The “divergent bar” is any directional session moving opposite the current trend. As a reversal day, it signals a likely change from bullish to bearish, or from bearish to bullish. As a general rule, expect to see the day’s session open at a gap from the previous day, but to close within the range of… [READ MORE]

The “OOPS signal” was developed by trader and author Larry Williams. It was named for the all too common experience among traders, upon discovering that “Oops, we lost.” The system is programmed to create more profits than losses. So when the market opens lower than the previous day’s close, a trader places a buy-stop order… [READ MORE]

No matter how expertly you are able to time entry and exit in option positions, you face one specific risk not often raised or discussed: the risk of doing too much, too soon, and for the wrong reasons. This action arises any time an underlying price moves too quickly in one direction. Even though the… [READ MORE]