analysis. StockSharphttps://stocksharp.com/handlers/atom.ashx?category=tag&id=analysis&type=articlesCopyright @ StockSharp Platform LLC 2010 - 20242024-03-29T15:15:49Zhttps://stocksharp.com/images/logo.pnghttps://stocksharp.com/topic/24816/Market Research and Analysis.2023-06-09T16:42:02Z2023-06-09T16:53:46ZPannipahttps://stocksharp.com/users/164332/info@stocksharp.com<div align="center"><a href='https://stocksharp.com/file/143370/robot-2_jpg/' class='lightview' data-lightview-options="skin: 'mac'" data-lightview-group='mixed'><img src="https://stocksharp.com/file/143370/robot-2_jpg/?size=500x500" alt="robot-2.jpg" title="robot-2.jpg" /></a></div><br /><br />💥💥 Market research and analysis play a crucial role in the functioning of a trading robot. A trading robot, also known as an algorithmic trading system or automated trading system, relies on data-driven analysis to make trading decisions without human intervention. Here's how market rese, arch and analysis are incorporated into a trading robot:<br /><br />👉 1. Data Collection: The trading robot collects relevant market data from various sources, including real-time price feeds, historical price data, news feeds, and economic indicators. This data serves as the foundation for conducting market research and analysis.<br /><br />👉 2. Technical Analysis: The trading robot applies technical analysis techniques to analyze price patterns, trends, support and resistance levels, chart indicators, and other technical indicators. It identifies trading signals based on predefined rules and conditions programmed into the algorithm. Technical analysis helps the trading robot identify potential entry and exit points, determine stop-loss and take-profit levels, and manage risk.<br /><br />👉 3. Fundamental Analysis: In addition to technical analysis, the trading robot may incorporate elements of fundamental analysis. It can analyze financial statements, economic news, corporate events, and other relevant fundamental factors to assess the overall market conditions and make trading decisions based on fundamental data. This analysis helps the trading robot identify trading opportunities and manage risk in line with fundamental factors.<br /><br />👉 4. Market Sentiment Analysis: Market sentiment refers to the overall mood or psychology of market participants, whether bullish, bearish, or neutral. Trading robots can incorporate sentiment analysis techniques by analyzing social media feeds, news sentiment, and other sentiment indicators to gauge market sentiment. By understanding market sentiment, the trading robot can adjust its trading strategies accordingly.<br /><br />👉 5. Risk Assessment: Market research and analysis in a trading robot also involve evaluating risk factors associated with potential trades. The robot can assess market volatility, liquidity, historical performance, and other risk metrics to determine the risk-reward profile of a trade. Based on predefined risk management rules, the robot can adjust position sizes, set stop-loss levels, and implement risk control measures.<br /><br />👉 6. Optimization and Machine Learning: Trading robots often employ optimization techniques and machine learning algorithms to continuously improve their performance. They can backtest historical data to optimize trading strategies and parameters. By learning from past market data and trading outcomes, the robot can adapt and refine its trading rules to enhance profitability and minimize risks.<br /><br />⚡️Overall, market research and analysis provide the necessary information and insights for a trading robot to make data-driven and informed trading decisions. By leveraging various analysis techniques, the trading robot aims to capitalize on market opportunities, mitigate risks, and execute trades automatically based on predefined rules and conditions.https://stocksharp.com/topic/24106/Technical analysis using trendlines2022-11-01T12:16:14Z2023-04-27T15:28:57ZPannipahttps://stocksharp.com/users/164332/info@stocksharp.com💥However, doing the analysis Knowing only the above pattern may not be enough Since sometimes we need to set point of buying and selling point, how do we know when to buy? While the trend is an uptrend, the answer that many people would say would be BUY ON SLOW. I would continue to ask: How much downward is acceptable in an uptrend? The main or method to solve such problems is Using trend lines, this will be your tool. Values for trend analysis From above we have separated the trend into 3 types, so there are 3 types of trend lines to be used as follows:<br /><br /><div align="center"><a href='https://stocksharp.com/file/135484/uptrendsampleimage_png/' class='lightview' data-lightview-options="skin: 'mac'" data-lightview-group='mixed'><img src="https://stocksharp.com/file/135484/uptrendsampleimage_png/?size=500x500" alt="UptrendSampleImage.png" title="UptrendSampleImage.png" /></a></div><br /><br />👉 