The 7 Best Technical Analysis Books to Improve Your Trading

best technical analysis books

Technical analysis is the study of price movements and patterns in financial markets, using charts and indicators to identify trends, signals, and opportunities.

In this article, we will review the 7 best technical analysis books that every trader should read.

best technical analysis books

Whether you are a beginner or a seasoned trader, these books will help you improve your trading performance and achieve your financial goals.

Additionally, we recommend TradingView for technical analysis, as it is the best charting software for all markets.

The 7 Best Technical Analysis Books

1- Getting Started in Technical Analysis

2- How to Make Money in Stocks: A Winning System in Good Times and Bad

3- Japanese Candlestick Charting Techniques

4- Encyclopedia of Chart Patterns

5- Technical Analysis Using Multiple Timeframes

6- Technical Analysis For Dummies

7- Technical Analysis of Stock Trends

Getting Started in Technical Analysis

Getting Started in Technical Analysis is a great introduction to technical analysis for beginners. It explains the basic concepts and techniques of technical analysis in a clear and simple way. It covers topics such as trends, trading ranges, chart patterns, and more. Getting Started in Technical Analysis also provides in-depth coverage of:

  • Trading systems-trend-following, counter-trend, pattern recognition.
  • Software for charting and analysis.
  • The challenges of trading illiquid and thinly traded markets.
  • How to avoid false signals and whipsaws.
  • Risk control strategies.
  • The psychological aspects of trading discipline, commitment, confidence, and more.

Getting Started in Technical Analysis is a comprehensive and practical guide to the art and science of technical analysis. It is suitable for anyone who wants to learn how to use charts and indicators to make better trading decisions.

How to Make Money in Stocks: A Winning System in Good Times and Bad

How to Make Money in Stocks: A Winning System in Good Times and Bad is a national bestseller that has taught over 2 million investors how to build wealth through the stock market. It is based on a major study of market winners from 1880 to 2009.

How to Make Money in Stocks is not just a book about technical analysis. It is also a book about fundamental analysis, market psychology, portfolio management, and trading philosophy. It teaches you how to use O’Neil’s famous CAN SLIM system to identify and buy the best growth stocks in any market condition.

How to Make Money in Stocks is a must-read for anyone who wants to learn how to beat the market consistently and achieve financial freedom.

Japanese Candlestick Charting Techniques

Japanese Candlestick Charting Techniques is the most comprehensive and trusted guide to this essential technique. It is written by a pioneer trader who has done years of research on candlestick charting. It covers everything you need to know, including hundreds of examples that show how candlestick techniques can be used in all of today’s markets.

Japanese Candlestick Charting Techniques will teach you how to:

  • Recognize and interpret the most common candlestick patterns
  • Combine candlestick analysis with other technical tools such as moving averages, trendlines, support and resistance levels
  • Apply candlestick techniques to various time frames and markets such as stocks, forex, futures
  • Use candlestick signals to identify trading opportunities and manage risk
  • Enhance your trading performance with advanced candlestick concepts such as continuation patterns, reversal patterns, gaps, windows, harami, doji, shooting star, hammer, morning star, evening star, dark cloud cover, piercing line, engulfing pattern, and more.

Japanese Candlestick Charting Techniques is a classic book that every technical analyst should have in their library. It is not only a reference book but also a trading manual that will help you master one of the most powerful and effective methods of chart analysis.

Encyclopedia of Chart Patterns

Encyclopedia of Chart Patterns updates the classic with new performance statistics for both bull and bear markets and 23 new patterns, including a second section devoted to ten event patterns.

The author tells you how to trade significant events, such as quarterly earnings announcements, retail sales, stock upgrades and downgrades, and more!

Encyclopedia of Chart Patterns will show you how to:

  • Identify and profit from the most reliable chart patterns
  • Use pattern recognition to filter out noise and focus on the most important price movements
  • Measure the strength and reliability of each pattern with performance rankings and failure rates
  • Optimize your entry and exit points with precise trading rules and guidelines
  • Avoid common mistakes and pitfalls that can ruin your trades

Encyclopedia of Chart Patterns is a comprehensive and authoritative reference book that covers over 100 chart patterns, including classic patterns, event patterns, rare patterns, and failed patterns. It is an invaluable resource for any technical trader who wants to improve their pattern recognition skills and increase their trading success.

Technical Analysis Using Multiple Timeframes

Technical Analysis Using Multiple Timeframes is written by a trader and author for traders. It provides real-world examples of price action. It is considered a short textbook that offers practical knowledge. The author developed a method called Squeeze Dynamics Theory, which uses technical analysis and multiple timeframes.

Technical analysis using multiple timeframes involves analyzing stock price charts in different time frames. Higher time frames can help identify trends, while lower time frames can help identify entry and exit points.

Technical Analysis Using Multiple Timeframes will help you:

  • Understand the principles of technical analysis and how to apply them to any market
  • Learn how to use multiple timeframes to identify the best trading opportunities
  • How to develop your own trading plan
  • Trade with confidence and discipline using clear and objective rules
  • Avoid emotional mistakes and overcome psychological barriers

Technical Analysis Using Multiple Timeframes is a book that will change the way you look at the markets. It will teach you how to combine different perspectives and tools to create a holistic and profitable trading approach.

Technical Analysis For Dummies

Technical Analysis For Dummies helps you take a realistic look at what securities prices are actually doing rather than what economists or analysts say they should be doing.

The book teaches you how to:

  • Determine how markets are performing and make decisions using real data
  • Spot investment trends and turning points
  • Improve your profits and your portfolio performance

Technical Analysis For Dummies is a friendly and easy-to-understand guide that introduces you to the basic concepts and techniques of technical analysis. It covers topics such as:

  • Chart types, patterns, indicators, oscillators, and signals
  • Trend analysis, trendlines, channels, support and resistance levels
  • Trading systems, strategies, styles, and tactics
  • Risk management, money management, position sizing, and stop-loss orders
  • Technical analysis tools, software, platforms, and resources

Technical Analysis For Dummies is a book that will help you get started with technical analysis in a fun and simple way. It will also help you avoid common pitfalls and misconceptions that can hinder your trading success.

Technical Analysis of Stock Trends

Technical Analysis of Stock Trends is widely considered to be one of the seminal works of the discipline. It was published in 1948 and is exclusively concerned with trend analysis and chart patterns.

It remains in use to the present. It is clear that chart analysis was the main method of technical analysis in the early days because computers did not have enough processing power for statistical analysis.

Technical Analysis of Stock Trends will teach you how to:

  • Identify the major trends of the market using the Dow Theory
  • Analyze price movements using bar charts, point-and-figure charts, line charts, candlestick charts
  • Recognize and trade various chart patterns such as triangles, rectangles, head-and-shoulders, double tops, double bottoms, wedges, flags, pennants, and more.
  • Use volume, breadth, sentiment, moving averages, trendlines, support and resistance levels to confirm or refute chart signals
  • Apply technical analysis to different time frames, markets, sectors, industries, and stocks

Technical Analysis of Stock Trends is a book that every serious technical analyst should read. It is a classic book that has stood the test of time and has influenced generations of traders. It is a book that will help you understand the logic and psychology behind price movements and chart patterns.

The Best Technical Analysis Tools

Technical analysis is not only about reading books and learning theories. It is also about using the right tools to apply your knowledge and skills to the real markets.

There are many technical analysis tools available in the market, but not all of them are created equal.

TradingView is a web-based platform that allows you to use hundreds of indicators and draw patterns on your chart. TradingView supports stocks, forex, futures, cryptocurrencies, and more.

It also has a powerful backtesting and paper trading feature that lets you test your trading system before risking real money.

TradingView is completely free to use, but if you want to access more features and benefits, you can upgrade to a premium plan.

