Lesson 0. Let’s Get Started
Hello! I am Oleg Alexandrov, the market analyst, the author of this Chart Reading Course. My chart reading skill is better than my English, so I am sorry for possible grammar mistakes in the text of this Course.
The main goal of this course is to teach you to read the big picture of the market. It will take a mental effort to understand what is really going on. I tell you right away that you will NOT get a simple mechanical system based on elementary rules. For example, buy when the line of indicator A crosses up the line of indicator B. In my opinion, such simple rules, where no mental effort is required, will not lead you to success over the long haul. The following pages contain materials which will help you learn to think in the right direction, to understand the real rules of the cruel market game, having the data from the chart at your disposal.
Chart Reading Course is a comprehensive approach. Chart Reading Course aims to develop your own judgment about the market. All you need are:
- A chart with a histogram of volumes and price dynamics.
- A common sense.
- Regular practice for perfection.
To put them into a real money game later on, you will need to add discipline and risk control.
What’s new in version 2.0
- Added more examples to clarify the Chart Reading principles
- Added data of FXSSI indicator to demonstrate the real rules of cruel market game
- Added more data to build strategy
There is no useless information in my 2.0 course, which you can find in abundance in the public domain. I do not discuss what are the indicators, what is the history of the forex market, how to choose a broker and so on. I try to saturate each page with only sensible and unique information that will benefit you and serve you as a reliable assistant every day. I’ve been making a lot of edits and this has slowed down the publication considerably, so I apologize to those who have waited too long for an update. This is my fault. I hope the value of further information will compensate you for the wait.
The structure of the Chart Reading Course 2.0
Section 1. Introduction
- Here you will learn the basics of the basic principles and laws that apply to trading on any market – stocks, crypto, futures.
Section 2. Chart Reading Signs
- Here I will show you 10 universal signals or signs. They are like individual patterns or components that make up the big bright picture.
Section 3. Chart Reading Stories
- Here I will talk about such global market stages as accumulation, distribution, and trend. Knowing how to identify the current market stage is an important key to surviving in the market.
Section 4. Chart Reading Practice
- Here I have gathered maximum practical information as real examples from various markets. I’ve added step-by-step examples of how to adapt your thinking to emerging new data, as if we were trading in real time.
One more warning. This course will not give you a magic method that will make you fabulously rich quickly and easily. Trading is a complicated business, and you will definitely have to put in some serious effort just to avoid losing money. This is true.
How to implement this Course
I tried to present the Chart Reading techniques using the rational sequence – from basic things to advanced. Like maths.
However, the science of trading is a too complex thing as it deals with human nature, money, laws of logic etc. So, putting things on a line “from basic to advanced” is a hard task to complete.
That is why I suggest you read this Course two or three times for several reasons:
- When reading the first time you will face too many unfamiliar concepts. So, when reading the Course the second time, you will find the signs from chart more friendly.
- The Course is under permanent updating. I spend some time every week to add some interesting story, chart, a portion of useful knowledge, quote, etc. People ask questions, I answer them. This conversation is a good help for understanding the Chart Reading.
Used Acronyms In This Course
- ND — No Demand; NDW, or ND-Wave — No Demand Wave
- DB — Demand Bar; DW, or D-wave — Demand Wave
- SB — Supply Bar; SW, or S-wave — Supply Wave
- NS — No Supply; NSW, or NS-wave — No Supply Wave
- SLK — Stop Loss Killer; SLKT — SLK at the Top (bearish sign), SLKB — SLK at the bottom (bullish sign)
- EVR — Effort versus Result; EVRW — EVR wave; EVRT — EVR at the Top, EVRB — EVR at the bottom
- BD — Break Down
- BU — Break Up, BO — Break Out
- SOS — Sign of Strength
- SOW — Sign of Weakness
- ZOS — Zone of Strength
- ZOW — Zone of Weakness
- SFDB — Support from Demand Bar
- RFSB — Resistance from Supply Bar
- TF – TimeFrame (period)