1. Uptrend line The principle is not difficult at all. That is to say, the beginning We will draw a line from point 1 to point 3 (red dot) leaving the end of the line past point 3. This line is the uptrend line for the significance of this line. Or simply whether the leather is tough enough or not, it starts at the number 5 (red dot), which if the price can rebound at the number 5, that would indicate a significant uptrend line. If the price has adjusted down near this line again. It will use the predicted level on this line. Is the point used in Entering the spoon to receive shares again, such as number 7 (red dot)<br /><br /><div align="center"><a href='https://stocksharp.com/file/135485/downtrendsampleimage_png/' class='lightview' data-lightview-options="skin: 'mac'" data-lightview-group='mixed'><img src="https://stocksharp.com/file/135485/downtrendsampleimage_png/?size=500x500" alt="DowntrendSampleImage.png" title="DowntrendSampleImage.png" /></a></div><br /><br />👉 2. Downtrend line The principle is reversed from the above in the sense that the line will use the old peak and the new peak as a point in the draw line, starting from point 1 to point 3 (red point) (if observed, it will find that the point 1 and 3 here are the vertices, as opposed to in the case of uptrends, which are the bottoms.) That's the difference in trend line formation. In terms of uptrend and downtrend, the measure of significance is looked at number 5. (red dot) If the stock price fails to cross the up downtrend line and has a downtrend following it, we call this downtrend line significant. This line again at point 7 (red dot) is the level where a sell-off is expected. If point 7 (red dot) still fails to break through the downtrend line, it will strengthen the downtrend line even more.<br /><br /><div align="center"><a href='https://stocksharp.com/file/135486/trend-channel-780x482_png/' class='lightview' data-lightview-options="skin: 'mac'" data-lightview-group='mixed'><img src="https://stocksharp.com/file/135486/trend-channel-780x482_png/?size=500x500" alt="trend-channel-780x482.png" title="trend-channel-780x482.png" /></a></div><br /><br />👉 Parallel line, In addition to the trend line mentioned above There are times when it is necessary to create a parallel line for the reason that there are cases when the price is clearly moving within the framework of the parallel line. Thus giving rise to a technical term came up another word is channel (hereinafter called flow pipe) I don't know if it will make the picture clearer or not? The principle of drawing parallel lines is not difficult at all. From the picture, use point 2 (green dot) as a starting point. Then draw a line parallel to the uptrend line, as shown in the figure, using point 2 (green dot) as the starting point parallel to the downtrend line, which will act as resistance in the uptrend form and will act as a resistance line. Support for downtrend images.<br /><br /><div align="center"><a href='https://stocksharp.com/file/135487/sidewaystrendsampleimage_png/' class='lightview' data-lightview-options="skin: 'mac'" data-lightview-group='mixed'><img src="https://stocksharp.com/file/135487/sidewaystrendsampleimage_png/?size=500x500" alt="SidewaysTrendSampleImage.png" title="SidewaysTrendSampleImage.png" /></a></div><br /><br />👉 3. Sideways is movement without direction. Is not markedly So the trend line in the case of sideways is relatively smooth, parallel to the ground (flat) and the channel in the case of sideways is like Pipes placed parallel to the floor, see from the picture because it can be seen that the flow of prices or index will be under the formation of a flow that lies horizontally which the price movement along the flow pipe sideways horizontally like this It is the origin of the name sideways.<br /><br /><div align="center"><a href='https://stocksharp.com/file/135488/trends-and-channels-1606726702_png/' class='lightview' data-lightview-options="skin: 'mac'" data-lightview-group='mixed'><img src="https://stocksharp.com/file/135488/trends-and-channels-1606726702_png/?size=500x500" alt="trends-and-channels-1606726702.png" title="trends-and-channels-1606726702.png" /></a></div>https://stocksharp.com/topic/24545/How to Trade Based on Quantitative Analysis?2023-04-03T16:29:33Z2023-04-24T16:41:57ZPannipahttps://stocksharp.com/users/164332/info@stocksharp.com<br /><div align="center"><a href='https://stocksharp.com/file/142005/freeresources_quantitative_methods_52553a4cd5898_jpg/' class='lightview' data-lightview-options="skin: 'mac'" data-lightview-group='mixed'><img src="https://stocksharp.com/file/142005/freeresources_quantitative_methods_52553a4cd5898_jpg/?size=500x500" alt="freeresources_quantitative_methods_52553a4cd5898.jpg" title="freeresources_quantitative_methods_52553a4cd5898.jpg" /></a></div><br /><br />💥Quantitative analysis or quant analysis is the process of using mathematical and statistical models to evaluate financial instruments, investments, and markets. It is a data-driven approach that relies on mathematical models and algorithms to identify patterns and trends in financial data. Quant analysis is used extensively in finance, particularly in investment banking, hedge funds, and asset management.