If you are serious about trading, you can test out the premium features by using our link to sign up for a free trial. You will also get a discount on your subscription if you sign up using our link.

TradingView is the best technical analysis tool that we have ever used. It is easy to use, reliable, and versatile. It can help you improve your trading skills and results in any market. We highly recommend it to anyone who wants to take their trading to the next level.

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Disclosure: This post contains affiliate links from Amazon and TradingView. As an Amazon Associate, I earn from qualifying purchases. This means that if you click on these links and make a purchase, I will receive a small commission at no extra cost to you.

TradingView Moving Averages: A Comprehensive Guide for Traders

tradingview moving average lines

Moving averages are among the most popular and widely-used technical indicators in the world of trading. These versatile tools help traders identify trends, generate signals, and make informed decisions.

In this guide, we’ll explore the fundamentals of moving averages in TradingView, discuss various moving averages, and provide step-by-step instructions on setting them up in your charts.

Understanding Simple and Exponential Moving Averages

Before we dive into the setup process, let’s start with the basics and define two key types of moving averages: Simple Moving Average (SMA) and Exponential Moving Average (EMA).

tradingview moving averages
A chart with a 50 SMA and 200 SMA on the Daily Timeframe

Simple Moving Average (SMA)

  • What is SMA? A Simple Moving Average (SMA) calculates the average price of a financial instrument over a specified period. It’s called “simple” because it gives equal weight to all price data points within the period.
  • How is SMA used? SMA is used to identify trends and potential areas of support and resistance. When the price is above the SMA, it indicates a bullish trend; when it’s below, it suggests a bearish trend.

Exponential Moving Average (EMA)

  • What is EMA? An Exponential Moving Average (EMA) is similar to SMA but gives more weight to recent price data, making it more responsive to price changes.
  • How is EMA used? EMA is commonly used to identify short-term trends and price reversals. It can provide earlier signals compared to SMA due to its sensitivity to recent data.

Differences Between SMA and EMA

  • SMA is a straightforward average that treats all data points equally, while EMA prioritizes recent data and reacts faster to price changes.
  • SMA provides a smoother line that may be useful for identifying long-term trends, while EMA is more suitable for capturing short-term price movements.
tradingview moving average 9 ema
9 EMA on the 5 minutes timeframe

Setting Up Moving Averages in TradingView

Now that we’ve covered the basics, let’s explore how to set up moving averages in TradingView.

Step-by-Step Guide

  • Open a chart in TradingView and select the financial instrument you want to analyze.
  • Click on the “Indicators” button at the top of the chart.
  • Search for “Moving Average” in the search bar, and you’ll see various moving average options.
  • Choose the desired moving average type (e.g., “Simple Moving Average” for SMA or “Moving Average Exponential” for EMA).
  • Customize the settings, such as the period and color, by clicking the gear icon next to the indicator.
  • Repeat the process to add multiple moving averages to your chart if desired.
  • If the indicator comes with too many lines by default, you can remove them by clicking on the settings icon on the chart and unchecking them in style.

Tips for Using Multiple Moving Averages

  • Consider using moving average crossovers as trading signals. For example, when a short-term EMA crosses above a long-term EMA (9 and 26 periods, for example), it may signal a bullish trend.
  • Experiment with moving average ribbons, which consist of multiple moving averages plotted together to analyze the strength and direction of a trend.

Exploring the Best Moving Average Indicators on TradingView

With various moving average indicators available in TradingView, how do you choose the best one for your trading style?

Best Moving Averages for Different Time Frames

  • The best moving average for a daily chart depends on your trading objectives. Common choices include the 50-day SMA and 200-day SMA, often used to identify medium to long-term trends.
  • For intraday trading, consider shorter periods such as the 9-day EMA or 26-day EMA to capture short-term price movements.

Factors to Consider

  • Evaluate your trading style and objectives. Are you a short-term trader or a long-term investor?
  • Consider market volatility and timeframe. Different moving averages may work better in different market conditions and time frames.

Additional Moving Average Indicators in TradingView

  • Weighted Moving Average (WMA): Assigns different weights to each data point, with greater emphasis on recent data. Useful for capturing short-term trends.
  • Hull Moving Average (HMA): Combines multiple weighted moving averages for a smoother and more responsive indicator. Often used to reduce lag and identify trend reversals.

TradingView Moving Averages | Bottom Line

Moving averages are essential for traders seeking to analyze trends and make informed decisions. TradingView offers a wide variety of moving averages, each with its unique characteristics and applications.

Whether you’re a novice trader or an experienced investor, understanding and utilizing moving averages can significantly enhance your trading strategy. You can also check out our article comparing MA vs. EMA vs. SMA for more information.

Other TradingView Indicators

As you embark on your trading journey, we encourage you to explore the diverse world of indicators on TradingView, with others, including the volume profile and the Ichimoku clouds.

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Get a TradingView Discount

For traders seeking to elevate their trading experience, TradingView usually offers a fantastic opportunity for new users to explore its premium features with a 30-day trial.

This trial period grants you access to various advanced tools and indicators, including the coveted Volume Profile indicator. When you use my referral link, you will also get a discount on your subscription.

This article contains affiliate links I may be compensated for if you click them and make a purchase.

How You Can Use Fibonacci Retracements on TradingView

fibonacci retracement tradingview

Intro to the Fibonacci Retracement on TradingView

Fibonacci retracement levels have been a staple of technical analysis for centuries, providing traders with valuable insights into potential price reversals and areas of support and resistance.

In this guide, we’ll explore how to effectively use the Fibonacci retracement tool on the TradingView platform, which I believe is the best charting software for all assets.

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The Origins and Importance of Fibonacci Retracement Levels

Fibonacci retracement levels originate from the Fibonacci sequence—a mathematical series of numbers with unique properties. These levels are widely used in trading to identify key areas where price action is likely to occur. The most commonly used Fibonacci retracement levels include:

  • 23.6%
  • 38.2%
  • 50% (not an official Fibonacci ratio, but frequently used)
  • 61.8%
  • 78.6%

Traders rely on these levels to anticipate possible future price movements and to inform their trading strategies.

fibonacci retracement tradingview

How to Use the Fibonacci Retracement Tool on TradingView

TradingView’s platform offers a user-friendly and versatile Fibonacci retracement tool. Here’s how you can use it to enhance your technical analysis:

Step 1: Open a Chart on TradingView

  • Select the asset you want to analyze and open its chart.

Step 2: Locate the Fibonacci Retracement Tool

  • Find the toolbar on the left side of the chart.
  • Select the “Fibonacci Retracement” tool.
selecting the tradingview fibonacci retracement levels

Step 3: Define Two Extreme Points

  • Click on the chart with the tool to define two extreme points (a high and a low) on the chart.
  • The tool will automatically generate the Fibonacci retracement levels between the two points.
drawing fib levels on tradingview

Step 4: Customize the Tool’s Settings

  • Right-click the Fibonacci lines and select “Settings” to customize your coordinates, colors, line styles, and visibility.
  • You can hover over a candle to determine the exact highs and lows of it and adjust accordingly in the coordinates tab.
fibonacci retracement settings on tradingview

Should the First Point be a High or Low?

  • If the first point you select on the chart with the Fibonacci tool is a high, the tool will populate the 161.8% level to the upside.
  • If the first point you select is a low point on the chart, the tool will populate the downside 161.8% level. 

The 161.8% level can help you determine breakout levels to the upside and downside. For example, if you want to determine how high an asset will go if it breaks out of its range to the upside, you would analyze the 161.8% level. 

