eXcentral - Swing Trading Strategies

good evening ladies and gentlemen my name is mikhail dimon i'd like to welcome everybody to tonight's webinar here at xcentral tonight we're going to be looking at a specific type of strategy we're looking at swing trading strategies street trading strategies is strategies for more inter let's say trading not short-term not long-term but in the medium terms or something in between we're going to be looking at using indexes which is something we haven't looked at for a very long time haven't looked at it for approximately five to six months we're going to be looking at certain indicators as well so this is something that you can look to use or maybe even practice on your demo account over the christmas period to get ready for the new year now if you do have any questions throughout the webinar you of course have two options you can either ask the question through the go to webinar software in which uh very simply i will just read the question out and then answer the question live on the webinar alternatively if you don't feel comfortable doing that do not worry this is my email address here my email address is pretty much on all of the slides so feel free to send me an email and i will get back to you with uh the quit with the answers to your questions now as always i like to split up the webinar into a couple of sections the first section is going to be based uh really on an introduction into my an introduction to myself to the company to trading in general something really for new traders which don't know much about trading don't know much about accenture all myself uh for the traders who have already seen the introduction just bear with me a couple of minutes and we will continue to uh starting to look at string trade certain swing swing trading techniques and strategies of course so a quicker introduction and my name is mikhail ziftimio i'm the market analyst here at xcentral a bit about my background i originally was a financial advisor in the uk did that for many years since then i've set up two academies around the globe uh based solely on uh training and education within regards to the financial trading markets i've been training for eight years for those of you who want to know my licenses i do hope c map license and sizes advanced as well see my there a uk-based license seisek advanced is a cypress-based license which is where i had offices based so as a market analyst i can assist you with anything which is to do with the actual market or trading in general so it could be something within regards to something happening in the market specific type of movements maybe you need assistance on strategies techniques uh risk management exposure levels anything which is to do with trading and the markets feel free to get into touch with me and i'd be more than happy to spend some time with you alternatively if it's something which is unrelated to the markets and trading if it's to do your passwords and things like this then i think best speak to the support team that are available 24 hours a day seven days a week so they'll probably be a much better contact for you and they'll answer much quicker as well by the live chat but again if it's anything to do with strategies or something happening in the market or anything which is related to your actual trading then of course feel free to get into contact with me and i'd be more than happy to assist you investments and investment risk now it's massively important for everybody to understand that here at tech central we are looking at investments now of course with investments no matter what type of the invest what type of investment it is there is a risk to the capital that you are investing the same thing applies to investing cfd now this is why we've got uh the investment risk information on our website it is on every single page on the website so the information is very much accessible read it make sure you understand it make sure you're comfortable with it before proceeding to a full investment now if you've read it and you still do not understand then bowel means feel free to send me an email and i will get in touch with you and confirm all the answers to your questions make sure that you fully understand before proceeding to a full investment now the last thing last slide before we actually get started on today's subject the contents in this video is for informational purposes only and do not constitute investment advice accenture assumes no responsibility for any potential errors inaccuracies or missions in this material nothing in this communication contains or should be considered as containing an investment advice or an investment recommendation or solicitation for the purposes of purchase or sale of any financial instruments any views or opinions presented within this material are solely those of the author and do not necessarily represent those of eccentric unless otherwise specifically stated so what i'm trying to say as part of this life is that this red webinar this video is for educational purposes it's not there to give you direct financial advice so how you wish to use the educational material which is given how and when and if is completely down to you as a trader the investment is always 100 in your control now i've got a uh a question from a gentleman who's asking if the webinar is available in portuguese i apologize the webinar is not available in portuguese but the webinar is available in spanish in italian and in german so if you go to youtube you and type in eccentric and you'll be able to see our logo there if you click on the logon on videos you'll see hours and hours worth of videos then when you've clicked on the video click on settings click on subtitles and then pick the language you wish to watch the webinar with and while i'm speaking there will be your selected language subtitles and that way hopefully you can follow the webinar and get all the information that you are looking for now the first one i want to