I have discussed in past articles how volume and open interest can be used to help identify and confirm market situations and trading opportunities. I’ll take open interest one step farther in this column by examining the Commitments of Traders (C.O.T.) report, issued by the Commodity Futures Trading Commission (CFTC). The C.O.T. report is released
Bio: Steve Nison, the first to reveal the power of candlesticks, has taught the top professional traders from nearly every major investment firm from 19 countries. His work has been highlighted in the financial media, including the Wall Street Journal, Worth Magazine, and Barron’s. Mr. Nison is the author of three books including Japanese Candlestick
Much has been written about the use of momentum oscillators in highlighting retracements in a trend or momentum divergences. This article will show an entirely different way that momentum oscillators can be used.
Step 1 – Look for a BULLISH THRUSTING LINE resting on MINOR PRICE SUPPORT, and/or a rising Major Moving Average (10 MA, 20 MA, or 50 MA) on the daily chart. Step 2 – Pull up a 15 min. chart of the stock. Step 3 – Note the high price of the previous day’s daily
Step 1 – Look for a BULLISH HARAMI resting on MINOR PRICE SUPPORT, and/or a rising Major Moving Average (10 MA, 20 MA, or 50 MA) on the daily chart. Step 2 – Pull up a 15 min. chart of the stock. Step 3 – Note the high price of the previous day’s daily HARAMI