SMA:

You have the option to chart up to 3 Simple Moving Averages (SMAs) at the same time. The 3 input
boxes above represent the periods of the Simple Moving Averages you wish to chart. If you are charting
on minute, daily or weekly periods, the SMA periods you indicate above will be for minutes, days and
weeks, respectively. An SMA is calculated by adding the security's prices for the most recent N time
periods and then dividing by N. It smooths out a data series, making it easier to spot trends.
EMA:Exponential Moving ave
You have the option to chart up to 3 Exponential Moving Averages (EMAs) at the same time. The 3 input
boxes above represent the periods of the Exponential Moving Averages you wish to chart. If you are
charting on minute, daily or weekly periods, the EMA periods you indicate above will be for minutes,
days and weeks, respectively. An EMA differs slightly from a Simple Moving Average (SMA) in that it
gives extra weight to more recent price data. This allows investors to track and respond quickly to recent
price trends that might take more time to appear in an SMA. The formula for an EMA is: EMA = price
today * K + EMA yest * (1-K) where K = 2 / (N+1). Like an SMA, it smooths out a data series, making it
easier to spot trends.
BOLINGER BANDS:
Bollinger Bands are curves drawn in and around the price structure that define high and low on a
relative basis. The base of the bands is a simple moving average. A measure of volatility, standard
deviation, is used to set the width of the bands making them fully adaptive to changing market
conditions. The defaults are bands spread above and below a 20-day simple moving average by two
standard deviations. Bollinger Bands are used in numerous ways. They can be used to aid chart pattern
recognition. They can be combined with other indicators to identify entry and exit points. They can be
used to identify areas of compression and to spot the ends of extended moves. John Bollinger, CFA, CMT
www.BollingerBands.com

MONEY FLOW(MFI)
You have the option to change the slow, fast and signal periods used to calculate the MACD above. The
default slow, fast and signal periods are set to 26, 12 and 9, respectively. Moving Average Convergence
Divergence (MACD) is a trend-following momentum indicator that shows the relationship between two
moving averages of prices. The default MACD is represented as the difference between a 26-day and 12-
day EMA of the price. A 9-day EMA of the MACD, referred to as the signal (or trigger) line, is plotted on
top of the MACD to indicate buy/sell opportunities. Divergence, the difference between the MACD and
the signal, is also plotted as a histogram.The MACD is most effective in wide-swinging trading markets.
There are three standard ways to interprete the MACD: 1. Crossovers: The basic MACD trading rule is to
sell when the MACD falls below its signal line. Similarly, a buy signal occurs when the MACD rises above
its signal line. It is also popular to buy/sell when the MACD goes above/below zero. 2.

Overbought/Oversold Conditions: The MACD is also useful as an overbought/oversold indicator. When
the shorter moving average pulls away dramatically from the longer moving average (i.e. the MACD
rises), it is likely that the security price is overextending and will soon return to more realistic levels.
MACD overbought and oversold conditions exist vary from security to security. 3. Divergences: An
indication that an end to the current trend may be near occurs when the MACD diverges from the
security. A bearish divergence occurs when the MACD is making new lows while prices fail to reach new
lows. A bullish divergence occurs when the MACD is making new highs while prices fail to reach new
highs. Both of these divergences are most significant when they occur at relatively overbought/oversold
levels. - "Technical Analysis from A to Z" by Stephen Aechlis

MACD:

You have the option to change the slow, fast and signal periods used to calculate the MACD above. The
default slow, fast and signal periods are set to 26, 12 and 9, respectively. Moving Average Convergence
Divergence (MACD) is a trend-following momentum indicator that shows the relationship between two
moving averages of prices. The default MACD is represented as the difference between a 26-day and 12-
day EMA of the price. A 9-day EMA of the MACD, referred to as the signal (or trigger) line, is plotted on
top of the MACD to indicate buy/sell opportunities. Divergence, the difference between the MACD and
the signal, is also plotted as a histogram.The MACD is most effective in wide-swinging trading markets.
There are three standard ways to interprete the MACD: 1. Crossovers: The basic MACD trading rule is to
sell when the MACD falls below its signal line. Similarly, a buy signal occurs when the MACD rises above
its signal line. It is also popular to buy/sell when the MACD goes above/below zero. 2.
Overbought/Oversold Conditions: The MACD is also useful as an overbought/oversold indicator. When
the shorter moving average pulls away dramatically from the longer moving average (i.e. the MACD
rises), it is likely that the security price is overextending and will soon return to more realistic levels.
MACD overbought and oversold conditions exist vary from security to security. 3. Divergences: An
indication that an end to the current trend may be near occurs when the MACD diverges from the
security. A bearish divergence occurs when the MACD is making new lows while prices fail to reach new
lows. A bullish divergence occurs when the MACD is making new highs while prices fail to reach new
highs. Both of these divergences are most significant when they occur at relatively overbought/oversold
levels. - "Technical Analysis from A to Z" by Stephen Aechlis
PSAR:
You have the option to change the step period and max step period used to calculate the Parabolic SAR
above. The default step and max periods are set to 0.02 and 0.20, respectively. Also known as the
"Parabolic Time/Price System" this indicator is used to set trailing price stops and is usually referred to
as the "SAR" (stop-and-reversal). The Parabolic SAR provides excellent exit points. You should close long
positions when the price falls below the SAR and close short positions when the price rises above the
SAR. If you are long (i.e. the price is above the SAR), the SAR will move up every day, regardless of the
direction the price is moving. The amount the SAR moves up depends on the amount that prices move. -
"Technical Analysis from A to Z" by Stephen Aechlis