An excellent example of this is on the $NVDA daily chart. If you select the first Fibonacci point at the $NVDA high in 2021 and the second point at the 2022 low, you will see how accurate the 161.8%, 261.8%, and 361.8% levels can be. You can see this in the image:

As you can see, the price clearly reacts to the 161.8%, 261.8%, and 361.8% levels several times. Keep in mind these levels were generated based on the two initial points selected without any hindsight bias into the future, proving how these levels can be effective. 

fib retracements on nvda

Choosing the Right Time Frame for Fibonacci Retracements

When using the Fibonacci retracement tool, the choice of time frame depends on your trading strategy and goals:

  • Short-Term Traders: May use lower time frames such as 1-hour or 15-minute charts.
  • Long-Term Traders: May find daily, weekly, or monthly charts more suitable.

The tool can be effectively used on various time frames, depending on whether you are a short-term or swing trader. 

The Role of Fibonacci Retracement in Trading

Fibonacci retracement levels are a great technical analysis tool, regardless of which time frame you use. The tool is best used on the daily time frame and longer, and it provides context for where support and resistance levels are. 

For example, you can pick the first pivot point at a stock market crash low and then set the second point at a significant high point on the chart. Here are the different Fibonacci retracement levels that will populate:

  • 23.6% – official Fibonacci sequence level
  • 38.2% – official Fibonacci sequence level
  • 50%
  • 61.8% – official Fibonacci sequence level
  • 78.6% – official Fibonacci sequence level
  • 161.8%
  • 261.8%
  • 361.8%

The official and most important Fibonacci retracement levels are the 23.6%, 38.2%, 61.8%, and 78.6% levels. However, the 50% is commonly used along with the 161.8%, 261.8%, and 361.8% levels. 

Exploring the Auto Fibonacci Retracement Indicator on TradingView

TradingView also has an auto Fibonacci retracement tool that automatically adjusts as you change timeframes. This tool is primarily useful for active traders who trade on multiple different time frames. 

How to Add the Auto Fibonacci Tool to Your TradingView Chart

1- Open any chart on TradingVIew

2- Click on indicators at the top of the chart

3- Type “Auto Fib Retracement” and click on it from the list of indicators

how to add auto fib retracement on tradingview

Adjusting the Auto Fibonacci Retracement Settings

Here is how to adjust the settings of the auto Fibonacci retracement tool on TradingView:

1- Hover over the indicator name at the top left of the chart

2- Click on the gear icon

tradingview auto fib settings

From here, you can adjust a few settings, including:

  • Deviation: How much the price will differ from the first selected level. You can mess around with this number until you get consistent results, but using 1-3 is generally the best.
  • Depth: How far back the first pivot point will be placed. The bigger the number, the further back the first pivot point will be placed.
  • Extend Left/Right: You can extend the Fibonacci levels to the left and/or right so it can fill as much of the chart as you want.

Benefits of the Auto Fibonacci Retracement Indicator

  • Automatically identifies extreme points and calculates retracement levels.
  • It saves time and effort, especially if you switch between multiple time frames. 

Combining Fibonacci Retracements with Other Technical Indicators

For a more comprehensive analysis, traders often use the Fibonacci retracement tool alongside other technical indicators, such as:

  • Moving Averages (SMA, EMA) – if a price drops to a Fibonacci support level, and there is also a moving average line, it can help confirm a bullish trade.
  • Relative Strength Index (RSI) – if the price is approaching a Fibonacci retracement resistance level, you can get more confirmation to short if the RSI is also over 70.
  • Moving Average Convergence Divergence (MACD) – if the price approaches a Fibonacci support level, and it rebounds and causes the MACD to show an uptrend signal, this could confirm a bullish trade.

These indicators complement the Fibonacci retracement tool, providing additional confirmation and enhancing trade setups.

Fibonacci Retracement TradingView | Bottom Line

The Fibonacci retracement tool on TradingView is an excellent way to determine support and resistance levels, view breakout price targets, and provide context for use with other indicators. You can also use the auto Fibonacci tool to automatically pick the two points for you. 

The tool is completely free to use on TradingVIew. All you need to do is sign up for a free account. If you use my affiliate link, you can get a free trial of the premium features and a credit toward your subscription if you decide to upgrade.  

TradingView Limited Time Offer!

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Don’t Miss Out – Sign up for TradingView Now!

  • Advanced Charts
  • Real-Time Data
  • Track all Markets
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Before you go

If you want to keep educating yourself about trading, you must check out these posts as well:

What is the Most Successful Options Strategy

Options Trading for Income: The Complete Guide

Mark Minervini’s Trading Strategy: 8 Key Takeaways

The Best Options Trading Books

TradingView Pricing Guide

The Best Laptops and Computers for Trading

How to Get a TradingView Free Trial

The Best TradingView Indicators

The Best Robert Kiyosaki Books In Order

best robert kiyosaki books in order

Robert Kiyosaki is a fantastic businessman and entrepreneur, but he is most known for the gold nuggets for business that are contained in his Rich Dad Poor Dad series.

This article will show you the most valuable Robert Kiyosaki books in order of publication so you can take the first step in your business education.

Disclosure: This post contains affiliate links from Amazon and TradingView. As an Amazon Associate, I earn from qualifying purchases. This means that if you click on these links and make a purchase, I will receive a small commission at no extra cost to you.

Rich Dad Poor Dad (1997)

This is the book that started it all. Rich Dad Poor Dad is Robert Kiyosaki’s best-selling personal finance book that teaches you how to create wealth and financial freedom by following the advice of two different fathers: his own, who was poor and struggling, and his friend’s, who was rich and successful.

Regardless of how much you know about finance, this book will open your eyes to the world of business like no other. Check out our Rich Dad Poor Dad book review for more details.

Rich Dad’s CASHFLOW Quadrant: Rich Dad’s Guide to Financial Freedom (1998)

Rich Dad’s Cashflow Quadrant is the fantastic sequel to Robert’s previous hit: Rich Dad Poor Dad.

This time he teaches you about 4 Cash Flow Quadrants and how you can use them to get rich.

In this book, you will learn why you should aim to move from the left side of the quadrant (E and S) to the right side (B and I), where you can leverage other people’s time and money to create passive income and wealth.

Rich Dad Poor Dad: What The Rich Teach Their Kids About Money – That The Poor And Middle Class Do Not! (1998)

This is the updated and expanded version of Rich Dad Poor Dad, with new chapters and insights from Robert Kiyosaki. In this book, you will learn more about the principles and lessons that the rich teach their kids about money, such as how to think like an entrepreneur, how to use the power of leverage, and how to protect your assets from taxes and lawsuits.

You will also learn how to overcome the common myths and obstacles that prevent most people from achieving financial success.

Rich Dad Secrets to Money, Business, and Investing… and How You Can Profit From Them! (1999)

This is an audio program that features Robert Kiyosaki and his rich dad’s advisors sharing their secrets to money, business, and investing. In this program, you will learn how to find great opportunities in any market, how to raise capital for your business, create a winning business plan, negotiate like a pro, and grow your wealth exponentially.

Rich Dad’s Guide to Investing: What the Rich Invest in, That the Poor and the Middle Class Do Not! (2000)

This is the third book in the Rich Dad series, where Robert Kiyosaki reveals his secrets to investing like the rich.

In this book, you will learn how to invest in businesses to build a strong financial foundation, use corporations and trusts to protect your assets, and find mentors who can help you.

Rich Dad’s Guide to Becoming Rich Without Cutting Up Your Credit Cards: Turn “Bad Debt” into “Good Debt” (2000)

This is a short book that challenges the conventional wisdom of cutting up your credit cards and avoiding debt. Robert Kiyosaki explains that there are two types of debt: bad debt and good debt.

In this book, you will learn how to use good debt to create income and wealth, how to increase your credit score and borrowing power, how to avoid paying taxes on your debt, and how to use other people’s money to finance your dreams.

