Trader Education Series: Buy and Sell Pivots

Welcome to the second instalment of this three-part Trader Education Series.

If you missed Part One, you can catch up here.

In today’s video you will learn how markets change direction.

When entering trades you want entry signals that aren’t lagging.

If you use moving averages, for example, you will often find you’re late to the party and prices have moved a long way before you get the signal.

If you can work out where prices often change direction and have a repeatable process to know when the odds are high that prices may have changed direction, you’re on the way to a solid trading plan.

Buy and sell pivots are worth nothing on their own because there are so many false signals, especially at smaller timeframes.

But when you step out to the weekly and monthly charts, there’s less noise, and higher odds of success.

Combine that with knowledge of how trends and ranges develop, and you are well on your way to a money making system.

In the final instalment next week we delve into trend following and combine everything you have learned over the previous three weeks into a unified whole.

So enjoy lesson two on pivots and be sure to give us a ‘like’ on YouTube if your trading knowledge is heading in the right direction.