Terminology
If you have trouble understand some of the terms or shortforms we have used in this website, here is the place to find out what they mean.
For price levels shortform used in real-time commentaries, refer to the price level reference.
If you could not find a particular term that you cannot find the explanation here, feel free to drop us a line at info@daytradingbias.com
(Listing in alphabetical order)
Measured move is a highly structured price movement that consists of 2 swings in the same direction with a pause in-between. Detailed explanation can be find in this article
Non-Farm Payroll report is an highly anticipated economic report with major significance in moving both stock markets and forex majors. See its Survival Guide for more details.
Option expiration (Op Ex) week is known to cause more intraday volatility in the stock market indices. See its Survival Guide for more information.
Open range for a timeframe is the range established during the initiation process in STOPD. It is a yardstick good for measuring the price behaviour dynamically. For example, for intraday trading purpose, the E-mini S&P and other US stock market indices have their OR established within the first 30 minutes to an hour. For Forex, […]
It has many names as it is discovered and rediscovered again and again by different people. When you see a move, say an up move, retracements are expected. If a retracement low does not tag the previous swing high or an important reference price level from a breakout, within a very small range like a […]
Daytraders from the old days mostly are floor traders. They did not have access to charts, or pretty much nothing else. Having pre-calculated price levels derived from previous trading day, namely, the pivot and its related support/resistance levels, these floor traders got the necessary anchor they needed. Nowadays, as these price levels are widely publicized, […]
Plunge Protection Team (PPT) is the nickname for Working Group on Financial Markets. The term was branded as a myth by the financial industry until it was exposed and subsequently acknowledged by past Fed chairmans and government officials of its existence.
A Wedge in chart often points to weaknesses in current expansion direction. It is a common reversal setup. A Rising Wedge is a chart formation with higher high and higher low prints from swing to swing, where the high points can often be connected by a straight line (but not a necessary condition), and so […]
Nowadays, many markets trade 24 hours a day. That was not the case before this Internet age and most businesses/trading firms still operate within normal day time hours based on the time zone they are located at. Most of the active traders still need to sleep. So exchanges maintain 2 sessions (or more) for those […]
Many people use simple moving averages as a way to tell the direction of the markets they trade. More interestingly, however, are bots built around these moving averages that can dominate the price actions when the number of human participants drops (e.g. lunch hour, holidays, etc.).
STOPD (Special Theory of Price Discovery)
A theory describing the mechanism of price discovery under special conditions that leads to deterministic behaviour in price movements.
Classic Tick Index from NYSE is a broadcasted real-time market breadth data. It is a market timing tool. Tick indices we used here are customized Tick Indices created from specialized baskets of stock indices components. The S&P 500 Tick16 on the front page is one of them.
Time based statistical bias useful for trade planning and as a filtering method for trading systems.
Triple green is an old saying among many equity traders who trade equities in US stock markets. On old monitors, the instruments are displayed in green when they are net up for the day so far and in red when they are net down for the day at the moment. When the cash indices S&P […]
A terminal pattern for downtrend. Bearish version of this pattern is known as Wyckoff Up Thrust. Detailed explanation of W. Upthrust can be found in this article