ROC:
You have the option to change the period of the Rate of Change (ROC) above. The default period is set
to 12. The Rate of Change (ROC) indicator displays the difference between the current price and the
price x-time periods ago. The difference can be displayed in either points or as a percentage. "The 12-
day ROC is an excellent short to intermediate term overbought/oversold indicator. The higher the ROC,
the more overbought the security; the lower the ROC, the more likely a rally. However, as with all
overbought/over-sold indicators, it is prudent to wait for the market to begin to correct (i.e. turn up or
down) before placing your trade. A market that appears overbought may remain overbought for some
time. In fact, extremely overbought/oversold readings usually imply a continuation of the current trend.
The 12-day ROC tends to be very cyclical, oscillating back and forth in a fairly regular cycle. Often, price
changes can be anticipated by studying the previous cycles of the ROC and relating the previous cycles
to the current market." - "Technical Analysis from A to Z" by Stephen Aechlis
RSI:
You have the option to change the period of the Relative Strength Index (RSI) above. The default period
is set to 14. The Relative Strength Index (RSI) measures the price of a security against its past
performance in order to determine its internal strength (in an attempt to quantify the security’s
price momentum). "A popular method of analyzing the RSI is to look for a divergence in which the
security is making a new high, but the RSI is failing to surpass its previous high. This divergence is an
indication of an impending reversal. When the RSI then turns down and falls below its most recent
trough, it is said to have completed a ’failure swing.’ The failure swing is considered a
confirmation of the impending reversal." - "Technical Analysis from A to Z" by Stephen Aechlis
SLOW STOCHASTIC:
You have the option to change the %K and %D periods of the Slow Stochastic above. The default %K and
%D periods are set to 15 and 5, respectively. The MACD is most effective in wide-swinging trading
markets. There are three popular ways to interpret the Slow Stochastic: 1. Buy when the Oscillator
(either %K or %D) falls below a specific level (e.g. 20) and then rises above that level. Sell when the
Oscillator rises above a specific level (e.g. 80) and then falls below that level. 2. Buy when the %K line
rises above the %D line and sell when the %K line falls below the %D line. 3. Look for divergences. For
example, where prices are making a series of new highs and the Slow Stochastic Oscillator is failing to
surpass its previous highs. - "Technical Analysis from A to Z" by Stephen Aechlis

FAST STOCHASTIC:
You have the option to change the %K and %D periods of the Fast Stochastic above. The default %K and
%D periods are set to 5 and 3, respectively. The Fast Stochastic compares where a security’s
price closed relative to its price range over a given time period, and is displayed as two lines. One line is
called %K. A second line, called %D, is a moving average of %K. Buy when the Oscillator (either %K or
%D) falls below a specific level (e.g. 20) and then rises above that level. Sell when the Oscillator rises
above a specific level (e.g. 80) and then falls below that level.Buy when the %K line rises above the %D
line and sell when the %K line falls below the %D line. Look for divergences. For example, where prices
are making a series of new highs and the Slow Stochastic Oscillator

WILLLIAMS %R:
You have the option to change the period of the Williams %R above. The default period is set to 14. The
Williams %R indicator seeks to measure overbought/oversold levels. "Readings in the range of 80 to
100% indicate that the security is oversold while readings in the 0 to 20% range suggest that it is
overbought." - "Technical Analysis from A to Z" by Stephen Aechlis

++++++++++++++


TYPE OF STUDIES AVAILABLE ON ET NOW TECH CHARTS:

ADX
BOLLINGER BANDS
COMMODITY CHANNEL INDEX
MACD
MOMEMTUM OSCILLATOR
MOVING AVERAGE
PARABOLIC SAR
RSI
STOCHASTICS
VOL UNDERLAY
VOLUME
ACCUMULATIVE SWING
AROON
AROON OSCILLATOR
AVERAGE TURE RANGE
CENTRE OF GRAVITY
CHAIKIN MONEY FLOW
CHAIKIN VOLATILITY
CHANDE FORECAST
CHANDE MOMENTUM
COMMODITY CHANNEL CURVE
COPPOCK CURVE
DETRENDED PRICE OSCILLATOR
DIRECTIONAL MOVEMENT
EASE OF MOVEMENT
EHELER FISHER TRASNFORMER
ELDER FORCE INDEX
HIGH MINUS LOW
HIGHEST HIGH VALUE
HISTORICAL VOLATILITY
INTRADAY MOEMNTRUM O
KELTER CHANNEL
KLINGER VOLUME OSCI
LINEAR REG FORECAST
LINEAR REG INTERCEPT
LINEAR REG R2
LINEAR REG SLOPE
MACD
MASS INDEX
MEDIAN PRICE
ON BALANCE VOLUME
PARABOLIC SAR
PERFORMANCE INDEX
POSITIVE VOLUME INDICATOR
PREEETY GOOD OSCILLATOR
PRICE OSCILLATOR
PRICE RATE CHANGE
PRICE VOLUME TREND
PRIME VOLUME BAND
PRIME NUMBER OSCILLATOR
RAVI
RSI
SCHAFF TREND CYCLE
STANDARD DEVIATION
SWING INDEX
TIME SERIES FORECAST
TRADE VOLUME INDEX
TRIX
TURE RANGE
TWIGGS MONEY FLOW
TYPICAL PRICE
ULTIMATE OSCILLATOR
VERTICAL HORIZONTAL
VOL UNDERLAY
VOLUME OSCILLATOR
VOLUME RATE OF CHANGE
WEIGHTED CLOSE
WILLIAMS %R
WILLIAMS ACCUMULATION
PER

Training
Information regarding seminars or technical analysis classes will be shown here.

System Trading Seminar on Saturday & Sunday, March 8-9, 2014.

Topic : System Trading for Short Term Traders

The purpose of the program is to incorporate systematic and disciplined trading methods in your
trading. System trading benefits short term traders as well as position traders and active investors.

In this seminar we will discuss on the following topics :

What is systematic trading, mechanical systems and trading discipline ?
How to join mechanical systems with discretionary judgement ?
How to develop a trading system based on EOD chart ?
Introduction to back testing software - Multicharts and Amibroker
Qualities of a robust system
Tools of the trade (Performance Report, Equity Curve, Drawdown, Asymmetrical performance of
systems)
Money Management, Stop Loss
Position sizing, Equity Curve, Martingale and Anti Martingale methods
Trading Types - Volatility, Breakouts, Trend, Mean Reversion
Life span of systems
After attending this seminar you will be able to:

Understand the logic behind systematic trading
Select systems that match your trading personality
Add value to your trading by actually trading such systems.
The seminar is designed for traders who already have a working knowledge of technical analysis and
technical trading. They should be aware of moving averages, osillators such as RSI and support and
resistance levels on charts. Examples of systems will be given with each topic.

Cannot attend the Seminar : Contact us to place an order for the DVD set.

Speaker : Sudarshan Sukhani

Timing : 11 AM 5 PM (2 days)

Price : Rs 20,000 (incl all taxes) for Seminar / Rs 13,000 (incl all taxes) for DVD

Location : ISBF Campus, 15A, Ring Road, Lajpat Nagar IV, New Delhi - 110024

Contact : T : 011-41034899, 26816619, 07428418715. E : support@s2analytics.com

Day Trading Seminar on Saturday & Sunday, July 6-7, 2013.

Topic : Day Trading the Index - Nifty and Bank Nifty

The purpose of the program is to introduce the concept of Day Trading. Day Trading is very different
from swing and mechanical trading. You are not concerned with the long term trend of the market. All
you need is to forecast todays movement of price and trade it.

In this seminar we will discuss on the following topics :

Important aspect of Day Trading
Type of Days Movement
Trading Set up
Context and View
Stops and Targets
After attending this seminar you will be able to:

Forecast the next day type (choppy, range or trend day)
Be aware of different setups to trade whether it is choppy day or a trending day
There will be live simulation covering a number of trading days with focus on trading the Nifty and Bank
Nifty. The seminar is designed for traders who have basic knowledge of technical analysis and trading.

Cannot attend the Seminar

Watch the seminar live online and get the Seminar DVD for FREE.

Presenter : Sudarshan Sukhani

Timing : 11 AM 4 PM (2 days)

Price : Rs 18000 (incl all taxes) for those who will attend / Rs 12000 (incl all taxes) for DVD

Location : ISBF Campus, 15A, Ring Road, Lajpat Nagar IV, New Delhi - 110024

Contact : T : 011-41034899, 07428418715. E : support@s2analytics.com

Swing Trading Workshop on Saturday & Sunday, May 4-5, 2013.

Topic : Short Term Trading in Equity and F&O

Swing Trading offers opportunities to profit from short term price movements. The workshop provides a
plan to take advantage of changing market environments. The process of developing swing trading
systems is discussed in detail.

