Dean Market Profile

Friday, December 28, 2018

Basics Of Options Trading For Beginners - Strategies and Definitions

Options are the most sought after instruments for trading and probably the most misunderstood ones. You pick up, any article on options and you get thrown, complicated definitions and strategies and payoff diagrams thrown at you.

The end result, people either give up the thought of trading options completely or they end up believing a few concepts which won't help them at all in their trading.

What is needed is a no fluff guide, in the most basic language, which can help traders understand what these complicated but beautiful instruments of risk management are all about. So this is my attempt to strip options of the mumbo-jumbo and make it easy to digest for you, the retail trader!

10 Most Effective Price Action Trading Strategies

Dean Market Profile Beginner , Price Action

Price Action trading is one of the oldest art forms of trading. I am purposely calling it art because even though it may seem very technical at the end of the day you have to develop a feel for all these patterns. The better the feel better will be your results with these price action patterns.

Knowing these patterns will not be sufficient, you have to put in a lot of deliberate thought into how you are going to trade each one of them. Always remember, the better and clearer your plan better will be your decisions during live markets.

If you jump into trading without a plan without a sound framework then you will only suffer losses. And then keep wondering why these patterns don't work. Having a well-defined trading plan can incorporate these trading strategies into it, seamlessly.

8 Types Trading Systems To Choose From

Dean Market Profile Beginner , Trading Framework

What Is A Trading System?

Trading systems give you clear-cut directives as to when you should be entering or exiting your trades. It should also tell you how much you should be risking on a trade, what quantity you should be entering with, but traders often get hung up on the former, just when to enter or exit and end up in all sorts of trouble...

Trading systems have been a buzzword in the trading world for a long time. Whenever something stirs up interest the SOS show up, by SOS I mean the "snake oils salesmen" not save our souls. But that is precisely the novice traders need at the beginning of their career, someone to guide them properly and exploit their lack of understanding.

Let's discuss this often misrepresented term called the trading system...

Stop Loss - A Fraud By The Smart Money

Dean Market Profile Intermediate , Risk

What Is A Stop Loss?

In its most basic form, a stop loss is like a parachute, but not the one used by skydiving junkies, more like the ones kept in private jets should an emergency present itself...

via GIPHY

I could never understand the skydiving daredevils, I can appreciate the thrill in it, but relying on a single parachute, never really made sense to me. Using stop loss in your trading us much like banking on a parachute everytime you jump out of a plane. The risks are just too high should it fail, and this is what happens with the majority of retail traders who take the well-meaning advice of always placing a stop loss...

Five Major Reasons Why Traders Keep Losing Money In The Markets

Dean Market Profile Beginner , Risk

What did you do when the last time?

Your kid spilt the milk...

Your son flunked his exams...

Your subordinate screwed up a presentation...

You made a losing trade...

You went on to lay the blame on someone or something and ended up scolding and humiliating your kid, son, subordinate and in the last case yourself. Are you guilty of doing this? Then go ahead and type "guilty" in the comments window right now, accepting your mistake is the first step to correcting it.

Failure is one word which is frowned upon in our society a lot. It is always linked to the lack of ability of the person who has failed, often criticising the person and not the failure. Laying blame on the individual has caused a fear to set in the minds of people about failing. This is keeping them from exploring and starting new things. And this may come as a shock to you but this attitude towards failure keeps people from learning...

What Are Different Types Of Trading Strategies?

Dean Market Profile Beginner , Technical Analysis

Trading in financial markets, with various instruments like stocks, futures, options, commodities, bonds, etc can be an overwhelming endeavour. Every day you log on to the internet you learn something new, a new trading indicator, technique or method. Each with a promise to ake you the best trader and make you a million bucks in profits. The truth of all this you already know all too well...

So, how do you trade? and more importantly, how do you trade with consistent profitability? The answer is to have a sound understanding of different trading strategies that can help you tackle the ever-changing and challenging market conditions. So read on...

What Can Change Your Trading "A Trading System" Or "A Trading Framework"?

Dean Market Profile Beginner , Trading Framework

Some traders swear by their trading system, others say you need to take in the big picture, aka the trading framework. Who is right? Are the system traders who are focused on their system outputs better off? or Are those who have a reliable trading framework going to come out on the top in the end? Read on to find out who prevailed...

One Cool Trick To Set The Correct TPO Size On Market Profile Chart For Any Instrument

Dean Market Profile Intermediate , Market Profile

Need A Simple Way To Set Correct TPO Size On A Market Profile Chart Read On...

Setting TPO size for different instruments on a Market Profile chart is probably the most tedious aspect of using a Market Profile chart. I know this because I have struggled with it for years. But you don't have to go through the pain anymore.

Converge 2018: Volume Spread Analysis By Dean

Dean Market Profile Intermediate , Volume Spread Analysis

How VSA Can Help You In Your Trading?

VSA is catching on as one of the most popular ways of analysing the markets. With its focus on what the "smart money" is doing at any given point in time, it is ideal for "retail traders".

It gives retail traders like you and me to avoid getting sucked into the traps set by smart money. In fact, we can go one step ahead and even spot what the smart money is about to do and even benefit from their plans.