52 Week High/Low Levels? Why are these levels so important to the trader who trade by analyzing technical charts?

The 52-week high/low levels are considered to be significant resistance/ support levels when we look at the technical charts for trading stocks in the stock market.

The 52-week high/low is the highest and lowest price of the stock within the past 52 weeks. These numbers are calculated on the daily closing share price. But remember, they do not show intraday highs or lows, which may be reached during a trading session.

Traders use 52-week high/low levels for many reasons, including as an indicator to determine how volatile the stock has been over the past year or if the stock is trending in one direction or the other.

To read more Visit : https://www.elearnmarkets.com/blog/how-to-use-52-week-high-low-levels/

In finance especially in a derivative market, the contracts are often executed on pre-decided settlement date. In the case of futures and options, on the settlement date, the contract seller may either opt for delivery of the underlying asset (which is termed as physical settlement) or may simply settle the net position through cash (i.e. cash settlement). in this article, we have covered Cash Settlement vs Physical Settlement in the options market.

A futures contract may either be settled through cash or physical delivery.

In the case of physical delivery, the holder of the contract will either have to take the commodity from the exchange or produce the commodity.

To read more Visit : https://www.elearnmarkets.com/blog/cash-settlement-vs-physical-settlement/

The triangle pattern is considered to be a continuation chart pattern which means that the prior trend will continue after the formation of this chart pattern.

The formation of a triangle pattern includes at least five touches of support and resistance.

It involves prices moving in the tighter and tighter range in a triangle pattern which shows the battle between the bears and bulls.

To read more visit : https://www.elearnmarkets.com/blog/ascending-descending-triangle-pattern/

Pennants pattern are a type of continuation chart pattern.

Pennants are similar to flag chart patterns in the terms that they have converging lines during their consolidation period.

This chart pattern takes one to three weeks to form.

To read more visit : https://www.elearnmarkets.com/blog/pennants-pattern/

What exactly do we mean when we talk about market breadth? The Market Breadth reflects the participants in the market.

It can be construed in a number of different ways. The number of stocks participating in a rally can be calculated using breadth. The number of active investors in the market can also be deduced from breadth.

To read more visit : https://www.elearnmarkets.com/blog/best-5-market-breadth-indicators/

The concept of the time value of money is an essential one for anybody who is involved in the decision-making processes for some critical aspects of finance like capital budgeting and valuation.

On the other hand, it is important for a loan-taker to understand the implications of the time value of money as well.

Simply put, the concept of the time value of money states that a sum of money that is received at this current time, has a higher value than that exact sum of money received down the track in the future.

To read more visit : https://www.elearnmarkets.com/blog/understanding-the-time-value-of-money/

Relative Strength Index (RSI) is a momentum oscillator, developed by J. Welles Wilder, which measures the speed and velocity of price movement of trading instruments (stocks, commodity futures, bonds, forex, etc.) over a specified period of time.

The objective of the RSI indicator is to measure the change in price momentum.

It is a leading indicator and is widely used by Technical Analysts over the globe.

RSI can be used to spot a general trend.

It is considered overbought when it goes above 70 and oversold when it goes below 30.

To read more visit : https://www.elearnmarkets.com/blog/trade-using-rsi-andrew-cardwell-way/

The bull call spread strategy is one of the simplest option strategies that an option trader can use when trading in options.

Spread Strategies are multi-leg strategies that involve more than two options.

By multi-leg strategies, we mean the strategy that has more than 2 option transactions.

When the trader has an outlook of moderate bullish on a stock or an index, then the spread strategy like Bull Call Spread can be implemented.

To read more visit : https://www.elearnmarkets.com/blog/bull-call-spread-options-strategy/

Do you know that trading pullbacks in trends are one of the basic trading strategies? Yes! There are many ways of making profits when trading with pullbacks.

Using all time frames, you can earn from trading pullbacks. This is because a trend might appear anywhere from the 5-minute chart to the monthly time frame.

Whether you’re a day trader or a swing trader, you can use our pullback trading approach with confidence.

To read more visit : https://www.elearnmarkets.com/blog/6-pullback-trading-strategies/

No one probably feels like losing money in the stock market. In the market, the pain of losing money is much greater than the happiness of earning some. If you’re thinking of making an investment in the stock market but worried about ending up with a loss or the very thought of loss upsets you, you shouldn’t invest in the stock market. Through this article, we will help you understand how the market works and why prices go up and down.  Moreover, we will also discuss how to start with the stock market for the novice, for trading and investment perspective.

What comes to your mind when you listen to the word “stock market”?

To read more visit : https://www.elearnmarkets.com/blog/basic-toolkit-stock-market-beginners/