TradeSmart University

Mastering Candlesticks: Evening Star Reversal

What is it?The Evening Star Reversal candlestick pattern is a three-candlestick pattern. The first candle is a strong bullish white candle, which is followed by a second small spinning top candle of any color. Finally, the third candle of the pattern is a black candle.Where is it?The Evening Star Reversal will occur at a resistance […]

Foundations: Anatomy of a Trend

We covered in last Thursday’s blog that Technical Analysis focuses on the price action of a stock and how the current and historical price points can anticipate future price direction and activity. Thus, by studying the candlestick chart of a particular company, we can, in essence, make an educated guess on the stock’s future behavior. […]

Foundations: Being a Technical Trader

Today’s blog is taught from Foundations of Stocks and Options Level 2 Class 1 and covers being a technical trader. Now, there are two main approaches in the world of trading, which, for the most part, are derived from your predetermined goals in the marketplace. If you are looking to invest your money in hopes […]

Foundations: The End is Where We Begin

When I first started writing Stock Market Made Simple, and Foundations of Stock and Options blogs, my understanding of the stock market was passing at best. I had been around Tradesmart University off and on for years but failed to do any actual trading. I knew all the terms and keywords surrounding the stock market, […]

Mastering Candlesticks: Dark Cloud Cover

What is it?The Dark Cloud Cover pattern has a very descriptive name as it sounds like the clouds are building, and a rainstorm is coming which is exactly the way the Japanese interpreted this pattern. Japanese traders believed when you see a dark cloud cover formation; you should get ready because the rains are about […]

Foundations: The Anatomy of Options

In our last blog, we introduced the concept of stock options and how trading them is similar to trading stocks. If you are long on a stock, you will need to use a call option. If you are short on a stock, you will need to use a put option. The main principles are the […]

Foundations: Introduction to Stock Options

When it comes to stock trading, there are two main approaches; you can either buy a stock and sell it when it increases in value, or you can short a stock and take your profits as the price of the stock drops. In both cases, you are dealing with transactions of actual shares of a […]

Foundations: Moving Averages

In our Stock Market Made Simple series we introduced you to using indicators and the information they bring to a trader’s toolkit, which you can read here. Today, we are going to take a closer look at indicators as they are presented in Foundations of Stocks and Options Level 1 Class 5. We will cover […]

Mastering Candlesticks: Bearish Harami

What is it?“Harami” means “pregnant” in Japanese, and as you can see in the following image it is an appropriate name for this candle. The candlestick pattern is characterized by a large, better than average size white candle. While the second candle is a smaller black candle, usually a spinning top, which occurs completely inside […]

Foundations: Trend Lines

Two weeks ago, we covered building a framework for your trades using support and resistance lines. When we locate and mark lines of support and resistance on our charts, it gives us a framework upon which we can build. It provides a graphical representation of trader sentiment, and it defines pivot points where a stock […]