#TradingAnalysis101 Congratulations! If you are reading this, you are already interested in trading, and you either want to get rich in two weeks or successfully blow your deposit and blame the market, bankers, and the moon phase for everything. Don't worry, I will guide you through the basics of trading analysis so that you can do it as beautifully as possible. 1. Fundamental analysis: predicting the future from coffee grounds.
Fundamental analysis is when you study news, company reports, economic indicators, and other boring things to predict what will happen to the asset.
Example:
Apple released a new iPhone → stocks should rise!
The CEO of the company resigned → urgently sell everything!
Bankruptcy of a large fund → well, it’s not my fund, let’s keep holding the position!
Geniuses of fundamental analysis know that the main thing is to convincingly explain why the market did not do what you expected.
2. Technical analysis: drawing pictures to fool yourself.
If fundamental analysis is boring, then technical analysis is fun, because here you can draw lines! Charts, figures, support and resistance levels – that's what real traders live for.
The most popular figures:
Head and shoulders – do not confuse with shampoo. If you see it on the chart, it means someone has already made money, and you are late.
Double bottom – a signal to rise! Although sometimes it’s just the beginning of a triple bottom, but that’s no longer your problem.
Flag – sounds beautiful, but most often means your deposit will soon wave goodbye to you.
The main rule: if you don’t see a figure – draw it yourself.
3. Indicators: because the more arrows, the better.
Real masters of analysis do not trust bare charts. They overlay indicators on them to feel like true professionals.
The best of the best:
RSI – if below 30, then buy! If above 70 – also buy, but with faith in a miracle.
Moving Average – if the price crossed from bottom to top – buy! If from top to bottom – redraw the indicator.
MACD – if the lines crossed – that’s a signal! Which one? You decide.
Tip from a pro: the more indicators, the harder it is to explain why you lost money.
4. Trading psychology: learning not to cry.
The most difficult moment in trading is to keep yourself in check when your deposit melts faster than ice cream in the sun.
Useful life hacks:
In case of a loss – review the forecast and pretend it was planned that way.
In case of a profit – quickly secure it, and then suffer while watching the price continue to rise.
If everything goes wrong – say that the market is inadequate.
Remember: trading is not a way to make money, but a way to feel very smart before you lose everything.
Conclusion: why it’s still worth trying.
Yes, you will most likely blow your deposit. But it doesn’t matter! You will have valuable experience, new emotions, and a reason to tell your friends that "the market was strange today."
So take out a loan, trade with all your money, and don't forget to post on social media about how soon you'll be a millionaire.