Rich Kid Smart Kid: Giving Your Child a Financial Head Start (2001)

This is a book that teaches parents how to give their children a financial head start in life. Robert Kiyosaki believes that financial education is not taught in schools, but it is essential for success in the real world.

In this book, you will learn how to instill in your children the values and habits of the rich, such as entrepreneurship, investing, saving, giving, and managing risk. You will also learn how to use games and activities to make learning fun and effective.

Rich Dad’s The Business School: For People Who Like Helping People (2001)

This is a book that introduces the concept of network marketing as a way of building a successful business and helping others. Robert Kiyosaki believes that network marketing is a powerful business model that can teach you valuable skills, such as leadership, communication, teamwork, and sales.

In this book, you will learn how to choose the right network marketing company, how to build a large and loyal customer base, leverage the power of duplication, and create multiple streams of income.

Retire Young Retire Rich: How to Get Rich Quickly and Stay Rich Forever! (2002)

This is a book that shares Robert Kiyosaki’s personal story of how he retired young and rich at the age of 47. In this book, you will learn how he achieved his financial goals by following the principles of the Rich Dad philosophy, such as increasing his financial intelligence, building a strong team, creating passive income, and using leverage.

You will also learn how he overcame the challenges and setbacks that he faced along the way, such as losing millions of dollars, facing lawsuits, and dealing with critics.

Rich Dad’s Success Stories: Real Life Success Stories from Real Life People Who Followed the Rich Dad Lessons (2003)

This is a book that features real life success stories from real life people who followed the Rich Dad lessons. In this book, you will read about ordinary people from different backgrounds and situations who applied the principles and strategies of Robert Kiyosaki to achieve extraordinary results.

You will learn how they changed their mindset, increased their financial literacy, started their own businesses, invested in real estate and stocks, created passive income, and achieved financial freedom.

Padre Rico, Padre Pobre (2003)

This is the Spanish edition of Rich Dad Poor Dad, the best-selling personal finance book that teaches you how to create wealth and financial freedom by following the advice of two different fathers: one who was poor and struggling and one who was rich and successful.

In this book, you will learn the difference between an asset and a liability, why you should build passive income streams, how to use debt to your advantage, and how to increase your financial literacy and intelligence.

Rich Dad Poor Dad for Teens: The Secrets about Money – That You Don’t Learn in School (2004)

This is a book that teaches teens the secrets about money that they don’t learn in school. Robert Kiyosaki believes that financial education is not taught in schools, but it is essential for success in the real world.

In this book, you will learn how to make money work for you, not against you; how to start your own business; how to invest in real estate and stocks; how to avoid scams and bad deals; and how to plan for your future.

Rich Dad’s Who Took My Money?: Why Slow Investors Lose and Fast Money Wins! (2004)

This is a book that exposes the hidden dangers of investing in the stock market and reveals the secrets of making fast money. Robert Kiyosaki explains that there are two types of investors: slow investors and fast investors.

Slow investors are those who buy and hold stocks, mutual funds, bonds, and other paper assets. They are often victims of market crashes, inflation, fees, taxes, and scams.

Fast investors are those who buy and sell businesses, real estate, commodities, options, and other tangible assets. They are often winners of market booms, deflation, cash flow, leverage, and tax advantages. In this book, you will learn how to become a fast investor who can beat the market and create wealth in any economy.

Rich Dad’s Escape from the Rat Race: How to Become a Rich Kid by Following Rich Dad’s Advice (2005)

This is a comic book that teaches kids how to escape from the rat race and become rich by following Rich Dad’s advice. In this book, you will follow the story of Timid T. Turtle, who is stuck in a boring job and a miserable life.

He meets Robert and his friends, who show him how to change his mindset, increase his financial literacy, start his own business, invest in real estate and stocks, create passive income, and achieve financial freedom.

Rich Dad’s Before You Quit Your Job: 10 Real-Life Lessons Every Entrepreneur Should Know About Building a Multimillion-Dollar Business (2005)

This is a book that shares Robert Kiyosaki’s personal story of how he quit his job and became a successful entrepreneur.

In this book, you will learn the 10 real-life lessons that every entrepreneur should know about building a multimillion-dollar business, such as how to find your mission and how to exit your business gracefully.

Why We Want You to Be Rich: Two Men – One Message (2006)

This is a book that features Robert Kiyosaki and Donald Trump sharing their insights on why they want you to be rich. In this book, you will learn how they became rich and successful by overcoming challenges and failures and how they view money.

Rich Dad’s Increase Your Financial IQ: Get Smarter with Your Money (2008)

This is a book that teaches you how to increase your financial IQ, which is your ability to make money, keep money, and grow money. Robert Kiyosaki believes that financial IQ is not something you are born with but something you can learn and improve.

In this book, you will learn the five components of financial IQ: making more money, protecting your money, budgeting your money, leveraging your money, and improving your financial information.

Rich Dad’s Conspiracy of the Rich: The 8 New Rules of Money (2009)

This is a book that exposes the conspiracy of the rich, which is the manipulation of money and power by the elite and the government. Robert Kiyosaki explains that the global financial crisis of 2008 was not an accident, but a planned event that benefited the rich at the expense of the poor and the middle class.

Be Rich And Happy (2010)

This is a book that teaches you how to be rich and happy by following your passion and purpose. Robert Kiyosaki believes that money alone cannot make you happy, but happiness can make you money.

In this book, you will learn how to find your passion and purpose in life, how to turn your passion into profit, how to overcome fear and doubt, how to balance work and play, and how to live a rich and fulfilling life.

The Business of the 21st Century (2010)

This is a book that introduces the concept of network marketing as the business of the 21st century. Robert Kiyosaki believes that network marketing is a revolutionary business model that can create financial freedom and personal growth for anyone who is willing to learn and work hard.

Midas Touch: Why Some Entrepreneurs Get Rich-And Why Most Don’t (2011)

This is a book that features Robert Kiyosaki and Donald Trump sharing their insights on why some entrepreneurs get rich and why most don’t. In this book, you will learn what it takes to have the Midas touch, which is the ability to turn anything into gold. You will learn the five factors that determine the success or failure of any entrepreneur: strength of character, focus, brand, relationships, and little things that count.

Why “A” Students Work for “C” Students and “B” Students Work for the Government (2012)

This is a book that challenges the conventional wisdom of the education system and reveals the secrets of financial success. Robert Kiyosaki explains that the education system is designed to produce employees, not entrepreneurs; to teach obedience, not creativity; and to reward academic intelligence, not financial intelligence.

Second Chance: for Your Money, Your Life and Our World (2015)

This is a book that offers you a second chance to change your life and your world by understanding the past, the present, and the future of money. Robert Kiyosaki believes that we are living in a time of crisis and opportunity, where the old rules of money no longer apply and the new rules are yet to be written.

In this book, you will learn how to see the past with new eyes, how to understand the present with an open mind, and how to create the future with a clear vision.

8 Lessons in Military Leadership for Entrepreneurs (2015)

This is a book that teaches you how to apply the principles of military leadership to your entrepreneurial endeavors. Robert Kiyosaki, who is a former Marine Corps pilot and Vietnam veteran, shares his 8 lessons in military leadership that he learned from his mentors and experiences in the military.

Rich Dad’s Guide to Becoming Rich without Cutting up Your Credit Cards: Turn Bad Debt into Good Debt (2015)

This is an updated edition of Rich Dad’s Guide to Becoming Rich without Cutting up Your Credit Cards: Turn Bad Debt into Good Debt (2000), which challenges the conventional wisdom of cutting up your credit cards and avoiding debt.

Robert Kiyosaki explains that there are two types of debt: bad debt and good debt. Bad debt is debt that makes you poorer, such as consumer debt or car loans. Good debt is debt that makes you richer, such as business debt or investment debt.