speak about is buy sell long short bull bear now for a new trader these six words are probably something which is very confusing makes absolutely no sense and seems like i'm just saying these words at random no it is something which is very often used in the financial trading world and if you are trading on a daily basis and you're gonna continuously hear these words so what i first want everybody to be aware of is what they mean and why exactly is useful for you as a trader now one of the biggest benefits to trading cfps and the investment which you are investing in is cfd the cfd trading is the fact that you have the ability to speculate that assets can decrease in value as well as assets can increase impact so for example if you're opting for whatever reason to actually buy the physical assets instead so you go to the stock market and you physically actually buy the store there's only one way to make a profit you're gonna see the price movement of course private movements can look something like this for example you buy at one price the only way to make profit is if you sell at a higher price like so that is the only way you can make a profit by actually owning the assets itself now when you're trading cities you don't only have the option to profit from assets increasing values but you can instead opt to speculate prices are going to decrease in value so if you look at the year so far we've had two stock market crashes one very major stock market crash in february march we've also seen certain stocks crash massively as well we've seen oil absolutely crash at speed with massive amounts of volatility actually decreased by approximately 85 percent so we can see what the big benefit is there to have the option to speculate assets would decrease in value now that is something very unique to the cfd trading markets not something which is going to be available when you are actually buying the stock itself so ladies and gentlemen when you are speculating that prices are going to increase in battery it's called long you are trading long you are opening a long position on a specific asset so it could be i'm trading long on apple stocks just an example when you are trading short it means that you are speculating that the asset will decrease in value now in terms of what buttons there actually are on the platform because i had a couple of emails today which is why i put this on the actual webinar uh what balance do i need to press to speculate something's going to increase in value or something it's going to decrease it back ladies and gentlemen you always will see your buy and sell buttons so you can of course click the assets you're looking to trade and then you'll see the two options buy and sell when you are clicking buy it doesn't mean you're buying it means that you are speculating prices are going to increase when you are clicking sell you're not selling anything you are simply speculating this asset is going to decrease in value so if your speculation is going to decrease in value and it does decrease in value then of course you are potentially making profit there so long shoot is pretty much like saying sell and buy and then you've got bull which basically means as the price is increasing so you can say i'm seeing a bullish market at the moment in which case the markets in prices increase or bare or bearish sometimes known in the market as well which basically means exactly assets are decreasing in bannon so hopefully that's going to answer some of the questions within regards to buy and sell long and short and how's that exactly you can speculate in different directions now something else i want everybody to be aware of is that when you're trading currencies you always will see two currencies like you can see i've put a couple of examples here for the australian dollar uh just as an example you can always see two currencies the australian dollar against the canadian dollar the australian dollar against swiss franc and so on and so forth now a lot of traders are saying what exactly does this mean you're basically seeing the value of one australian dollar to the canadian dollar or one australian dollar to the swiss franc so when the price is actually going down so for example like you can see here the price is actually going down it means that not only the australian dollar is decreasing value but the canadian dollar is increasing in value against the australian dollar so belatedly it's not just the australian dollar decreasing value it's the canadian dollar increasing in value against australian dollar now if you look at the second part of this chart you can see the price goes all the way up to here you can see the australian dollar is increasing against the canadian dollar but also the canadian dollar is decreasing against the australian dollar now a lot of people ask me the question as to how do we know what the chart is referring to the first currency so the australian dollar is always the one where if the chart is going up is increasing in value so you're always seeing the value of the australian dollar to the canadian dollar so if the first if the child is going up the first currency is increasing in value if the chart price is going down the second currency is increasing the value against the first so hopefully that's cleared up some of the questions i've got by email today and bear in mind if some of the things i do say do not make any sense and it's not something you really want to actually get the answers on by email you can arrange a one-on-one session so speak to your account manager so you do want to one-on-one session with the market analyst and they'll put you in from the pointer for you uh so let's actually start looking at swing trading what i do want everybody to bear in mind though is when you are trading and if we look at today's specific type of trading swing trading you do have two options you can speculate prices can increase in value or speculate prices can decrease in that because a lot of people enter this