<br /><br />💥Quantitative analysts use a variety of techniques to analyze financial data, including statistical analysis, econometric modeling, machine learning algorithms, and other quantitative methods. They use these techniques to develop models that can be used to predict future market trends and identify potential investment opportunities.<br /><br />💥One of the key benefits of quant analysis is its ability to provide objective and data-driven insights into financial markets. Unlike traditional fundamental analysis, which relies on subjective judgments about a company's financial health, quant analysis uses mathematical models to evaluate market trends and investment opportunities. This approach can help investors make more informed decisions about where to invest their money.<br /><br /><div align="center"><a href='https://stocksharp.com/file/142007/quantitative-analysis_jpeg/' class='lightview' data-lightview-options="skin: 'mac'" data-lightview-group='mixed'><img src="https://stocksharp.com/file/142007/quantitative-analysis_jpeg/?size=500x500" alt="quantitative-analysis.jpeg" title="quantitative-analysis.jpeg" /></a></div><br /><br />⚡️<b>Some of the most common applications of quant analysis include:</b><br /><br />👉Risk management: Quantitative analysts use statistical models to assess the risk of different investments and portfolios. This helps investors identify potential risks and develop strategies to mitigate them.<br /><br />👉Portfolio optimization: Quantitative analysts use mathematical models to optimize investment portfolios by balancing risk and return. This can help investors maximize their returns while minimizing their exposure to risk.<br /><br />👉Algorithmic trading: Quantitative analysts develop algorithms that can automatically buy and sell financial instruments based on market conditions. This approach can help investors take advantage of market trends and make trades faster than human traders.<br /><br />💥Quant analysis is an essential tool for investors looking to make informed decisions about financial markets. By using mathematical models and algorithms, quantitative analysts can provide objective insights into market trends and investment opportunities.<br /><br /><div align="center"><a href='https://stocksharp.com/file/142009/1520130096446_jpeg/' class='lightview' data-lightview-options="skin: 'mac'" data-lightview-group='mixed'><img src="https://stocksharp.com/file/142009/1520130096446_jpeg/?size=500x500" alt="1520130096446.jpeg" title="1520130096446.jpeg" /></a></div><br /><br />⚡️<b>Trading based on quantitative analysis involves using mathematical models and computer algorithms to make trading decisions. Here are some steps to get started:</b><br /><br />1. Gather data: Collect data from various sources, including financial markets, economic indicators, and company financial statements.<br /><br />2. Develop a model: Use statistical analysis to develop a model that can predict future market trends and identify potential trading opportunities.<br /><br />3. Test the model: Test the model by backtesting it on historical data to see how well it performs.<br /><br />4. Implement the model: Once the model has been tested and refined, implement it in a trading strategy.<br /><br />5. Monitor and adjust: Continuously monitor the performance of the model and adjust it as necessary to adapt to changing market conditions.<br /><br />It is important to note that trading based on quantitative analysis is not foolproof and can still involve risks. Therefore, it is important to also have a solid understanding of fundamental analysis and market psychology in addition to quantitative analysis.https://stocksharp.com/topic/24195/How to make a diagram Point-and-Figure and technical analysis to take advantage of chart trading?2022-11-30T10:47:52Z2023-04-17T14:03:55ZPannipahttps://stocksharp.com/users/164332/info@stocksharp.com<div align="center"><a href='https://stocksharp.com/file/135920/pointandfigure_png/' class='lightview' data-lightview-options="skin: 'mac'" data-lightview-group='mixed'><img src="https://stocksharp.com/file/135920/pointandfigure_png/?size=500x500" alt="PointAndFigure.png" title="PointAndFigure.png" /></a></div><br /><br /><b>To make a Point-and-Figure diagram and use technical analysis to take advantage of chart trading, you can follow these steps:</b><br /><br /><ol><li>Select a reliable charting software that provides Point-and-Figure charting tools.<br /><li>Choose the security you want to analyze and set the time frame.