More Important Than Money: an Entrepreneur’s Team (2017)

This is a book that features Robert Kiyosaki and his team of experts sharing their insights on why an entrepreneur’s team is more important than money.

In this book, you will learn how to build a team of advisors who can help you with different aspects of your business, such as accounting, legal, tax, marketing, sales, operations, technology, and leadership.

Why The Rich Are Getting Richer (2017)

This is a book that explains why the rich are getting richer and the poor and the middle class are getting poorer in the current economy. Robert Kiyosaki believes that the gap between the rich and the rest is widening due to the changes in money, taxes, debt, and education.

FAKE: Fake Money, Fake Teachers, Fake Assets: How Lies Are Making the Poor and Middle Class Poorer (2019)

This is a book that exposes the fake money, fake teachers, and fake assets that are making the poor and middle class poorer. Robert Kiyosaki believes that we are living in a world of fake news, fake information, and fake experts who are misleading us and keeping us in ignorance.

Who Stole My Pension?: How You Can Stop the Looting (2020)

This is a book that reveals the looming crisis of pension theft and how you can stop it. Robert Kiyosaki and Edward Siedle, who are both experts on pensions and retirement planning, warn that millions of workers and retirees are at risk of losing their pensions due to mismanagement, corruption, fraud, and greed.

Capitalist Manifesto (2022)

This is a book that advocates for capitalism as the best system for creating wealth and prosperity for all. Robert Kiyosaki believes that capitalism is under attack by socialism, which is a system that promotes dependency, mediocrity, and inequality.

The Ultimate Rich Dad Library: To Elevate the Financial Well-Being of Humanity (2022)

This is a book that contains all of Robert Kiyosaki’s books in one volume. The Ultimate Rich Dad Library is a comprehensive collection of Robert Kiyosaki’s wisdom and experience on financial education, entrepreneurship, investing, leadership, and personal development.

In this book, you will have access to all of Robert Kiyosaki’s best-selling books, such as Rich Dad Poor Dad, Cashflow Quadrant, Guide to Investing, Conspiracy of the Rich, Second Chance, Fake Money Fake Teachers Fake Assets Capitalist Manifesto, and many more.

You will also have access to his latest books on topics such as cryptocurrency, artificial intelligence, biotechnology, quantum computing, and space exploration. The Ultimate Rich Dad Library is a book that will elevate your financial well-being and help you achieve your financial dreams.

best robert kiyosaki books in order
Source: Indie’s Education

The Best Robert Kiyosaki Books: Bottom Line

Robert Kiyosaki has helped millions of entrepreneurs start a business career or a business in general.

He has also helped millions of people interested in learning more about finances through his 20 different finance books.

He is a great author for people who want to learn more about money and how to use that information to start their business ventures. However, Kiyosaki is known to be skeptical of the stock market and using technical indicators to make money.

I also have articles that cover the best options trading books and the best trading books!

FAQ

Is Rich Dad Poor Dad worth reading?

The book is worth reading if you want to learn about the difference between assets and liabilities, the importance of financial literacy and cash flow, and the mindset of the rich versus the poor and the middle class.

What order should I read Robert Kiyosaki books?

There is no fixed order to read Robert Kiyosaki books, as each book covers different topics and aspects of financial education. However, a possible order could be:

  • Start with Rich Dad Poor Dad, as it introduces the basic concepts and principles of Kiyosaki’s philosophy.
  • Follow up with Cashflow Quadrant, as it expands on the four types of income earners and how they relate to taxes and wealth creation.
  • Read Rich Dad’s Guide to Investing, as it explains how to build a portfolio of assets that generate passive income.
  • Continue with Rich Dad’s Retire Young Retire Rich, as it shows how to achieve financial freedom at any age by increasing your cash flow and reducing your expenses.
  • Learn from Rich Dad’s Increase Your Financial IQ, as it teaches how to improve your financial intelligence and skills in areas such as debt management, risk management, budgeting, investing, and entrepreneurship.
  • Choose any other books that interest you or suit your needs and goals.

Why is Rich Dad Poor Dad so controversial?

Rich Dad Poor Dad is a controversial book because it challenges some of the conventional wisdom and common beliefs about money and investing. Some of the controversial ideas in the book include:

  • The rich don’t work for money; they make money work for them.
  • Your house is not an asset; it is a liability.
  • Savers are losers; debtors are winners.
  • The rich pay less taxes than the poor and the middle class.
  • You don’t need a high income to be rich; you need a high cash flow.
  • You don’t need a college degree to be successful; you need financial education.
  • You don’t need a job to be secure; you need passive income.

These ideas may sound appealing or empowering to some people, but they may also sound unrealistic, irresponsible, or unethical to others. The book also does not provide any solid evidence or data to support its claims, and relies mostly on anecdotes and opinions. The book also contains some factual errors, logical flaws, and questionable advice that may mislead or harm the readers.

What does Rich Dad Poor Dad teach you?

Rich Dad Poor Dad teaches you some of the key principles and lessons that the author learned from his Rich Dad, his friend’s father who was a wealthy investor.

Before you go

If you want to keep educating yourself about personal finance, you must check out these posts as well:

What is the Most Successful Options Strategy

Options Trading for Income: The Complete Guide

Mark Minervini’s Trading Strategy: 8 Key Takeaways

The Best Options Trading Books

TradingView Pricing Guide

The Best Laptops and Computers for Trading

The Best Monitors for Trading

How to Get a TradingView Free Trial

The Best TradingView Indicators

This article contains affiliate links I may be compensated for if you click them.

Initial Margin vs. Maintenance Margin: A Guide for Traders

initial margin vs maintenance margin compared in a table

Margin trading is a vital concept in the world of finance, offering traders the ability to leverage their positions for potentially higher returns.

However, with increased potential comes increased risk, making it crucial to understand the concepts of initial margin and maintenance margin. These terms are fundamental to managing risk and maintaining a healthy trading portfolio.

What is Initial Margin?

Initial margin refers to the minimum amount of equity a trader must provide to open a leveraged position. It’s a form of security deposit, ensuring that the trader has enough skin in the game.

The initial margin requirement, often a percentage of the total trade value, varies based on the asset and the broker’s policies. This upfront investment helps mitigate the risk of loss for the broker.

What is Maintenance Margin?

Maintenance margin comes into play after a position is opened. It’s the minimum amount of equity a trader must maintain in their account to keep a trade open.

If the account’s value falls below this threshold due to losses, the trader receives a margin call, requiring them to deposit more funds or close positions.

This mechanism is designed to prevent excessive losses that could affect both the trader and the broker.

initial margin vs maintenance margin compared in a table

Key Differences Between Initial Margin and Maintenance Margin

  • Purpose:
    • Initial Margin: Required to open a leveraged position; acts as a security deposit.
    • Maintenance Margin: Ensures ongoing solvency of the position after it is opened.
  • Timing:
    • Initial Margin: Calculated and required at the time of opening a trade.
    • Maintenance Margin: Monitored continuously after the trade is opened.
  • Function:
    • Initial Margin: Determines the maximum leverage a trader can use.
    • Maintenance Margin: Protects against excessive losses from leveraged positions.
  • Response to Market Movements:
    • Initial Margin: Remains constant once the position is opened.
    • Maintenance Margin: Can trigger a margin call if the account value falls below a certain level due to market losses.
  • Calculation Basis:
    • Initial Margin: Percentage of the total trade value, set by the broker or regulatory authority.
    • Maintenance Margin: Typically a lower percentage than initial margin, reflecting ongoing risk.
  • Implications for Traders:
    • Initial Margin: Higher initial margin means lower leverage and potentially lower risk.
    • Maintenance Margin: Falling below maintenance margin can lead to forced liquidation of positions if additional funds are not added.