market and i believe the only way to make profit and the only options you have is to trade that something's going to increase in value it's not the cfd market's different because you're speculating and not actually buying an actual asset you can speculate the price will move in either direction so let's start looking at the basics just to understand what swing trading is swing trading is when a trader is attempting to trade the movement within a larger trend so that may seem a little bit confusing at the moment but don't worry as we continue the webinar we actually look at examples on the actual charts it's going to make a lot of sense so swing trading is when a trader is attempting to trade a movement within a larger trend this movement may be either up or down again bear that in mind doesn't necessarily have to be an uptrend even when there is a longer trend when you look closer at the market you will notice waves smooth traders are concentrated on these waves again when hearing waves you may not understand what i'm referring to please bear with me to the next slide it'll make perfect sense swing traders concentrate on trends but at the same time they're aiming to keep out of retracements both technical and fundamental analysis is used so if you were looking at the previous webinars where we look at technical and fundamental analysis bear in mind when you're using swing trading you're using both fundamental and technical analysis swing traders are attempting to trade trends it could be an upward trend or a downtrend but that's in mind but at the same time you want to keep out of retracements and if you don't know what retracements are because you haven't watched the previous webinars uh bear with me and i'll explain it's on the actual chart uh swing traders can aim to be open in trades from one to several days so again you're not looking at short-term traders like scalpers or intraday traders neither are we looking at long-term traders like position traders we're looking at somewhere in between we're looking at traders opting trades for one day up to several days so it could be a trades open for a week it could be something for a day but we're not looking at neither long-term trading like position traders or short-term traders uh let's actually move on to the next slide where we can actually see what swing trading is on the actual chart and it's going to make make a the understanding of the overall has been created much more easier so like i said we're looking at trading trends but we're looking at trading the movement within the trade so very clearly here we can see that we've got an overall trade this big movement here which has lasted from the 19th of november all the way up to the 10th of december is a trend now still trade is not looking to trade that whole movement that's a trade where we're looking at to have a trade on three weeks that's more of a position trade a little bit more of a longer term trader we're not looking to trade the whole movement what you notice though is that there is swings there's waves within that movement so you can see there's a wave for example here and then we get a way down then we got another wave up here and then the wave down and then another way then here way down and then another wave up this is what we're going to be looking to trade today this is what swing traders are aiming to do what they're looking to trade is the waves within the overall trend itself now a lot of questions are probably going to be uh coming my life in regards to why would you trade the actual movements within the trend itself rather than trading the actual whole trend number one when you're trading the whole trend you're in the market for longer something may change within those three weeks and the trend may come out to an end it's much harder to analyze the market and try to look in france three weeks uh if that's a reminder as well and of course when you're trading so uh so much in advance so long term uh you're probably going to incur very hefty swap these as well whereas if you're looking to trade only as a swing trader over a day or a couple of days or maybe three four days then you're not going to incur those issues so the first thing we looked at is the swing like we said the strings are the way of the way moving the overall trend we've identified what trends are i'm pretty sure everybody knows what a trend is but we can pretty much see here very clearly what the trend is now retracements what are retracements because i mentioned this on the previous slide retracements is the temporary movement against the trend so this is what i said uh previously no matter what trend you're looking at you're always going to see the volatility and retracements that can make trading quite difficult these are the retracements here so for example here another example is here another example is here and it is the temporary movement against the trend you don't want to be trading the trend in those periods when the movement is moving against you because it's gonna you're gonna enter the trade and try and trade the upward trend but then over the next four to 12 to 14 hours the movement is going to move against you and that's not of course what you want now next swing highs like we said swing height is pretty much swings are pretty much the waves we're looking for the waves high so we can see we have one wave high here another wave right here we've got two wave heights and then another wave high here what we notice by looking at these wave heights is on each occasion they are high which is what is creating our upward trend then we've got swing lows so we have a string low p swing low here swing low here a swing low there and a string low here again on each occasion can we see here that we've got higher swing low so of course what we want to see is that there is higher swing highs and higher spring lows that's going to give us our up trend what we want to do is trade the movement within that trend so let's look at an actual