Friday, 6 September 2019

How am I starting on my Technical Analysis journey?

My core investment skills come from fundamental analysis. TA is relatively different and requires me to develop different skillsets. For past few months, I have been working hard to improve my Technical Analysis and trading skillsets.

Recently bought a book: “Trading: Technical Analysis Masterclass” (This is an affiliate link. See disclosure below) by Rolf Schlotmann / Moritz Czubatinski, which provides good and clear explanation of the basics. Have personally found this book to be really useful and will recommend new traders to take a look.

So how am I starting my TA journey? I first set aside a sum of money for short-term trading:
(1)   Near-term and daily needs in high deposit bank accounts
(2)  Emergency funds in short-term fixed deposits
(3)  Stocks
(4) Investment Warchest in Singapore Savings Bonds and high deposit bank accounts.
(5)  Currency
(6) Short-term trading – NEW!

This is a sum that could potentially become my “school fees”. Before each trade, I worked out a plan and identified the potential upside/downside % as well as the entry, exit and cut-loss prices. I also used indicators such as Candlestick, RSI and MACD to guide me.

While the general trend of overall stock market trend seemed bearish, I spotted potential uptrend opportunities for OCBC, DBS, Hong Kong Land, SATS Limited. Hence, I took the calculated risk to buy in and am currently monitoring the charts closely. Have earned a small profit from trading STI ETF. Not a bad start, I guess? Will share some charts and analysis in my future posts. 😊

Disclosure: The link for "Trading: Technical Analysis Masterclass" is an affiliate link. At no additional cost to you, I will earn a commission if you click through and make a purchase.


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