<br /><li>Determine the box size and reversal amount. Box size is the minimum price movement required to draw a new X or O on the chart, while the reversal amount is the number of boxes required to change the direction of the trend.<br /><li>Plot the X's and O's on the chart based on the price movements. X's represent an uptrend, and O's represent a downtrend.<br /><li>Look for patterns on the chart, such as double tops or bottoms, trendlines, and support and resistance levels.<br /><li>Use technical analysis indicators, such as moving averages or relative strength index (RSI), to confirm the trend direction and identify potential entry and exit points.<br /><li>Determine your trading strategy based on the analysis, and set your stop-loss and take-profit levels accordingly.</ol><br /><br />👉 It's important to remember that Point-and-Figure charts are just one tool among many in technical analysis, and that no single tool or chart can guarantee success in trading. It's also important to practice and refine your analysis skills through continuous learning and experience.<br /><br />💥At this point, we should have started learning how to create a point and figure diagram on a chart. The equipment required to create a diagram is a graph book, which has a square grid that was used during childhood to graph. Although some people may say that computers and diagramming programs such as Points and Figures are available, why bother learning it? Is it obsolete? In our opinion, understanding the basic principles would not cause any harm. First, gain knowledge and expertise, and then use a computer to help create a diagram. However, for those who are more proficient and believe that computer-generated diagrams can sometimes be challenging to read because the image is too small, there may be a way to solve this problem.<br /><br />💥The first step in creating a diagram is setting the size of the box (box size) such that each box is equal to the amount of price change or spread in stock trading. For instance, if the stock price fluctuates between 5 and 80 euros, the box size will be 5 euros, which is equal to the change in stock price when trading.<br /><br />💥However, in practice, the box size is set at the trader's discretion. To analyze data effectively, it can be used as a guide. It should be noted that the box size affects the sensitivity of the change in price direction. If the value is less, the change in direction will be faster. Therefore, the size of the box should be related to the range used in the chart for trading. For instance, if one wants to study long-term price movements, the box size should be larger than usual.<br /><br />💥The second step is to understand how to enter prices into the table and the rules that must be followed to create a diagram. This requires knowledge of the rules along the way. Consider the following example:<br /><br />💥Suppose the stock price is currently 15 euros. We record the value of 15 euros using the X or O symbols, not as a numerical value. If the price moves up, the X symbol is used, and if it moves down, the O symbol is used. For instance, if the price moves up to the highest price level of 40 euros and closes at that level, we will have 6 X symbols because each box used to record the X value has a box size of 5 euros. When the maximum price changes to 30 euros, six X's are added.<br /><br />💥On the other hand, if the stock price falls from the price level of 35 euros to the lowest price of 10 euros and closes at that level, the O symbol will be used to record the value.<br /><br />💥Once we understand which symbols are used in which cases, we can explain the case when the stock starts with the X row first, assuming that the price is still rising the next day with a maximum price of 65 euros. In this case, we need to record prices up to the price level of 65 euros. However, if the highest price on the third day does not exceed the highest price (65), we need to consider whether the Day 3 Low is below the High (65) for at least three price movements. If the minimum price of 55 euros is not less than three periods of price change, worth 10 euros, we don't record anything. On the other hand, if the lowest price on the third day is 15 euros, which is below 65 euros and down more than 15 euros, we start recording the O symbol in the column to the right of the X column starting.<br /><br /><div align="center"><a href='https://stocksharp.com/file/135921/point-and-figure-4_jpg/' class='lightview' data-lightview-options="skin: 'mac'" data-lightview-group='mixed'><img src="https://stocksharp.com/file/135921/point-and-figure-4_jpg/?size=500x500" alt="point-and-figure-4.jpg" title="point-and-figure-4.jpg" /></a></div><br /><br />💥You may be wondering why 15 euros is used as a criterion and how the X symbol is changed to an O. Well, it's actually a popular rule called Three-box reversal, which is derived from three times the box size. In this case, the box size is equal to 5 euros, so the Three-box reversal is equal to 15 euros. However, this rule can be changed to any value other than three times the box size, as long as it is looked at carefully. If the rule is changed, does the resulting diagram have any significance in terms of price movements? Can it provide a reliable buy or sell signal? If it works better, no one would forbid it!