example what type of movement you want to be trading this is the type of moment you would want to be trading as a stream trader exactly where this arrow is another example is for example here this type of movement or this type of movement here or even this type of movement here we're looking at the swings how to enter and exit those traits because i can see somebody's asked the question of uh how do i actually know when to enter the trade how to enter and exit those trades we're going to look at uh towards the end of the webinar because at the end of the webinar we're going to look at an actual strategy first we're going to look at the technique then we're going to look at the strategy we're going to put everything together on the accurate charts so if you bear with me we will look at that in the webinar now keep in mind this is something which you need to be aware of when you are trading because it's all willing to have a trading plan to have and know what strategies and techniques you want to be using but none of that is going to work if you don't keep in mind these very very basic points so the first point let me get my laser point out here we go now if the trend changes and moves against you we analyze the markets and the indicators and if you believe the market is not going to move into your favor close and move on close the trade if it's moving against you and you no longer believe it's going to move back in your favor so bear that to mind this is a mistake that traders continuously continuously continue to make they enter they analyze in the market let's say let's look at an example you may be looking at price movement like this they've drawn a resistance level here it's broken above that here so they're trying to trade this up with movement like this everything's going all well and good but then the market drops like this at that point re-analyze the market if something has changed maybe it could be something fundamentally maybe it could be due to technical analysis if something has changed and you no longer believe the market's gonna turn back into your favor close the trade and move on why because there is a chance that that movement will continue to move against you it continues to move against you that loss is just to continue to get bigger and bigger and that's of course something you don't want to do that is something very simple that when the market moves against you know at which point you need to exit the market now if you reach your target close and stop so don't be one of those traders but you set a target book an apple stock a hundred and fifty dollars put a target there of 165 is hit your 165 and just keep increasing that take profit if you had a target stick to it let's look at the next bullet point be aware of how to use leverage now leverage is when the broker when accenture is increasing your buying power this basically means that each movement is being times by certain figures it could be times 10 times 20 times 30 could be times something very big so times 100 200 300 400 now leverage is always in your controls never never controlled by the broker so what leverage you want to be trading with is cons is completely down to you something to bear in mind though the higher the leverage is the higher the potential profit yes but at the same time the higher the risk of you losing your capital so make sure that you understand leverage the risk and reward elements of leverage and you are aligning your leverage with your risk appetite because of course if you are traded with very high success rates you're an experienced trader then yes okay higher leverage is a great thing because when you're trading in the right direction you're earning more and faster whereas if you don't have that type of experience and risk appetite then you may also choose a lower leverage or no leverage at all it's completely down to you as a trader now in accordance to scientific regulation and guidelines because i had this question on my last webinar in accordance regulation guidelines if you are a new trader or an unexperienced trader you should be trading with a maximum leverage of 1 to 30. again leverage is still completely in your control if you want to be trading with a leverage of one to five or below or once further and above it's completely down to you but if you don't know what leverage is suitable for you bear in mind that if you are trained if you are an inexperienced trader uh maximum leverage is one to thirty in accordance with regulation and guidelines and last thing do not overexpose yourself a good trade can result in a loss if you open a trade larger than what your accounts can handle so bear in mind the volatility in the market so even if you're trading in the right direction is to is so large you have such a high leverage even if the price drops slightly it could be detrimental to your account so bear that in mind so let's look at the first third technique this is a great technique it's a technique that which a lot of professional traders use is a techniques uh technique which has many benefits of course how when you use it sam i definitely recommend practicing it on a demo account but how when you use it it's completely down to you as a trader and this is something which a lot of traders are actually not aware of and not actually using and this is basically using a currency index now what is the currency index it's not like stock index the currency index is basically a value of a currency against a number of currencies so you always see two currencies on the platform you see euro usd british pound usd usd jpy the euro australian dollar etc etc usc two currencies the index is the value of a currency but over a basket full of currencies so for example when you're looking at the u.s dollar index it is the value of the us dollar index against six vote currencies against the euro the frank the yen the canadian dollar the british pound and swedish chroma if you look at the euro index is the value of the euro against the usd