Every trader knows that using multiple timeframes can provide different perspectives on the market, and provide key information on the lead-lag relationship. Small timeframes lead larger ones, and larger ones drive the smaller ones. Understanding the inter-play is crucial.     Since trends exist on different timeframes, it makes sense to analyse at least two […]

Overconfidence is the unwarranted faith in one’s intuitive reasoning, judgments, and cognitive abilities. Studies conducted have shown that people overestimate both their own predictive abilities and the precision of information that they have been given. In addition, people are poorly calibrated in estimating probabilities – events which they think are certain to happen are often […]

Photo with Lee Lung Nien, COO of Citibank Singapore This year, it was once again a gruelling tough battle at the Citbank Forex Challenge. There were over 300+ teams, and only 48 made it to the finals. I am proud to announce that 4 of the 8 teams from my round that made it to […]

On this weekly chart of USD/JPY, we can see that the USD has not touched the 20-EMA in quite a while, and has also bounced off the bottom of the channel. Since there is still much bearish pressure, there is a good chance that it will try to test the old lows of 82.85. USD […]

Currently, I am long on indofood, and you can see from the chart that it is in a nice uptrend channel with quite some space to its next level of resistance at 2.58. Olam recently exhibited a similar pattern. Noble seems to be the laggard in the commodities sector, but it has found decent support, […]

If we look at the collective participation in the markets, we find many different kinds of people, different kinds of beliefs, and different kinds of theories. These differences create price movements and patterns. To understand and exploit these opportunities, we first need to understand ourselves. We will then be able to choose the kind of strategy […]

Many new to trading have the tendency to liquidate positions that show a small profit, yet they keep those positions that show a loss as are unwilling to take a loss, in hope that prices will rebound. Such a counter-intuitive strategy will result in small wins and large losses, but why do people still do it? […]