Reading and Understanding Charts

Charting analysis is an area of trading and investing that many people over-complicate. Charts are an extremely important component in our analysis – in addition to Fundamentals and Quantitative Analysis.

Charting, or technical analysis, as it is often referred to, assists us with the timing of the trades we take – something that is extremely important when trading options. In addition, chart analysis also assists us in terms of selecting the best or most appropriate strategy to apply at any given time in the market.

In this easy to understand module, we take you through the most important aspects of being able to interpret and apply charts to your trading. With much of the typical padding that comes with many programs, removed, we cut to the chase and indentify the key factors based on literally decades of actual experience in the market place.

This module covers a variety of areas in detail,

• Support and Resistance – its role in trade and strategy selection

• Phases, cycles and trends – key aspects to the timing of entry and exit into most options strategies

• Volume Analysis – understanding the conviction in the underlying security – this is a key component to trade selection

• Trend analysis – what this tells us – critical to profitably trading, Trend analysis is the foundation behind all trade selections and most importantly position management

Indicators

All too often, many investors over complicate their analysis and in particular, build false confidence in trades based on using a variety of indicators at the same time.

In their view, because all the indicators are saying the same thing, it must mean a strong signal. Well all indicators look at either price or volume and interpret that – multiple indicators, all using the same input ie price or volume will always give you the same answer – not a stronger answer but the same.

Using 8 different indicators on a trade doesn’t make it a safer or better trade!! As such, we keep it lean, enabling you to make confident, clear decisions, quickly and avoid the pain and pitfalls of what we refer to as “analysis paralysis”. At Elite Options Mastery, we cut right back to the beginning and teach you the most appropriate indicators to be using when looking at different types of stocks. Any layering of indicators that we use, brings together different styles of indicators, rather than similar ones, providing strong and robust confirmation of analysis. As an Elite Options Mastery client, you will have the benefit of this key skill, based on our decades of active experience live in the markets. Never again will you spend hours analyzing charts, when our powerful yet simple analysis becomes the norm for you – reducing the work you need to do, to literally seconds per trade.