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Looking for Support and Resistance? Price Channels Might Help

Looking for Support and Resistance? Price Channels Might Help

Traders often use support and resistance to get an edge in the stock market. However levels can change as prices move, so today we'll consider a tool that automatically adjusts as trends evolve: price channels. TradeStation's Price Channel indicator tracks recent...

Stocks Overbought as Traders Wait for Inflation? Market Trends This Week

Stocks Overbought as Traders Wait for Inflation? Market Trends This Week

Downloads available here and here. Sizing Up the S&P 500 S&P 500 is challenging mid-September high and March lows around 4120.10-day moving average rising for 23 candles, the longest streak since August.Fewer index members above 20-day MA than above 50-day MA....

Apple, Trendline Break and ‘Golden Cross?’ Market Trends This Week

Apple, Trendline Break and ‘Golden Cross?’ Market Trends This Week

Sizing Up the S&P 500 50-day MA nearing "Golden Cross" vs 200-day MA2022 bearish trendline brokenBreadth: Advance/decline line highest since AugustSector mix: "risk-on" cyclicals leading, safe-havens lagging.Intermarket: Dollar index lowest since AprilIntermarket:...

How to Use Fibonacci Retracements on TradeStation

How to Use Fibonacci Retracements on TradeStation

Stock prices usually zig and zag instead of moving in a straight line. Today we'll explore Fibonacci retracements, a popular tool for navigating ups and downs in your trading. The Fibonacci ("Fib") tool is a drawing instrument on TradeStation's charts that draw lines...

Futures 101: The Difference Between Trading Stocks and Futures

Futures 101: The Difference Between Trading Stocks and Futures

Not well-versed in the futures market? Scared about a new kind of advanced product? Here are some basic points to get started. Futures are different from traditional stocks and exchange-traded funds (ETFs) because they track an index. You don't own anything. You...

Rolling Options: Key Things for Traders to Know

Rolling Options: Key Things for Traders to Know

Editor's note: This post was originally published on Wednesday, December 23, 2020. "Rolling options" is a common transaction for options traders, but there are several ways to do it. This article will explain the different ways and reasons why traders might roll...

Key Points About Selling Credit Spreads

Key Points About Selling Credit Spreads

A previous post covered debit spreads, when you pay a debit looking for a stock or ETF to move in a certain direction. Credit spreads are just the opposite, with traders collecting premium up front in hope that the stock won't move a certain way. What a Credit Spread...

Greek of the Week: Delta

Greek of the Week: Delta

Editor's note: This post, part of a four-part series about options Greeks, was originally published on Tuesday, August 14, 2018. Some traders may be confused by options, especially their use of Greek letters. Delta, gamma, theta, and vega. How to remember what they...

Greek of the Week: Gamma

Greek of the Week: Gamma

Editor’s note: This post, part of a four-part series about options Greeks, was originally published on Monday, August 20, 2018. We previously looked at delta. Delta measures how much an option changes in price when the underlying stock or ETF fluctuates. Calls...