Over the past few months there’s been a lot of internet chatter concerning the digital currency tether (USDT) and whether or not it’s really backed by U.S. dollars. Further, there’s been skeptics, speculators, anonymous Twitter handles, and well-researched reports that claim tether printing moved the price of BTC considerably this past year. However, just recently a Ph.D. student at the University of Groningen analyzed the situation, and his findings reveal
Guides & Analytics
First step: what is an ICO? We will start from the beginning to make this tutorial for all public. The acronym ICO correspond to Initial Coin Offering. And what means that? Well, right now every start up can issue his own currency using blockchain technology usually called tokens or coins, the company has a project and sells this currency to obtain the funds to be able to develop his project.
It’s no surprise: Cryptocurrency traders deal with a huge amount of volatility, whether they’re trading bitcoins or a more obscure altcoin. And while a buy-and-hold strategy has worked out very well the last few years, it hasn’t been without some stomach-churning volatility along the way. In fact, many cryptocurrency investors and traders have endured drawdowns of 50% or more. And not only are these price swings severe, they also happen
The New Highs-Lows Cumulative indicator is a long-term market momentum indicator. It is a cumulative total of the difference between the number of stocks reaching new 52-week highs and the number of stocks reaching new 52-week lows. The New High-Low Cumulative indicator provides a confirmation of the current trend. Most of the time, the indicator will move in the same direction as major market indicies. However, when the indicator and
The Negative Volume Index (“NVI”) focuses on days where the volume decreases from the previous day. The premise being that the “smart money” takes positions on days when volume decreases. The interpretation of the NVI assumes that on days when volume increases, the crowd-following “uninformed” investors are in the market. Conversely, on days with decreased volume, the “smart money” is quietly taking positions. Thus, the NVI displays what the smart
A Moving Average is an indicator that shows the average value of a security’s price over a period of time. When calculating a moving average, a mathematical analysis of the security’s average value over a predetermined time period is made. As the security’s price changes, its average price moves up or down. There are five popular types of moving averages:simple (also referred to as arithmetic), exponential, triangular, variable, and weighted.
The Money Flow Index (“MFI”) is a momentum indicator that measures the strength of money flowing in and out of a security. It is related to the Relative Strength Index, but where the RSI only incorporates prices, the Money Flow Index accounts for volume. The interpretation of the Money Flow Index is as follows: Look for divergence between the indicator and the price action. If the price trends higher and
The Momentum indicator measures the amount that a security’s price has changed over a given time span. The interpretation of the Momentum indicator is identical to the interpretation of the Price ROC. Both indicators display the rate-of-change of a security’s price. However, the Price ROC indicator displays the rate-of-change as a percentage whereas the Momentum indicator displays the rate-of-change as a ratio. There are basically two ways to use the
The Member Short Ratio (“MSR”) is a market sentiment indicator that measures the short selling activity of members of the New York Stock Exchange. “Members” trade on the floor of the exchange either for their own account or for their clients. Stocks are sold short in anticipation of the price falling. Knowing what the “smart money” is doing (e.g., members) is often a good indication of the near-term market direction.
The Median Price indicator is simply the midpoint of each day’s price. The Typical Price and Weighted Close are similar indicators. The Median Price indicator provides a simple, single-line chart of the day’s “average price.” This average price is useful when you want a simpler view of prices. The following chart shows the Median Price indicator (dotted line) on top of Keycorp’s bar chart. The Median Price indicator is calculated