<br /><br />💥Another thing to note is that in point and figure charting, the closing price is not taken into account. Only the highest and lowest prices are recorded. If on day 1, the column has an O instead of an X, it is because the price dropped from 60 euros to 45 euros. If the lowest price on day 2 is 15 euros, we continue to record the symbol O down to 15 euros. However, if the lowest price on day 3 is also 15 euros, which is not lower than the lowest price (15), we need to consider if the highest price is a Three-box reversal. If the highest price on the 3rd day is 20 euros (still lower than 15 euros), there's nothing to do. But if the highest price on the 3rd day is 70 euros, then the reversal starts. We record the symbol X in the column immediately to the right of column O and start in the address field higher than that of the symbol O (as shown in the example picture).<br /><br />💥However, sometimes the price dynamics are quite wide. For example, the high on the 10th day may be higher than the high currently being recorded on day 9. But if we follow the rules and look at the lowest price on day 10, it may be worth more than a Three-box reversal. In this case, we continue to record the X symbol until the maximum achieved on the 10th day, regardless of the resulting minimum. However, doing so may ignore what could be a significant reversal signal. So we can either move the column to the right to save the O symbol or use the fish method to go down instead of using the O signal as a warning of a significant reversal during the day.<br /><br />https://stocksharp.com/topic/24193/Let's get acquainted with chart technical analysis tools. Point-and-Figure2022-11-29T14:03:38Z2023-04-17T13:25:49ZPannipahttps://stocksharp.com/users/164332/info@stocksharp.com<div align="center"><a href='https://stocksharp.com/file/135918/103ly9-lof1wlhxsxpcvepq_png/' class='lightview' data-lightview-options="skin: 'mac'" data-lightview-group='mixed'><img src="https://stocksharp.com/file/135918/103ly9-lof1wlhxsxpcvepq_png/?size=500x500" alt="1*03ly9-LoF1WLHXsxPcVEPQ.png" title="1*03ly9-LoF1WLHXsxPcVEPQ.png" /></a></div><br /><br />💥Point-and-Figure (P&F) diagrams are a type of chart used in technical analysis to plot price movements without regard to time. The chart is made up of a grid of X's and O's, with X's representing upward price movements and O's representing downward price movements. The X's and O's are arranged in columns, with each column representing a set price range or "box size."<br /><br />💥The chart is used to identify trends and support and resistance levels, and can be particularly useful for longer-term analysis. P&F charts are based on the idea that prices move in trends, and that these trends are defined by a series of higher highs and higher lows in an uptrend, or lower highs and lower lows in a downtrend.<br /><br />💥P&F charts can also be used to generate buy and sell signals, such as when a new column of X's or O's appears, or when a trendline is broken. Additionally, P&F charts can be used in conjunction with other technical analysis tools, such as moving averages and trendlines, to confirm trading decisions.<br /><br />💥One potential drawback of P&F charts is that they can be more difficult to read and interpret than other types of charts, particularly for beginners. However, with practice and experience, many traders find that P&F charts can be a valuable tool in their technical analysis toolbox.<br /><br /><div align="center"><a href='https://stocksharp.com/file/135917/point-and-figure-chart_jpg/' class='lightview' data-lightview-options="skin: 'mac'" data-lightview-group='mixed'><img src="https://stocksharp.com/file/135917/point-and-figure-chart_jpg/?size=500x500" alt="point-and-figure-chart.jpg" title="point-and-figure-chart.jpg" /></a></div><br /><br />💥The Point-and-Figure diagram is a popular method of technical analysis. The format of the diagram is quite different from the bar charts typically used in technical analysis because bar charts show time on the horizontal axis. With a bar chart, we can easily see the highest and lowest opening and closing prices of a particular day, and one bar chart represents trading for one day (for daily charts) or one week (for weekly charts), which is fixed.