Specific rules for entries and Exits are explained.
How to build setups based on the current behaviour of the market.
How swing trading is differ from mechanical trading.
Position Sizing, Money Management, use of stops and profit targets to control risk and maximize reward
are examined.
Five Trading Systems will be offered to participants.
In this workshop, identification of best stocks and indices for swing trading will also be discussed.
At the end of the workshop, the participant should be able to trade in a disciplined, controlled manner,
be more relaxed in his trading.
Topics overview of the workshop :

Introduction
Trading
Different types of trading
Detailed definition of Swing Trading with examples
Trend, Counter Trend and Volatility
Entries and Exits (Examples of some common methods)
Going with the trend
Trend set ups
Counter Trend Setups
Volatility Set ups
The importance of context in set ups
Swing Trading Discretionary vs Mechanical Trading
Position Sizing
Risk Management
Selection of Stocks and Futures for swing trading
Finding your own Trading Style
Cannot attend the Seminar

Watch the seminar live online and get the Seminar DVD for FREE.

Presenter : Sudarshan Sukhani

Timing : 11 AM 4 PM (2 days)

Price : Rs 15000 (incl all taxes) for those who will attend / Rs 10,000 (incl all taxes) for DVD

Location : ISBF Campus, 15A, Ring Road, Lajpat Nagar IV, New Delhi - 110024

Contact : T : 011-41034899, 07428418715. E : support@s2analytics.com

Seminar on Saturday, Feb 23, 2013.

Topic : Mechanical Trading for Short Term Traders

The purpose of the program is to introduce the concept of mechanical trading to short term traders. At
the end of the session, traders should be able to develop/trade a sample system.

What are Mechanical Systems?
Difference between Mechanical and Discretionary Trading and concept of Back Testing.
Tools of the trade (Back testing software, Performance Report, Equity Curve, Drawdown, Asymmetrical
performance of systems).
Money Management, Stop Loss Type and Position Sizing.
Trading Types Volatility, Breakouts, Trend, Mean reversion.
Additional Tools (Multiple Time frames, Filters).
Life Span of Systems.
Mechanical Trading Plan.
Multiple Systems/System Portfolios.
The course is designed for traders who already have a working knowledge of technical analysis and
technical trading. They should be aware of Moving Averages, Oscillators such as RSI, and Support and
Resistance levels on Charts. Examples of Systems will be given with each topic.

Cannot attend the Seminar

Watch the seminar live online and get the Seminar DVD for FREE.

Presenter : Sudarshan Sukhani

Timing : 11 AM 7 PM

Price : Rs 9000 (incl all taxes) for those who will attend / Rs 6000 (incl all taxes) for DVD

Location : ISBF Campus, 15A, Ring Road, Lajpat Nagar IV, New Delhi - 110024

Contact : T : 011-26464544, 46527157, 26466690/91. E : support@s2analytics.com

Seminar on Saturday, May 19, 2012.

Topic : How to use Pivot Points (SR Lines) in Day Trading

In this seminar we will discuss the use of pivot points (support & resistance lines) in day trading. This
presentation would cover the following points :

What are Pivot Points ?
How to Calculate Pivot Points ?
Advantages of Pivot Points Trading
How to Trade Range Bound Markets With Pivot Points
How to Trade Breakouts With Pivot Points
Trend Trading Using Pivot Points.
High Probability Setup using Candlestick Patterns and Pivot Points
Presenter : Vivek Rattan

Timing : 3:30 PM 5 PM

Price : Rs 1000/- for Trend Analyser subscribers, Rs 1800/- for non members.

Location : E-364, GK-2, New Delhi.

Registration : Click here to Register

Contact : T : 011-26464544, 46527157, 26466690/91. E : support@s2analytics.com



Seminar on Saturday, April 21, 2012.

Topic : Application of Fibonacci Tools using Trend Analyser

This seminar will cover how Fibonacci tools are utilized by traders to interpret and forecast price action.
The details are :

Introduction : Fibonacci Sequence and the Golden Ratio
Fibonacci Sequence in the Market
Fibonacci Price Retracements
Fibonacci Price Extensions
Fibonacci Price Projections
Presenter : Vivek Rattan

Timing : 3 PM 5 PM

Price : Free for Trend Analyser subscribers, Rs 750/- for non members.

Location : E-364, GK-2, New Delhi.

Registration : Click here to Register

Contact : T : 011-26464544, 46527157, 26466690/91. E : support@s2analytics.com



Seminar on Saturday, March 3, 2012.

Topic : Candlestick Essentials & Beyond

This seminar will unleash the methods and practical application of the Japanese charting technique
which is now in widespread use. It will benefit all investors, traders and market professionals, regardless
of their level of experience, or the markets they invest in or trade. In this seminar, we will walk you
through :

What candlesticks are - real bodies and shadows
What candles reveal about the markets state of mind
Major reversal and continuation patterns and, importantly, the psychology behind each one
How to use candlesticks in conjunction with support and resistance
Merging candlesticks with classic Western indicators :
Candlesticks with Moving Averages
Candlesticks with Trend Lines
Candlesticks with Parabolic SAR
Candlesticks with MACD
Candlesticks with RSI
Candlesticks with Stochastic
How to scan candlesticks Continuation, Bullish & Bearish reversal patterns using Trend Analyser ?
Presenter : Vivek Rattan

Timing : 3 PM 6 PM

Price : Rs. 2,500/-

Location : E-364, GK-2, New Delhi.