While both initial and maintenance margins are related to leverage and risk management, they serve different purposes. The initial margin is about starting a trade and ensuring enough capital is put down.

In contrast, the maintenance margin is about sustaining a trade and ensuring ongoing solvency. Understanding these differences is key to effective margin management.

Real-World Scenarios: Margin Calls and Trading

Consider a futures trader who has a $500 account. The dynamics of initial and maintenance margin in this context would unfold as follows:

  • Choosing a Contract:
    • The trader opts to trade a futures contract where the total contract value is $5,000.
    • The initial margin requirement for this contract is 10%, which amounts to $500.
  • Utilizing the Entire Account for Margin:
    • To meet the initial margin requirement, the trader commits their entire account balance of $500.
    • This is a high-risk move as the entire account value is used to open a single position.
  • Market Moves Against the Trader:
    • After entering the contract, the market moves unfavorably, and the value of the futures position declines.
    • A 5% market drop reduces the contract value by $250, lowering the equity in the trader’s account to $250.
  • Triggering a Margin Call:
    • The maintenance margin requirement is 5% of the contract value, which is $250 in this case.
    • Since the account balance has fallen to the maintenance margin level due to the market decline, the trader faces an immediate margin call.
  • Critical Decision Point:
    • The trader must now either deposit additional funds to maintain the position or close the position to meet the margin call.
    • If the trader is unable to add funds, the broker might liquidate the position, potentially resulting in a loss.

This example illustrates the significant risks involved in using a high proportion of an account’s balance to meet margin requirements, especially in volatile markets.

It underscores the importance of understanding margin requirements and the potential impacts of market movements on trading positions.

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Regulatory Aspects of Margin Requirements

Margin requirements are not just broker-imposed but are also subject to regulatory oversight.

Bodies like the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA) set guidelines to ensure market stability and trader protection.

These regulations have evolved, especially in response to financial crises, to further safeguard market integrity.

Conclusion

Understanding the nuances of initial margin and maintenance margin is imperative for any trader engaged in margin trading.

These concepts are not just financial requirements but tools for risk management and strategic planning.

Awareness and adherence to these margins can make the difference between a successful trading career and a costly lesson in market dynamics.

Related Articles

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MA vs. EMA vs. SMA vs. WMA – Moving Average Indicators

emavssmavswma

Moving averages are fundamental tools used by traders and analysts in financial markets to understand and predict price trends.

This article explains the primary types of moving averages: Simple Moving Averages (SMA), Exponential Moving Averages (EMA), and Weighted Moving Averages (WMA), highlighting their differences and practical applications.

emavssmavswma

What is a Moving Average (MA)

A Moving Average (MA) is a statistical tool used to analyze data points by creating a series of averages from different subsets of the complete dataset.

SMAs, EMAs, and WMAs are types of MAs.

The MA smooths out price data on a chart to create a single flowing line, making it easier to identify the direction of the trend.

MA vs. EMA Compared

When comparing MA and EMA, the primary difference lies in sensitivity. The EMA is more sensitive to recent price changes than the MA, which can lead to early signals for entering or exiting trades.

SMA vs. EMA Compared

SMA and EMA are both types of moving averages but differ in their calculation. The SMA assigns equal weight to all values, while the EMA gives more weight to recent data, offering a quicker response to price changes.

SMA vs. MA Compared

The SMA is a type of MA with a specific method of calculation – it calculates the average price over a set period without weighting. In contrast, other MAs, like the EMA and WMA, apply different weightings.

WMA vs. EMA Compared

Both WMA and EMA give more importance to recent data but differ in their approach. The WMA uses a linear weighting method, while the EMA uses an exponential approach, making the EMA quicker to react to recent price movements.

What is the Simple Moving Average (SMA)

The Simple Moving Average (SMA) is the most basic form of the moving average. It is calculated by taking the arithmetic mean of a given set of prices over a specified period.

The SMA gives equal weight to each price point within the period. The SMA is most commonly used by swing traders and investors with longer timeframe trades and investments.

smatradingview
SMA on TradingView

Common Lengths for SMAs

The most common SMAs utilized are the 50 and 200-day simple moving averages, also known as the 50 and 200-day moving averages.

You can access these on TradingView by adding ‘Moving Average Simple’ twice to your indicators. Then, you must set the length of one to 50 and the other to 200 and use the daily timeframe.

When the 50-day SMA crosses above the 200-day SMA, this is called a golden cross.

What is the Exponential Moving Average (EMA)

The Exponential Moving Average (EMA) is a type of moving average that places a greater weight and significance on the most recent data points.

Unlike the SMA, it reacts more quickly to price changes, making it a preferred choice for traders looking for sensitivity to recent price movements, such as day traders.

ematradingview
EMA on TradingView

Common Lengths for EMAs

Common lengths for EMAs include 9,12, and 26.

You can access EMAs on TradingView by adding the ‘Moving Average Exponential’ to your chart. You can check out my full article about adding moving averages to TradingView for more information.

You can then adjust the length in the indicator settings to whichever you prefer. Generally, when a short-term EMA like the 9-EMA crosses over a longer one like the 26-EMA, this is considered a bullish crossover.

What is the Weighted Moving Average (WMA)

The Weighted Moving Average (WMA) assigns a heavier weighting to more recent data points. The weightage decreases linearly for older prices, making it similar to the EMA but with a different method of calculation and emphasis.

The WMA is much less popular than the SMA and EMA indicators. Additionally, if you’d like to save your moving average settings on TradingView, you can consult my article about saving your chart layouts on TradingView.

wmatradingview
WMA on TradingView

How to Use Moving Averages to Trade Effectively

Moving averages are pivotal in trading strategies. They can indicate potential buy or sell signals and help in identifying support and resistance levels.

Traders often use two moving averages together for a crossover strategy, where the crossing of a shorter period MA over a longer period MA indicates a potential trend reversal.

The Best Lengths for Moving Averages

The best length for a moving average depends on the trader’s objectives and the market’s volatility.

Short-term traders might prefer shorter periods, like 5 or 10 days, for more sensitivity, while long-term investors might opt for 50 or 200 days to filter out market noise.

Additionally, long-term traders may prefer SMAs, while short-term traders may prefer EMAs since they use more recent price data.

Which Moving Average is Best for Day Trading?

For day trading, where quick decisions are crucial, shorter-period MAs like the 5 or 10-day EMA or WMA are typically preferred due to their responsiveness to recent price changes.

The most common moving average for day trading is the combination of the 9-EMA with the 26-EMA.

MA vs. EMA vs. SMA vs. WMA – Bottom Line

Each moving average – MA, EMA, SMA, and WMA – has its unique features and applications. Which you should use depends on your strategy, the time frame of trading, and the specific market conditions.

Understanding these differences is key to employing these tools effectively in trading scenarios.

If you’d like to get better at technical analysis, you should create a free TradingView account to analyze all markets within a single platform.

If you sign up for TradingView using my link, you will also get a discount on your subscription if you choose to upgrade to a premium plan.

Disclaimer: Financial Tech Wiz is a TradingView affiliate and will be compensated if you use our link to purchase a TradingView subscription.

How to Delete a TradingView Layout

how to delete a tradingview layout

This article guides you through the simple process of deleting a TradingView layout, ensuring your workspace remains organized and efficient.

Step-by-Step Guide to Deleting a TradingView Layout

1- Navigating to Layout Management

To begin, locate the manage layouts drop-down arrow in the top right corner of your TradingView chart.

2- Selecting the Layout to Delete

After clicking the drop-down arrow, choose ‘load layout’ from the options. This action will take you to a screen where all your saved layouts are displayed.

3- Deleting the Layout

Find the layout you wish to delete and click on the ‘X’ icon next to it. A prompt may appear asking for confirmation to ensure you want to delete the selected layout. Confirm your choice to proceed.