<br /><br />💥However, with the Point-and-Figure diagram, price action is represented by the letters O and X, as shown in the example figure. Although the resulting graphs may look like bars, we cannot determine how long each bar lasts because the price action remains the same for as long as there is no change or reversal, and one bar may display data for several days. This compression mechanism filters out random price movements or noise, which is not related to the trend, providing us with a clearer picture of the trend.https://stocksharp.com/topic/24176/What about Gaps Patterns?2022-11-22T09:20:41Z2023-04-15T14:19:14ZPannipahttps://stocksharp.com/users/164332/info@stocksharp.com💥Gaps are a common phenomenon in financial markets that can indicate significant price movements. A gap occurs when there is a difference between the closing price of a trading day and the opening price of the following day. This difference can occur due to a variety of reasons, such as news announcements, economic events, or trading activity during non-market hours.<br /><br /><b>There are three types of gaps:</b><br /><br /><ol><li>Common gap: This gap occurs in a trading range and doesn't signify any significant change in trend. It is also known as a "trading gap" or "area gap."<br /><br /><li>Breakaway gap: This gap occurs when the price moves out of a trading range and signals the beginning of a new trend. It is also known as an "exhaustion gap."<br /><br /><li>Runaway gap: This gap occurs in the middle of a trend and signals a continuation of the current trend. It is also known as a "measuring gap" or "continuation gap."</ol><br /><br />💥Traders can use gap analysis to identify potential entry and exit points in the market. For example, if a breakaway gap occurs, traders may look to enter a long or short position, depending on the direction of the gap. However, gaps can also be risky, as prices may move rapidly and cause significant losses if the trade is not managed properly.<br /><br />💥As with other chart patterns, it's important to use other technical indicators and analysis to confirm trading decisions. Gaps are not always reliable and can be subject to false breakouts. Therefore, it's important to wait for confirmation before making trading decisions based solely on gaps.<br /><br /><div align="center"><a href='https://stocksharp.com/file/135846/fwka3izveaeyqnm_jpg/' class='lightview' data-lightview-options="skin: 'mac'" data-lightview-group='mixed'><img src="https://stocksharp.com/file/135846/fwka3izveaeyqnm_jpg/?size=500x500" alt="FWKa3IZVEAEyqnm.jpg" title="FWKa3IZVEAEyqnm.jpg" /></a></div><br /><br />💥There is another chart pattern called "gaps," also known as "windows" or the "gaps pattern." Gaps are neither a continuation nor a reversal pattern, and can occur in many ways as both a continuation and a reversal pattern. What does a gaps pattern look like, and what can it tell us? Let's explore.<br /><br />💥As we all know, "gaps" means empty spaces or gaps. In technical analysis, gaps have the same meaning, but with a little more indication that they are the result of buying pressure (demand) and selling pressure (supply) being unable to set prices within the price range of the previous day. When the buying and selling pressure meet, the agreed price is set, causing the price movements to stay away from the previous day's price range. The price movements of that day cannot close the gap, and that is why it appears on the graph as a gap.<br /><br />💥For example, if today's opening price is above yesterday's high for a while, it will create a gap. Conversely, if today's highest price is below yesterday's low for some time, that range is considered a gap.<br /><br />💥Usually, gaps in an uptrend are a sign of market strength, while gaps in a downtrend are a sign of market weakness. However, there are different types of gaps. Some are more important than others, and gaps can also be closed in different ways, which affects their significance. <br /><br /><div align="center"><b>There are generally four types of gaps: common gap, breakaway gap, runaway gap, and exhaustion gap.</b></div><br /><br /><div align="center"><a href='https://stocksharp.com/file/135847/19_4_ee371e0a7c_png/' class='lightview' data-lightview-options="skin: 'mac'" data-lightview-group='mixed'><img src="https://stocksharp.com/file/135847/19_4_ee371e0a7c_png/?size=500x500" alt="19_4_ee371e0a7c.png" title="19_4_ee371e0a7c.png" /></a></div><br /><br />https://stocksharp.com/topic/24134/Reversal Patterns (V-Shape)2022-11-11T15:46:37Z2023-04-13T11:22:06ZPannipahttps://stocksharp.com/users/164332/info@stocksharp.com💥V-shape is a chart pattern that signals a potential reversal in the trend of an asset. As the name suggests, the pattern looks like the letter "V".<br /><br />💥The V-shape pattern occurs when an asset's price experiences a rapid decline, followed by a sharp recovery. This creates a V-shaped pattern on the price chart. The pattern is significant because it suggests that the asset's price has reached a low point and is now likely to reverse its trend and move upwards.<br /><br />💥The key to identifying a V-shape pattern is to look for a sharp drop in price, followed by a sudden rebound. The rebound should be strong enough to push the price back up to at least the halfway point of the decline.