Registration : Click here to Register

Contact : T : 011-26464544, 46527157, 26466690/91. E : support@s2analytics.com


Trend Analyser Q&A: Meeting on Saturday, Jan 21, 2012

Discussion on how to use Trend Analyser effectively. Get answers to any questions you may have
regarding TA.

Price : FREE

Venue : E-364 G.K.II (lower ground floor), New Delhi

Phone : 011-26464544 / 26466091

Time : 11 AM - 1 PM (followed by snacks)

Basics of Technical Analysis - Capsule Course on Saturday, Jan 14, 2012

Price : INR 2000/- per person

Venue : E-364 G.K.II (lower ground floor), New Delhi

Phone : 011-26464544 / 26466091

Time : 3 PM - 7 PM

Click here to register

Contents -

The Philosophy of Technical Analysis
The Basic Principles
Technical Analysis Defined

Constructing Charts
Types of Charts
Arithmetic versus Logarithmic Scale
Volume
Open Interest

Profitable Chart Patterns
Key Reversals
Head and Shoulders Tops and Bottom
Rounding Tops and Bottoms (Saucers)
Ascending and Descending Triangles
Rectangles
Double and Triple Tops and Bottoms
Rising and Falling Wedges
Flags
Symmetrical Triangle

How to Trade Major Chart Patterns Like a Pro
Double Top Pattern
Head & Shoulders Pattern
Triangle Patterns

Gaps
Types of Gaps
The Island Reversal

Trendlines and Channels
How Trendlines Are Drawn
Significance of a Trendline
Validity of a Trendline
Validity of Trendline Penetration
Trendline Role Reversal
Trend Channels

Support and Resistance
Support and Resistance Defined
Role Reversal
Trend Reversal
Percentage Retracements

The Failed Signals
Bull Trap
Bear Trap
Failed Trendline Signals

Moving Averages
Simple Moving Average
Weighted Moving Average
Exponential Moving Average
Multiple Moving Average
Envelopes (Trading Bands)
How to Trade Moving Averages

Volume and Open Interest
Basic Rules of Volume
Blowoffs and Selling Climaxes
On-Balance Volume
Open Interest

Indicators
Introduction
Indicator Characteristics
Popular Indicators :
1. Relative Strength Index (RSI)
2. Stochastic
3. Rate of Change (ROC)
4. Moving Average Convergence-Divergence (MACD)
5. Bollinger Bands
6. Average True Range (ATR)
7. Average Directional Index (ADX)
8. On Balance Volume (OBV)

Japanese Candlestick Charting
Introduction to Candlesticks
Key Bullish Reversal Patterns
Key Bearish Reversal Patterns
Key Continuation Patterns

Money Management & Trading Tactics
The Three Elements of Successful Trading
Money Management
Using Protective Stops
Reward to Risk Ratios
Trading Tactics
Summary of Money Management and Trading Guidelines



Seminar on Saturday, December 24, 2011

Topic: Anatomy of Bollinger Bands

In this presentation we will discuss everything about the Bollinger Bands from the essentials to
advanced topics. This techniques-oriented presentation throws valuable insights, including :

How traders / investors can use Bollinger Bands for pattern recognition
How to trade a very powerful Bollinger Band pattern The Squeeze including how to handle 'Head
Fakes'.
Three trading methods using Bollinger Bands
How to develop a simple trading system based on Bollinger Bands in Trend Analyzer using Basic
Language Trade Editor.

Presentation Details :

Part 1 : The Essentials
-Concept
-The Basics of Bollinger Bands
-Bollinger Band Indicators
-Statistical Concept and Bollinger Bands


Part 2 : Advance Topics
-Diagnosing Tops & Bottoms
-Dynamics of Walking the Bands
-Ideas on How to Trade The Squeeze
-Bollinger Bands & Analytical Mix
-Three trading methods Using Bollinger Bands
-Trend & Fade Trading Using Bollinger Bands
-Trading Options with Bollinger Bands
-Developing a Simple Trading System based on Bollinger Bands in Trend Analyser using Basic Language
Trade Editor
-Analyzing the Performance report of the Trading System


Presentation will be given by Mr. Vivek Rattan

Timing: 3 PM - 6 PM

Fees: Rs 1500/- for members/non members.

FREE for Trend Analyser Real Time (1 Year & 6 Months subscription) clients.

Location: E-364 G.K. II, New Delhi



Seminar on Saturday, Feb 23, 2013.

