Of Trendlines and Indicators: Learning the Proper Use of Technical Analysis

We are currently in third module of the Recruitment Course at Caylum Trading Institute as we take a deep dive into the realm of Technical Analysis. Admittedly, prior to attending the course, I have been exposed to many other trainings, seminars and reading materials about technical analysis. Perhaps, this is the content commonly, if not solely, circulating most of the time amongst the trading community.

I realize that I had only a fraction of the idea how to use the indicators and set-ups based on what I have been taught or what i read in the materials provided to us by most retail traders sharing the concepts. This is one of the reasons I wish to put high regard on the training conducted by Caylum Trading Institute. Their FTSR Framework (Fundamentals, Technicals, Sentiment, Risk Management) works together hand-in-hand to help traders become more learned in managing traders and not just blindly deploying their portfolio into trades that they have no idea about the company or their chances of making it throughout the trade alive.

We started working on trendlines, volume, moving averages, MACD and RSI. They are powerful tools to SUPPLEMENT (emphases on it as additional help) the decision making process that traders make when analysing charts. It is emphasized that Price Action still remains as King and we have to understand clearly what the price is trying to tell us through the aid of these tools. However, the support that these tools provide us are not conclusive and we will follow price action at any given point in time.

This week was also very meaningful for me as I get to hear valuable insights from Sir Lawrence Lee, Sir Edward Lee and Sir Edmund Lee. My greatest takeaway from each of them are:

Sir Edmund Lee: Screening and Stock picking. As we are starting to take up the Technical Analysis module, we get to learn to apply the basic set-ups discussed in class in conjunction with the reality of stock picking. I have admired in the past three weeks how Sir Edmund ALWAYS (emphasis on always) manage to keep trading concepts that even a grade schooler would understand. He showed us very simple techniques how to go over charts and see through them objectively so you can shortlist which of the stocks you will most likely consider for the days to come. I really give it up to him for this one. He is one of those people I give so much admiration for the craft he has and the dedication to teach concepts to those who are willing to learn.

Sir Lawrence Lee: Strategies and Realities. He amazes me on how he directs us to think the reason behind the every chart and look into the stories that the candlesticks has to offer to better make sense of the emotions and sentiments of the market at any given period of time. I am also enlightened with a short pep talk he provided to me on my dilemma with my plans on when to fund the broker account to trade global markets. At this juncture, I have a better strategy on how to slowly go about with things. And I suppose I have to break my fears of risking trades out with live / actual trading. At this point, I have more confidence to really perform the trades with the learnings from Caylum.

Sir Edward Lee: Lifelong Experience and Street Smart Approach to Trading. Listening to timeless stories and experience of Sir Edward Lee makes me really stunned as to how simple trading concepts are, yet we commonly miss them out due to our own biases and emotions. The simple advises on momentum plays, pennants, pullbacks and other trading styles makes more sense when you hear them how they approach things, including the risk management they apply on these trades.

And what better way to end the week but with a bonding! I got to know more about some of my classmates, their aspirations, their life stories and where they are headed to in their journey. I always believe in my connectedness theme and see that our stories intertwine as we all have gone to see each other within Caylum. At this point, I still see that there is great potential for Batch XI to become a stronghold in the trading community not only in the Philippine Market but even in the Global Markets. I can see how much potential each learner has with the fundamentals thesis presented by each group and the expertise they hold for their own craft. Hopefully, we get more chances to interact and learn more about each other through the remaining weeks that we have for the Caylum Trading Institute Recruitment Course.