swiss franc japanese yen and british pound the japanese yen is the value against the euro usd great british pound australian dollar switch franklin canadian dollar so you're not only getting the value against one currency but you're getting a much larger value now what is the benefits of using uh currency indexes because a lot of people are going to be saying you know that's great to know but how exactly is that useful for me as a trader now the value of the index is known to be a much fairer and stronger indication of the actual price of the currency so you may see the euro drop against the u.s dollar in value but it may not be something to do with the u.s dollar it may have absolutely nothing to do with the us dollar maybe something very negative to do the euro and the u.s dollars increase in value against every other currency available in the market so you may look at that one chart and features of the euros decreasing is increasing in value but it's not which is why we're looking at the currency index to make sure that the currency is not only increasing value or decreasing value against this one currency but it's generically against the whole market increasing and decreasing because when it's something more generic and something stronger against all currencies it's a much stronger movement now you cannot see the us dollar index and the euro index and the uh jax's yen index on our platform because it's not something tradable but if you go to youtube here if you go to uh google sorry and you type in your dolly index you can get the charts pretty much on over hundreds of uh websites so it's very easy to be found so the importance of the index we kind of talked about this already is giving you a much stronger indication a much stronger indication of the movement it's giving you stronger price a fairer price of uh the currency how you can use it you can use it to get a better idea of the trend better ideas of support and resistance points better ideas of price action and the strength of price and price sentiment today we're gonna be using it to look at price sentiment and price strength and weakness this is what we're gonna be using it for and we're gonna do this in the following slides now how are we going to actually be establishing if the price is strong if the price is weak and so on and so forth we're not going to be looking at a price action today but we're analyzing the price but we're instead going to look at indications because indications can be easier to read especially for our newer traders so the first indication we're going to look at is known as the moving average and moving average usa sometimes on the market as amaze is pretty much just an average price of a specific period of time that's all it is so they appear on the charts like so you can see an orange line and a green line it's very simply an average price so the orange line is the average price of the three days the green line is the average price of the nine days so it is very simply just an average price and it is an indication we can use in multiple ways uh today we're going to be using it in two ways we're going to be using it as crossovers so you can see here when the orange crosses over the green upwards like it does here we can see it gives us the indication of practical that when it crosses over downwards for example we can see the orange crosses are green downwards you can see the price go down uh this is the main way we're going to be using it today we're also going to be using it in terms of sentiments as well we're going to look at that shortly the second and last indicator we're going to be looking at today is known as a stochastic oscillator it's similar it still has two moving averages like we consumed charts we have a blue moving average at the same time we've got a red dotted moving average as well but it doesn't actually appear on the price it appears on a chart below so this is uh this is how the chart will appear uh it has an upper dotted line and a lower dotted line what does this indicator help us with it helps with two things it helps with trends and again we're using crossovers to help with trends so you can see the blue cross is red upwards and you can see the price goes up here then the blue crosses the red downwards here so we've got an indication of downward movements it crosses off down here so we get indications of trends by crossovers and then we've got indications of overbought and oversold so when prices are too high or too low when they are above both the lines not just one but both lines are above like here the dotted line it's an indication of price maybe overbought is too high when it's below so for example here it could be an indication it's oversold so it's too low now that doesn't necessarily mean it's going to change direction doesn't necessarily mean that it's too high and it's going to do this it could be too high and it's going to start moving sideways it could be too high and it's just going to keep moving up but at a slower pace so it doesn't necessarily mean it's going to change direction that's in mind this is the second indicator we're going to be looking at and i will show you how to use it on the actual chart so today we're going to look at a crossover with indexes so we've got our moving average we're going to have two moving averages we can have a three-day exponential moving average and a nine-day simple moving average and on the indexes we're going to have a 30-day simple moving average then we're going to have a stochastic oscillator we're going to use the euro x which is the euro index we're going to have the us dollar x which is the us dollar index and we're also going to have the japanese x which is the japanese yen index we're only going to be looking at trading the euro and usd and the us dollar and japanese yen why because we're only looking at those indexes so today we're going to be using indexes along with our string trading we're going to be using two to three uh uh charts time frames we're