Basics of Technical Analysis Course Details

INTRODUCTION

The Philosophy of Technical Analysis
The Basic Principles
Technical Analysis Defined
Technical Versus Fundamental
Adaptability to Different Markets and Investment Time Horizons

Dow Theory
Introduction
Basic tenets
The Use of Closing Lines and the Presence of Lines
Some Criticisms of Dow Theory
Conclusion

CONSTRUCTING CHARTS
Basic Chart Construction
Introduction
Types of Charts
Arithmetic versus Logarithmic Scale

KEY ANALYTICAL TOOLS
Trend, Trendlines and Channels
Definition of Trend
Trend Directions
How Trendlines are Drawn
How to Use the Trendline
The Fan Principle

Support and Resistance
Support & Resistance Defined
Role Reversal
Trend Reversals
Percentage Retracements
Speed Resistance Lines

Trading Range
Breakout
Volume Confirmation
Trading Strategies

The True Value of Failed Signals
Bull Trap
Bear Trap
Failed Trendline Signals

Using Moving Averages
Moving Averages
How to Use Averages to Generate Trading Signals

Relative Strength Analysis
Industry Group versus a Market Index
Individual Stock versus an Industry Group

Volume and open interest
Basic Rules of Volume
Blow offs and Selling Climaxes
On-Balance Volume
Volume Reversal
Open Interest

PROFITABLE CHART PATTERNS
Major Reversal Chart Patterns
Key Reversals
Head and Shoulders Tops and Bottoms
Rounding Tops and Bottoms (Saucers)
Ascending and Descending Triangles
Rectangles
Double & Triple Tops and Bottoms
Diamond
Rising and Falling Wedges
V Formations (Spikes)

Continuation Patterns
Triangles
Symmetrical Triangle
Ascending Triangle
Descending Triangle
Broadening Formation
Flags and Pennants
Wedge Formation
Rectangle Formation
The Continuation Head and Shoulder Pattern
Gaps
Frequency of Appearance
Insignificant Gaps
Significant Gaps
The Island Reversal
The Total Picture
Myth - Gaps Must be Closed

STOCK MARKET INDICATORS
Popular Indicators
Indicator Overview & Characteristics
Types of Indicators
Indicator Signals - Divergence, Crossover, Level (Overbought / Oversold)
Popular Indicators :
ADX
ATR
Bollinger Bands
MACD
RSI
ROC
Stochastic


Strategies


In this page we will discuss some strategies which are present in our software Trend Analyser. The strategies discussed are :
Trend Energy
Chaos Alligator
TA Alligator
Support Resistance Lines
Escala
C9 Reversal
TA Forecast

Strategies & Related Information

Trend Energy

How to trade using Trend Energy strategy ?

1. When you have a bullish view on a stock ?
The first green bar after a 'blue' bars is a buy signal. It is an indication that a short-term weakness is over. Buying may be done above the high of the last bar. A stop should be placed slightly
below the low of the preceding down move. The appearance of a 'blue' bar is a signal to close all long positions.
The first 'brown' bar is also a buy signal. This suggests that the security is gaining momentum. Stop placement is a bit difficult here. If you can find a chart based stop, fine. If not, use the
Parabolic SAR, the Alligator Red line or the 34 period Linear Regression line as a stop. When the 'brown' bars stop coming, it may be time to tighten stops or even close the position.
2. When you have a bearish view on a stock ?
The first 'blue' bar is a sell signal. This suggests that the security is losing momentum. Stop placement is a bit difficult here. If you can find a chart based stop, fine. If not, use the Parabolic SAR,
the Alligator Red line or the 34 period Linear Regression line as a stop. When the 'blue' bars stop coming, it may be time to tighten stops or even close the position.

When stock is in downtrend, then the first red bar after 'brown' bars is also a sell signal. It is an indication that a short-term strength is over. Selling may be done below the low of the last bar. A
stop should be placed slightly above the high of the preceding up move. The appearance of a 'brown' bar is a signal to close all short positions.
3. When you do not have a view on a stock ?
Trend Energy is very effective when you have a sense of direction for the stock. Yet, sometimes the stock may not be on your radar screen, thus you do not have a view on it. Even in such cases,
the buy and sell rules discussed here remain useful. If the stock has seen a big up move with many 'brown' bars, then the first bar which is a 'normal' bar is a signal to initiate short positions. If the
stock has seen a big down move with many 'blue' bars, then the first bar which is a 'normal' bar is a signal to initiate long positions. All such positions should be protected with proper stops. All
such positions should be protected with proper stops. If the stock has seen a big down move with many blue bars, the first bar which is a normal bar is a signal to initiate long positions.


Chaos Alligator

The Chaos Alligator is a trading strategy based on the Alligator and Fractals concept explained by Bill Williams in his book The New Trading Dimensions. The basic theme is to develop a robust
method of trading that should withstand the pressures of different types of market conditions. The Chaos Alligator strategy hopefully meets these requirements.