<br /><br />💥Traders often look for V-shape patterns as they can provide a good opportunity to enter a trade at a low price and ride the upward trend. However, it is important to note that not all V-shape patterns will result in a reversal, and it is always wise to use other indicators and analysis to confirm the trend before making a trade.<br /><br /><div align="center"><a href='https://stocksharp.com/file/135668/fig-1_1_png/' class='lightview' data-lightview-options="skin: 'mac'" data-lightview-group='mixed'><img src="https://stocksharp.com/file/135668/fig-1_1_png/?size=500x500" alt="FIG-1.1.png" title="FIG-1.1.png" /></a></div><br /><br />💥There are two types of V-shape reversals: the top V and the bottom V. Let's start with the bottom V. The key is to point out that there will be a V-shape pattern at the bottom of the chart at the very bottom. What does that bar graph tell us? It tells us that on that day, the price was smashed down to close near the lowest price level, which reflects high sales demand. For the next day, at the opening of the market, the male force that remained the day before burst out again, resulting in the price quickly falling to a new low, as seen from the lowest price in the next bar, which is lower than the previous bar. After that, the demand for buyback began to come in and pursued a big buyback until the closing price in the next bar was above the closing price in the previous bar. This means that buying pressure can overcome selling momentum in the last curve. Therefore, bars 1 and 2 are key indicators of a quick transition from a downtrend to an uptrend, similar to the V.<br /><br />💥As for the top V in the figure, there is a key located at the bar graph before the highest top and the highest top. It can be seen that the highest price in the bar graph of the top is higher than the previous bar, but its closing closed at a lower level than the previous bar's close. This is a signal that indicates a sharp shift from an uptrend to a downtrend.https://stocksharp.com/topic/14523/Crypto index in crypto trading!2020-09-29T13:33:22Z2020-10-16T21:45:04ZILYAhttps://stocksharp.com/users/127794/info@stocksharp.com<b>Crypto trading</b> is a type of trading and therefore we should admit that as well as in classic trading, <b>crypto trading</b> has its own <b><em><u>index</u></em></b>. [wink]<br /><br />The index reflects the condition of market of crypto currencies, based on average market indicators. <b>As in classic trading, the index in crypto trading formed on data from the most liquid tokens. The amount of taken tokens displayed in the title. If there’s a number 10, then it includes 10 different crypto currencies</b>. The change of every of these tokens <b>has a high effect</b> on the index. [ninja]<br /><br /><a href='https://stocksharp.com/file/116432/crypto-trading-index_jpg/' class='lightview' data-lightview-options="skin: 'mac'" data-lightview-group='mixed'><img src="https://stocksharp.com/file/116432/crypto-trading-index_jpg/?size=500x500" alt="crypto-trading-index.jpg" title="crypto-trading-index.jpg" /></a><br /><br /><em><u>The growth of the components of the index therefore the index will be rising. If the rate of crypto currencies is decreasing, then the index will be cheaper.</u></em> [wink]<br /><b><em><u>Index is kind of basket of several components</u></em></b>. Crypto trader can choose which components he wants and monitor all of them. [happy]<br />You might need an <b><u>index chart </u></b>to analyse the market. If the index is most common, then the chart will be shown in the appropriate resource. <br />But what if the index of trader portfolio investment is<b><em><u> individual</u></em></b>? For creating such index, the <a href="https://stocksharp.com/products/hydra/" title="https://stocksharp.com/products/hydra/"><b><em><u>Hydra</u></em></b></a> program will be indispensable. <b><em><u><a href="https://stocksharp.com/products/hydra/" title="https://stocksharp.com/products/hydra/">Hydra</a> can collect the volume of each assets, calculate, and build the necessary index, moreover you can use this index in other programs just by saving it in your desirable format.</u></em></b>[love]<br />The gotten index can give you detailed and comprehensive data of the market condition. Furthermore, to work with index will give traders the opportunity to analyse the market perspective and any assets. <b>The trader gets more effective system of crypto trading and therefore to get more benefits and reduce risk.</b> [wink][love]<br /><br /><a href='https://stocksharp.com/file/116433/crypto-market-analyses_png/' class='lightview' data-lightview-options="skin: 'mac'" data-lightview-group='mixed'><img src="https://stocksharp.com/file/116433/crypto-market-analyses_png/?size=500x500" alt="crypto-market-analyses.png" title="crypto-market-analyses.png" /></a>