definitely going to be using the six hour and four hour if you don't have that available on the platform you can have it on the mt5 so if you don't have it on the platform feel free to just download the mt5 through the mt5 website and you do get those options there a buy signal an entry point for a buy signal must be when indexes above the 30 day moving average and the other index is below the 30-day moving average and at the same time you get an upward crossover on both moving averages and stochastic oscillators that may sound a little bit confusing but don't worry because on the next slide will make perfect sense then if you're looking for a sell signal it's the exact opposite entry must be when the index is below both indexes are below the moving averages and then you get a downward crossover on the moving averages and on the stochastic oscillator again that may sound a little bit confusing but it's going to make perfect sense now so let's look at the euro against the euro against the usd first before looking at the charts uh the actual euro usd chart look at the two indexes so you've got the us dollar index here which is the balance the us dollar gets six currencies and then you've got the euro index as well which is the value of the euro against four currencies uh again both six hour time frame now i've got a red line where i have the in the indication on the actual chart so because i had the indication of the actual charts and let's go to the charts itself now so you can see here euro usd for our chart now on the actual asset itself i'm on a four hour chart not a six hour here i've got my indication on the 16th of december why have i got an indication there it's very simple and we have the free day which is the orange crossover upwards at this point so you can see very clearly it crossed over upwards then we have the stochastic oscillator also crossover upwards you can see both moving averages cross over upwards both indicated upward the movement on the four hour uh chart once we got that we go to the indexes so now i'm on both euro which is the right and us dollar both on that six hour time frame and we check so this red line is at the exact same time we had that movement we can see the euro the u.s dollar is below so you can see

here the u.s dollars below the 30-day moving average so we've ticked that box that's great that's what we wanted to see and we can see the euro has just now crossed over upwards over the 30-day moving average again exactly what we wanted to see so we ticked both of those boxes so both those indications indicated that the price is going to go up the euro is going to go up against the us dollar so what happens at this point here where we have the crossover we can see the price if you did enter the price continued to increase all the way up to here now that is many many pips it's we're looking at the four hour charts you need to bear in mind it continued to go up for 48 hours that is more than enough for most traded most likely you would have been out of the trade because you've hit your profit way before that as a swing trader you want to make 15 to 25 to maybe 35 pips now let's look at an example within regards to the us dollar and japanese year this is an example from actually today so far we're making 25 pips if you would have entered on that actual trade of course bear in mind this is a trade from earlier on today it's just the latest indication that if you did enter bermuda was from earlier today if you did enter you would currently be making 25 pips so this is an indication why because we got our orange which is the three day crossing over upwards this is number one so we can see crosstalk upwards it's indicating an upward trend and if we look at the stochastic oscillator we can also see the blue crosses the red upwards at the same time we're not overbought we're not in this area so we've ticked both these boxes that's exactly what we wanted to see let's go though to the indexes so we've got the us dollar index here and the japanese yen index here both on the six hour time frame we can see today that the us dollar index is above the green line just above but it is above the uh us dollar index the 30-day moving average and on the japanese yen it is way below the 30-day average so we've got one which is on bullish sentiment so we took that box and the other one on bearish sentiment we've ticked that box as well and also the stochastic oscillator is crossed over upwards so we tick both those boxes we've got indications there that based on the 30-day moving average the price on the us dollar is getting stronger and on the japanese yen it's already weak so far we can see just by looking at this chart from where we got the indication here to all the way up here on this movement here we're already getting 25 pips again that's probably more than enough for most traders that i speak to but of course it depends on you as a trader yourself so that is two examples we've looked at both the japanese yen so the u.s dollar against japanese and euro usd they're just examples of how you can use not only indexes but also indications moving averages stochastic consequences how you can refer between the two and between the two time frames and two charts to give you a clearer and stronger indication of how the market is likely to move going forward so that brings us to the end of today's webinar this is my address here if somebody does have any questions if you do wish to re-watch the webinar because i understand some of the information may be a little bit confusing for our new traders don't worry because in the next 24 hours you will get a link to the recording in the meantime if you do need assistance please feel free to get into touch with me if i do not speak to you before then i wish everybody a happy new year hopefully you found the webinar uh informative and educational trade safe trade responsibly and have a very good evening take care

2021-01-07 17:09

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