Basic Rules
When the three lines are aligned a trend exists. The three Alligator lines together determine the trend.
1. No Trend : When the three lines are intertwined or mixed with each other, traders should avoid trading in this situation.
2. Up Trend : An uptrend is signified when Green line is on the top, then Red line below it, and Blue line at the bottom.
3. Down Trend : A downtrend is signified when Blue line is on the top, then Red line below it, and finally Green line at the bottom.
Concept of Fractals
Up and Down Fractals determine the point at which buying or selling should be done.
1. In a Non-Trending market, we take both buy and sell signals.
2. In an Uptrend, we take only Buy Signals. The latest up fractal acts as a buy level.
3. In a Downtrend, we take only Sell Signals. The latest down fractal acts as a sell level.
The Up Fractal is a series of at least five successive bars, with the highest high in the middle, and two lower highs on both sides. Given below is an example of Up fractal.

The Down Fractal is a series of at least five successive bars, with the lowest low in the middle, and two higher lows on both sides. Given below is an example of Down fractal.


The fractal can be identified two bars after the highest bar or the lowest bar was formed. This should be obvious. This information is available only after the current bar has been made - that two
bars ago, a bar was formed which is higher/lower than the current & the previous bar.
Understanding The Dot Colors
Green Dots signify buy signals in an 'Up Trend'. When we are in an uptrend, there are no sell signals. There is one exception. When a V shaped reversal is detected, you will see a brown dot
appear which gives a selling level. This sell signal comes even though the Alligator is showing an uptrend.
Brown Dots signify sell signals in a 'Down Trend'. When we are in a downtrend, there are no buy signals. There is one exception. When a V shaped reversal is detected, you will see a green dot
appear which gives a buying level. This buy signal comes even though the Alligator is showing a downtrend.
Blue Dots signify a 'Non-Trending / Sideways' market. When the market is sideways & the Alligator lines are intertwined (mixed up), we can take both buy & sell signals. This is the period when
Alligator is sleeping. We buy above the last up fractal if the fractal is above the red line. We sell below the last down fractal if the fractal is below the red line. Thus, you will usually see two blue
dots, one for buying & one for selling. Sometimes, only one dot is visible, since there may be no valid fractal for the other trade.

Remember
DOT's which appear above price highs are buy levels.
DOT's which appear below price lows are sell levels.
Often, the Market experiences V shaped reversals. In such cases, the direction of prices is opposite of the direction in which the Alligator is moving. The Chaos Alligator strategy takes care of
such reversals. This is a significant improvement over the traditional Bill Williams strategy.

TA Alligator

The Alligator is a set of three smoothed moving average lines, created by Bill Williams) and described in his book The New Trading Dimensions.
Bill Williams describes the Alligator as being like a compass which keeps your trading in the right direction. The Alligator helps you spot a real trend and stay out of range-bound trading, which
always result in losses. The Alligator is the combination of three balance lines viz., the blue line (alligator's jaw), the red line (alligator's teeth) and the green line (alligators lips).
Uses of TA Alligator Indicator
1. TA Alligator identifies trending & non-trending markets.
2. It also specifies the direction of the trend.
Basic Rules
1. If all three lines are intertwined, the Alligator is asleep and the market is range-bound. The longer it sleeps, the hungrier it gets. When it wakes up from a long sleep it chases the price much
farther, therefore price movements are much stronger.
When the Alligator is asleep, stay away.
2. If the Alligator is not asleep, the market is either uptrending or down trending. If the prices are above the Alligator's mouth then its an uptrend and if the prices are below the Alligator's mouth
then it's a downtrend.
Once the Alligator wakes up, it opens its mouth (the three lines diverge) and starts hunting. Having eaten enough, it goes to sleep again (the three Lines converge), so it's time to take profits.
Advanced Ideas
Divergent Bar The First Wise Man
A sharp up trend will often see prices moving up steeply. The Alligator lines are slow to catch up, and they will be far below prices. Such conditions result in divergence between the momentum in
Prices and momentum in the Alligator. Price rise is steep while the Alligator movement is less steep or sometimes flat. When this happens, look for a reversal bar to signal at least a short term
reversal (A reversal bar is a price bar which makes a new high but closes in the lower 50% of the day's range). Once a reversal bar is identified one can Sell below the low of the reversal bar with
a stop little above the high of the same bar.
Support & Resistance Lines
Daily Pivots (DP), support and resistance are based on the prior day's high, low, and close. These values suggest where the stock will pivot up or down and hit levels of support or resistance.
These can best be understood using the analogy of jumping up and down in a high-rise building. The floor beneath your feet is your "support" and the ceiling above is the "resistance." You would
encounter resistance as you hit the ceiling and support as you landed back on the floor. If the floor gave way, the next lower floor would be the next support level. If you continued jumping, the
ceiling above you, which used to be the old floor (prior support), would now be resistance.
For instance, suppose a market trades between 90 and 100 for some time. At 90 buyers would be expected to come into the market as prices are perceived to be cheap. By the same token, at
100, sellers would be expected to come into the market as prices are perceived to be expensive. Once the support (90) is broken decisively, the target for the stock then becomes the next level of
support. Also, the former support level becomes resistance (and vice versa). This is only natural because those who bought the stock at the original support level (90) may be looking to get out at
breakeven.
Support and resistance levels are normally found through chart analysis. If a market trades at a certain level for some time (i.e. bases) and then begins to rally, that level will provide support
should the market come back in. On a smaller scale, pivots, support and resistance levels attempt to project where intraday support and resistance will likely occur based on the prior day's range
and close.
On a smaller scale, pivots, support and resistance levels attempt to project where intraday support and resistance will likely occur based on the prior days range and close. This is only natural
looking to get out at breakeven.