4- Confirmation and Final Checks

Once deleted, the layout will no longer be listed among your saved layouts. It’s a good practice to double-check to ensure the correct layout has been removed and that your other layouts are intact.

how to delete a tradingview layout

Best Practices for Managing TradingView Layouts

Regularly reviewing and organizing your TradingView layouts can significantly enhance your trading efficiency. Try to keep only the layouts you frequently use and delete those that are no longer relevant to your current trading strategy.

Troubleshooting Common Issues

If you encounter issues while trying to delete a layout, such as the layout not disappearing after deletion, try refreshing the page or clearing your browser’s cache. For persistent problems, consider reaching out to TradingView’s support team.

Deleting TradingView Layouts – Bottom Line

Deleting a layout in TradingView is a straightforward process that helps keep your trading environment clutter-free. Regularly managing your layouts ensures you have the most relevant and useful setups at your fingertips, contributing to a more efficient trading experience.

FAQs

  • Can I recover a deleted layout?
  • Once a layout is deleted in TradingView, it cannot be recovered. It’s important to be certain before you delete a layout.
  • How many layouts can I have in TradingView?
  • The number of layouts you can have depends on your subscription plan with TradingView.
  • Is it possible to rename a layout instead of deleting it?
  • Yes, TradingView allows you to rename layouts to better organize your workspace.

Related Articles

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11 Best TradingView Indicators in 2024

besttradingviewindicatorsfeatured

Are you overwhelmed with the massive amount of TradingView indicators to choose from? Figuring out which ones work best takes time, so I compiled a list of the top indicators to improve your trading in this article. All of the indicators on this list are native to TradingView, and do not require you to pay a third-party. They are also all indicators I have used personally over my years of trading.

What are the Best Indicators on TradingView?

There are tons of indicators on TradingView. However, the best ones include:

  • Volume Profile – view volume by price instead of by time
  • Ichimoku Clouds – quick “one look” indicator to identify entries and exits
  • Auto Fib Retracement – draws Fibonacci retracements automatically
  • Market Profile – view how much time is spent at various price levels
  • VWAP – a smooth line showing you the average trading price for one day weighted by volume
  • MACD – moving average convergence divergence determines momentum
  • Moving Averages – view EMA and SMA lines such as the 50 and 200-day moving average lines
  • Relative Strength Index (RSI) – quick way to tell if a stock is overvalued or undervalued on a scale of 0-100
  • Anchored VWAP – VWAP anchored to a specific date
  • IV Rank and Percentile – detrmines whether a stock’s implied volatility is high or low
  • Footprint Charts – view filled order volume by price for each candle

Clicking the links above will bring you to the detailed descriptions of the indicators within this article.

  • The best TradingView indicators to use are the volume profile, anchored VWAP, Ichimoku, and Fibonacci retracements.
  • Continue reading to view the 11 best TradingView indicators and how you can use them to improve your trading strategy.

1- Volume Profile Indicator

The volume profile shows you volume by price for a defined time period. Traditional volume charts show you volume by time, which is not nearly as valuable. Traders can determine what price has the most supply and demand, which is extremely helpful in determining support and resistance levels on a chart. 

TradingView offers a few different types of volume profile indicators:

  • Visible Range Volume Profile: view the profile for the visible candles on the chart, which adjusts dynamically as you zoom in and out.
  • Session Volume Profile: view a unique profile that resets each trading day (session), which is great for day traders.
  • Volume Profile Fixed Range: pick a range of candles to view a volume profile for that doesn’t change as you move around your charts.

My favorite way to use the volume profile indicators on TradingView is to combine the session volume profile with the visible range volume profile so you can view profiles for each day and the entire visible chart.

The volume profile indicator on TradingView is an advanced tool that requires you to have a premium subscription. However, new users can usually get a TradingView free trial to test it out for 30 days.

Full Indicator Review: Learn more about the volume profile

tradingview volume profile indicator

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2- Ichimoku Clouds

The Ichimoku Cloud is a dynamic trend following indicator involving several moving average lines. It consists of five lines and a “cloud” formed by the interaction of two of these lines.

A green cloud signals an uptrend, while a red cloud signals a downtrend.

Additionally, you can use the baseline and conversion line crossovers to determine entry and exit points.

The baseline and conversion lines are similar to a 9EMA and a 26EMA, another common indicator traders use.

The Ichimoku Cloud allows you to identify trends easily and determine entry and exit points based on TK crossovers.

ichimoku cloud

3- Auto Fib Retracement

The Auto Fib Retracement indicator automatically plots Fibonacci retracement levels on a chart, helping traders identify potential support and resistance zones based on the key Fibonacci ratios (23.6%, 38.2%, 50%, 61.8%, and 78.6%).

While traders often draw their own Fib Retracement lines manually, the Auto Fib tool is a great way to save time and view retracement levels on several time frames.

You can also change the depth to a larger number if the indicator is drawing the lines too close to the current stock price.

Auto fib retracement tools are also available on Trendspider. To learn more, check out my article on TrendSpider vs. TradingView!

auto fibonacci retracement indicator on tradingview

Full Indicator Review: Learn more about the Fibonacci retracements on TradingView

4- Market Profile (Time Price Opportunity TPO Charts)

The market profile is similar to the volume profile, except it also shows time spent at prices on top of volume by price. The market profile is commonly used by futures traders to interpret the market structure and identify trading opportunities.

I recommend you learn to identify market structures like poor highs, poor lows, single prints, and understand the mechanics of auction market theory to make the best use of the TPO charts. TradingView’s TPO charts aren’t available to free users, but you can use my affiliate link to get a free trial to test it out for 30 days with no commitment.

Full Indicator Review: Learn more about the TradingView TPO charts

an image of TPOs and volume profile on TradingView

5- VWAP (Volume Weighted Average Price)

The VWAP is a TradingView indicator for day traders that shows you where the most volume has occurred through a particular trading day. It is considered about the fair price for a stock since it is where the most shares have been traded.

VWAP strategies include buying when the price breaks over the VWAP for a continuation play. Alternatively, you can wait for the stock price to be far away from the VWAP and use a mean reversion strategy. You can also check out the anchored VWAP if you are not a day trader.

Full Indicator Review: Learn more about the VWAP on TradingView

tradingview vwap indicator

6- Moving Averages

There are two types of moving averages, SMA (simple moving average) and EMA (exponential moving average). The most common ones for swing traders and investors to utilize are the 50 and 200 SMA lines on the daily chart. Otherwise known as the 50 and 200-day moving averages.

Short-term traders use EMA lines such as the 9 and 26-period lines on shorter-term time frames like the 5-minute and 1-minute charts for day trading and short-term swing trading.

Full Indicator Review: Learn more about TradingView moving averages

tradingview moving average lines

7- MACD

The MACD (Moving Average Convergence Divergence) is a popular trend-following indicator. It is the result of two lines: the MACD line and the signal line. 

  • MACD Line: The MACD line is the result of subtracting the 26-period EMA by the 12-period EMA, typically for days when used on the daily timeframe. 
  • Signal Line: The signal line is the 9-period EMA of the MACD line.

When the MACD line crosses above the signal line, it’s considered a bullish signal (suggesting it might be a good time to buy). Conversely, when the MACD line crosses below the signal line, it’s viewed as a bearish signal (suggesting it might be a good time to sell).

macd on tradingview

Full Indicator Review: Watch our video on the TradingView MACD

8- Relative Strength Index (RSI)

The RSI indicator is a popular tool for identifying whether an asset is overbought or oversold. It is a momentum oscillator that measures the speed and change of price movements on a scale from 0 to 100. 

Typically, a stock with an RSI reading over 70 is considered overvalued, while a reading under 30 is considered undervalued. However, it is best to combine the RSI with other indicators to determine optimal entry and exit points.

