prevent you from taking a step back and looking at a situation subjectively.
If you don’t know where you are going, any road will get you there. In trading, if you don’t set out a plan for your trades and develop strategies to follow you have no way to measure your success. The vast majority of people do not trade to a plan, so it’s not a mystery why they lose money. Trading with a plan is comparable to building a business. We are never going to be able to beat the market. In general it’s not about winning or losing, it’s about being profitable overall.
Why a trading plan is important
When trading, as in most endeavors, it’s important to start at the end and work backwards to create your plan and figure out what type of trader you should be. The most successful traders trade to a plan, and may even have several plans that work together. Always write things down. Why? Because it will help you stay focused on your trading objectives, and the less judgment we have to use the better. A plan helps you maintain discipline as a trader. It should help you trade consistently, manage your emotions, and even help to improve your trading strategy. It is also important to use your plan. Many people make the mistake of spending all their time creating a plan, then never implementing it.