Escala

Escala Strategy depicts the market direction. It is a trend follower and, because all the well-known rules of support/resistance, trend-lines, time frames, double or triple tops/bottoms,
ascending/descending triangles and retracements apply, the trader will quickly and easily grasp the messages the market conveys.

Escala is both a charting style, an Indicator and a trading system in itself. It embodied the thinking found in the modern-days trend following systems.
The basic concept is to buy on the completion of a green line and to sell on the completion of a red one. Buying or selling after the market turned is the preferred choice of trend followers who
avoid trying to pick market tops and bottoms, while going with the market flow once a new trend is visible.
The exit signal comes in one of the following ways :
when there is a signal in the reverse direction, i.e. when a trader is long with green lines and a red line appears. This is the real exit signal.

when a profit target is being arrived at or,

on a trend-line violation, making it unnecessary to wait for a real exit signal to be flagged or,

when the market fails to move according to expectations.
Escala designed seperately for IntraDay
For intraday trading, the Escala chart is setup to calculate the trend from today's open. This prevents the previous day from influencing today's analysis. Intra-day rule: on a 5-minute chart, if
green lines outnumber the red ones by 10:00 a.m. the day will have a (strong) bullish bias implying that only long positions must be entered into throughout the day whenever bottoms occur.
Conversely, if red lines outnumber the white ones by 10:00 a.m. the day will have a bearish sentiment, implying that only short positions must be entered into throughout the day whenever tops
occur.
C9 Reversal

This strategy is designed specifically to predict potential price exhaustion and likely price reversals.
It is based on an indicator called 'Sequential' developed and trade marked by Tom DeMark. The C9 Reversals strategy differs in many ways from Mr. DeMark's Sequential indicator.
This strategy provide signals not only on a daily, weekly, and monthly basis but also intraday and has an impressive record of identifying and anticipating turning points in equity and commodity
markets.
Often, a completed C9 is the best way to identify buyer or seller exhaustion zone.

How it works ?
The C9 indicator consists of a set of numbers from 1 to 9 and the letter 'C'. The numbers and the letter 'C' are displayed on the price chart at specific locations. When series of number from 1 to 9
appears below prices then selling may be getting exhausted and when they are appears above prices then buying may be getting tired.
Sometimes, the letter 'C' comes in the next bar after the number 9. The letter 'C' tells us that the exhaustion process continues. 'C' stands for 'Continued'. It is important to note that in a strongly
trending market it is possible for the trend to move a lot further before finally getting exhausted. That means many bars can appear continuously with letter 'C'.

How to trade using C9 Strategy ?
When the number 9 appears (or the letter 'C' ) it means that prices are ready for reversal. Whenever the subsequent bar appears without the number 9 or the letter 'C' then traders may want to
book profits on existing positions.
For a bullish trader, the 'bulls are exhausted' signal comes when 9 numbers appears above the bars and for a bearish trader, the 'bears are exhausted' signal comes when 9 numbers appears
below the bars. When this happens, traders should either close their positions or tighten their stops.
C9 Confirmation
The C9 signal becomes more powerful when there is additional technical evidence, such as :
A C9 top 'bulls exhausted' is made where there is earlier resistance
A C9 bottom 'bears exhausted' is made where there is earlier support
C9 'bulls exhausted' signal comes with an indicator breakdown like Stochastics sell.
TA Forecast

TA Forecast examines previous price movements to make a forecast of the future price. The TA Forecast has two components : Price and Time. Since, this is a forecast, the accuracy depends
on future market behavior which is unknown.
Guidelines:
Expect either Price or Time to be correctly forecast. It is difficult to forecast both the elements.
If prices exceed the forecasted box, then a trend of some kind has started. In that case just follow the trend and ignore the forecast.
Interpretation:
TA forecast paints the candle with two colors : Blue and Dark Violet.
Blue Candle : Blue candle indicates the end of the downward movement in prices and gives the upside target which is marked by blue rectangle.
Dark Violet Candle : Dark Violet candle indicates the end of the upward movement in prices and gives the downside target which is marked by Dark Violet rectangle.