One thing that a lot of traders fail to understand about any market is that there are driving forces with-in.
A few of these are trend, support /resistance and cycles of the market.
How a trader perceives these "forces" in the market is likely going to be a little different than another trader.
For example what might be a bullish trend to a scalper trading on a 60 minute chart might be a bearish trend to a swing trader looking at a daily chart.
Technical analysis is subjective to the person doing it. A good trader realizes they can be wrong but have spent time and practice and are confident in their analysis.
One tool that we provide our students at LearnToDayTrade.net is called the Pressure Indicator.
It's a simple to read indicator there to show us what the current pressure of the market is with the given time frame.
Here are 3 things this indicator is capable of doing.
1. The Pressure indicator can show trend direction and strength.
For example the indicator will contract or expand showing the strength or weakness of the trend.
Gapping (or expansion) is a sign of slowing down in the trend. This can possibly mean a reversal or pullback.
Tightening (or contraction) can be a sign of the market speeding up.
2. The Pressure Indicator can show who is buying and selling.
The indicator is comprised of two lines. Green and Red. This is to show which traders are usually in control at a given time.
The Green line represents Buyers in the market. When the green line is shifting to the top, this usually signals that the Buyers are stronger and the market pressure is going up.
The Red line represents the Sellers in the market. When the red line is shifting to the top, this usually signals that there are more people shorting the market and the pressure is going down.
3. The Pressure indicator can be used with different time frames and indicators.
Our traders will learn to read the pressure indicator and use it almost like a language of the market.
This becomes a powerful tool when paired with our other indicators allowing the trader to see what the market pressure is and which direction to trade based on their strategy.
If you're interested in trying this and other powerful proprietary indicators out, we offer our 30 day Trader Lite trial program.
You will have access to hundreds of hours of training content, live webinars including the ONIT and much more.
Our number one goal is to make you a successful trader. It is a win win for both of us when you excel in our program!
We will teach you how some of our traders are using the Pressure Indicator to generate $300 a day or more trading the way we train them.
You can learn more about our training system here and what to expect.
Get started today!