Index Of Chart Sentiment by Viktor Likhovidov
This new concept can improve your intraday trading.
Those who trade stocks or derivatives may rely upon a number of so-called sentiment indicators such as the put/call ratio, the number of odd-lot sales, and the number of investment advisors who are bullish versus bearish. These indicators can give useful hints about the plans and intentions of market participants. But currency traders have no such additional indicators, and the only source of information is the price chart itself. In this article, I will discuss the index of chart sentiment, a new approach that can improve your intraday trading systems.
INTRADAY TRADING AND ITS PROBLEMS
Any trader who attempts to trade short time frames learns quickly that common technical analysis and money management rules alone will not make his
trading successful. One of the universal rules in
trading is the old saying, “The trend is your friend.” A trend is formed when the market undergoes some evident movement. Buying the trend is a natural reaction, as is immediately taking a loss if the trend