The RSI is calculated based on an asset’s price movements over a certain period, typically 14 days. It compares the magnitude of recent gains to recent losses to determine the speed and change of price movements.

Full Indicator Review: Learn more about the TradingView RSI

RSI on tradingview

9- Anchored VWAP

The Anchored VWAP (Volume Weighted Average Price) is a trading indicator that gives traders a comprehensive look at a stock’s price in relation to its volume over a specific time frame.

Generally, traders will set the anchor point at a swing high or a swing low. For example, if a stock made a 52-week low a few weeks back, you can set the anchored VWAP here to determine a good medium term support level.

The regular VWAP is the average price of a stock weighted by its volume. The unique feature of the Anchored VWAP is that it allows traders to choose a specific starting point (or “anchor”) from which to calculate the VWAP.

Full Indicator Review: Learn more about the anchored VWAP

anchored vwap on tradingview

10- Implied Volatility Rank and Percentile

Implied volatility represents how much volatility the market is pricing for a specific asset. When implied volatility is high, options are generally more expensive to account for the perception of large price movements in the future. It is a key factor in options pricing and trading strategies.

Implied volatility rank and percentile help you determine whether a stock’s implied volatility is high or low based on the last year of data. Implied volatility rank is free to use on TradingView but is not native to the platform. You can use the IV Rank and Percentile custom indicator by Martin Shkreli for free. 

Full Indicator Review: Learn more about IV Rank & Percentile on TradingView

iv rank and percentile on tradingview

11- Volume Footprint Charts

TradingView’s volume footprint chart type allows you to view how many orders have been filled on both the buy and sell side.

On the left side of the candle, you can see how many shares were sold by price in red. On the right side of the candle, you can see how many shares were bought within that candle and at what price.

The bottom of the candle also shows you the delta and total volume traded during the candle you are analyzing. The volume footprint feature requires you to have a TradingView paid subscription, but you can use my affiliate link to get a free trial to test it out for free.

Full Indicator Review: Learn more about the TradingView footprint charts

tradingview footprint chart

How to get a TradingView free trial

If you don’t want to spend your hard-earned money testing out some of these indicators, new users can usually get a 30-day TradingView free trial.

TradingView is one of the most widely used charting tools available, and it is great for beginners and advanced traders. We have an entire article explaining how to get a TradingView free trial you can read if you have any questions.

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  • Real-Time Data
  • Track all Markets
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Which indicator is best for entry and exit?

There isn’t a single indicator that is “best” for determining entry and exit points. However, the Ichimoku indicator provides traders clear signals when the baseline and conversion lines crossover.

When the conversion line cross above the baseline, it is a signal to buy. On the other hand, when the baseline crosses below the baseline, it is a signal to sell.

Once you are in a position, you can use one of the several lines to determine your stop loss and take profit levels.

What indicator do most traders use?

There are tons of indicators to use on Tradingview, and each trader must find the one that works best for their trading strategy.

However, the most common indicators include Fibonacci Retracements, simple moving averages (SMAs), and exponential moving averages (EMAs).

The Best TradingView Indicators | Bottom Line

Selecting and utilizing the appropriate indicators is crucial for successful trading. The right indicators can provide valuable information on market trends, support and resistance levels, and potential trade opportunities.

By understanding how each indicator works and using them in conjunction with other technical analysis tools, traders can enhance their market analysis skills and improve their overall trading performance. Check out our article on the best TradingView indicators for day trading to learn more!

FAQs

What are TradingView indicators?

  • TradingView indicators are tools or mathematical calculations applied to price data on the TradingView platform.

How do I access indicators on TradingView?

  • To access indicators on TradingView, simply open the platform and select the “Indicators” button located at the top of the charting window. This will open a menu where you can search for and select various indicators based on your trading needs.

Are the best TradingView indicators free?

  • TradingView offers a wide range of both free and paid indicators. While there are many excellent free indicators available, some more advanced or specialized indicators like the volume profile that may require a paid subscription or purchase. However, there are plenty of powerful indicators that can be utilized at no cost. You can learn more in our TradingView pricing article.

How can I determine the best TradingView indicators for my trading strategy?

  • Selecting the best TradingView indicators for your trading strategy depends on your individual preferences, trading style, and goals. It’s essential to consider factors such as your preferred timeframes, market conditions, and the specific insights you need from indicators. Experimenting with different indicators and analyzing their performance in relation to your strategy can help you determine which ones work best for you.

Can I create custom indicators on TradingView?

  • Yes, TradingView provides a feature called Pine Script that allows users to create their own custom indicators. Pine Script is a domain-specific scripting language designed for creating and modifying indicators and strategies on the TradingView platform. It offers a flexible and powerful framework for traders who want to develop their own unique indicators.

How can I install and use custom indicators on TradingView?

  • To install and use custom indicators on TradingView, follow these steps:
  • Write or obtain the Pine Script code for the custom indicator.
  • Open TradingView and go to the chart where you want to apply the custom indicator.
  • Click on the “Indicators” button and select “Invite-Only Scripts” or “Pine Editor” depending on your TradingView subscription plan.
  • Open the Pine Editor and paste the custom indicator’s code into the editor.
  • Click “Add to Chart” to apply the custom indicator to your chart.

Before you go

If you want to keep educating yourself about TradingView, you must check out these posts as well:

The 7 Best ETFs to Buy Now in 2024

best etfs to buy now

Buying ETFs is the simplest and safest way to invest in the stock market. Continue reading to discover the best and lowest-cost ETFs to put your investment strategy on auto pilot. 

best etfs to buy now

The Best ETFs to Invest In

1- VOO

VOO is the Vanguard S&P 500 fund and is arguably the most popular due to its low-cost and Vanguard’s excellent reputation. The S&P 500 provides exposure to the top 500 large-cap U.S. stocks. 

  • Expense Ratio: 0.03%

2- VTI

VTI is the Vanguard Total Stock Market Fund and is great for those who want more diversity than the S&P 500. VTI provides exposure to nearly every U.S. stock, from small to large-cap companies. 

  • Expense Ratio: 0.03%

3- VIG

VIG is the Vanguard dividend growth fund and is great for those seeking exposure to dividend-appreciating companies. VIG is a great mix of capital growth potential and consistent dividend income. 

  • Expense Ratio: 0.06%

4- SCHD

SCHD is the Schwab US Dividend Equity ETF and tracks 100 companies with stable dividend payments and good fundamentals. SCHD is great for dividend investors seeking a high dividend yield investment strategy. 

  • Expense Ratio: 0.06%

5- JEPI

JEPI is the JP Morgan Equity Premium Income ETF and utilizes a covered call strategy to generate income. JEPI is known for its high monthly dividend payments but is best used in a ROTH IRA since the dividends are taxed at your regular income rate.  

  • Expense Ratio: 0.35%

6- QQQ

QQQ is the Invesco Nasdaq 100 ETF designed to track the top 100 largest non-financial companies. QQQ provides investors with high capital growth potential and is more aggressive compared to the other ETFs on this list. 

  • Expense Ratio: 0.20%

ETF Comparison Tool – Financial Tech Wiz

fundcomparison

The Financial Tech Wiz ETF Comparison Tool

You can use the ETF comparison tool below to compare over 2,000 ETFs and mutual funds with data I manually collected:

Comparing ETFs Using TradingView

Another great way to compare ETFs is using TradingView with the chart below. You can use the plus icon at the top left to add several assets to the chart like stocks, ETFs, crypto, futures, and more. You can adjust the data to include dividend payments by clicking the ADJ button at the bottom right.

You can sign up for a free TradingView account using the link below, and if you decide to upgrade later on, you will a $15 credit toward your subscription.