Category: Getting Started in Trading

The Trader: Trading Turnarounds

Merry-go-round

Everyone likes a turnaround. This is because people like the idea of buying at the bottom and reaping the rewards.

However, trading turnarounds can take a lot of time. Businesses are often slow to change and it is not a quick process.

This article will show you how to trade some potential turnaround stocks and give you some pointers to look at next time you are considering trading a turnaround.

Why mindset is the most important factor

“Nature versus nurture” has been a debate that has raged for hundreds of years. Sir Francis Galton (pictured above), who was a Victorian era statistician and psychologist (amongst investor, explorer, and other disciplines) coined the phrase in his book Hereditary Genius. He had been influenced by Charles Darwin’s Origin of the Species, and so in […]

Cups and bowls

Cups and handles, and bowls, have been very popular with trend traders. These patterns can be powerful as they show sentiment of the stock gradually changing and buyers slowly overpowering suppliers of the stock. This is a classic cup and handle pattern. The cup is the deeper bowl, along with a handle which is the […]

Support & Resistance

Support and resistance are two common concepts when it comes to technical analysis. They are the most basic but also the most important points when plotting levels on a chart. Technical analysis is a self-fulfilling prophecy as many traders and investors look at the same levels on charts, and therefore support becomes support because people […]

Two Technical Analysis Tools You Need: Candlesticks and Volume

We briefly touched on technical analysis in my previous article ‘The Four Stages of a Stock’, and in this article I want to introduce some simple technical analysis components, which, if understood, can provide a lot of clarity on price action in the market. Candlesticks are said to have been invented by a Japanese rice […]