Category: Trend & Momentum Indicator (Hybrid) Introduction to MACD Definition MACD (pronounced “Mac-Dee”) stands for Moving Average Convergence Divergence. Unlike the RSI which is bounded between 0 and 100, the MACD has no limits. It is designed to reveal changes in the strength, direction, and duration of a trend. The 3 Components of MACD To read … Read more
Category: Asset Selection (Screening / Ranking) & Trend Tracking Introduction to Composite Momentum Definition Composite Momentum is a scoring method that measures an asset’s performance over several simultaneous periods. Instead of just looking at whether a stock went up yesterday or last month (which can be noise), we look at its “health” over the short, … Read more
Category: Volatility Indicator (Risk Management) Introduction to ATR Definition The ATR (Average True Range) does not concern itself with the direction of the price (up or down). It only focuses on the intensity of the movement. It measures the market’s “nervousness” or “heat.” Low ATR = The market is calm, the candles are small. High ATR … Read more
The idea of “building an investment strategy” can seem daunting, something reserved for financial experts in three-piece suits. The reality is quite different! With a sound method and the right tools, defining a strategy that suits you is not only possible, but it’s also the key to serenely achieving your financial goals. This guide is … Read more
Investing is not an impulsive act. It’s a thoughtful approach that engages your financial future. Yet many investors jump in without direction, influenced by trends, emotions, or advice picked up randomly. A well-defined investment strategy provides the essential framework. It is your compass: it helps you stay disciplined, make informed decisions rather than react impulsively … Read more
Introduction: Why Trends Last Longer Than They Should Imagine two investors: One holds through the Dot-com bubble, the 2008 Financial Crisis, and the COVID-19 crash without ever reducing exposure. The other systematically cuts exposure when the market breaks its long-term trend. In the end, their total returns might not differ drastically, but their maximum drawdowns … Read more
Beyond Simple Diversification: Understanding Asset Correlation for a Crisis-Proof Portfolio We all know the saying, “Don’t put all your eggs in one basket.” This conventional wisdom is the foundation of traditional diversification. But what if all your baskets fall at the same time? This question is not just a theoretical one. In 2008, during the … Read more
Introduction: The High Yield Trap The most common mistake among beginner dividend investors is confusing high yield with a good investment. This is almost never the case. A dividend strategy aims to generate a regular cash flow. The advantage of dividends is receiving passive income, a return to investors that is often appreciated although not … Read more
Growth Investment Strategy: Maximizing Performance via ETFs Introduction: The Strategic Pivot of Growth Investing In the current economic landscape, the traditional definition of “growth” has evolved. Historically, low-interest rates favored speculative companies regardless of profitability; however, today’s environment demands Quality Growth. The era of “cheap money” (2010-2020) that fueled unprofitable speculative growth is over. In … Read more
Dreaming of a life where choices are no longer dictated by financial constraints is a universal aspiration. This freedom, which allows you to control your time to pursue your passions or simply enjoy your loved ones, has a name: financial freedom. Far from being a utopia, it is a realistic goal that requires strategy, discipline, … Read more
