Technical Analysis 101: The Importance of Support and Resistance

The idea that drawing lines on a chart can make you money has been a matter of contention for years. But the fact remains that technical analysis works… and works well. And the key to its effectiveness lies entirely in its popularity among large audiences, and its gauge of overall momentum, fear and greed. Let me … Continue reading Technical Analysis 101: The Importance of Support and Resistance

Small Cap Death Cross: Why it’s Often a Buying Opportunity

When it comes to technical analysis, moving averages are essential. For example, for more than 20 years, I’ve relied on two specifically – the 50-day and the 200-day simply moving average. What I’m looking for are golden, and death crosses. Bullish Golden Cross For example, we can spot a bullish “golden cross” when the short-term moving … Continue reading Small Cap Death Cross: Why it’s Often a Buying Opportunity

Three Key Reasons to Diversify with Small Cap Stocks

One of the key ingredients of a well-diversified portfolio are small-cap stocks.  Or, stocks that carry a market cap of between $300 million and $2 billion.  That’s because they offer diversification, the potential for higher returns, and long-term performance. Reason No. 1 – Diversification Small cap stocks allow you to diversify your portfolio and lower … Continue reading Three Key Reasons to Diversify with Small Cap Stocks

Small Cap Trading: Four Essential Technical Indicators to Understand

It’s not about having the perfect strategy. It’s about the rule you abide by with each trade. One of the biggest issues facing all walks of traders is a severe lack of discipline and structure in stock buying habits. Many fail to use stop losses, or even protect gains with a simple trailing stop loss strategy. Others … Continue reading Small Cap Trading: Four Essential Technical Indicators to Understand