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📚 Trading Knowledge Base

Practical guides for new traders. Learn what the indicators in this app mean, how to manage risk, and what drives each sector.

Indicators

RSI -- Relative Strength Index
RSI measures how fast a stock is rising or falling on a 0-100 scale. It tells you whether the stock ...
MACD -- Moving Average Convergence Divergence
MACD tracks the relationship between two exponential moving averages to reveal trend direction, mome...
Bollinger Bands
Bollinger Bands wrap a 20-day moving average with upper and lower bands set 2 standard deviations aw...
Moving Averages (MA20, MA50, MA200)
Moving averages smooth out price noise and show trend direction. The 20, 50, and 200-day MAs are the...
Volume Analysis
Volume is the number of shares traded in a day. It confirms the conviction behind price moves: a big...

Patterns

Pre-Earnings Drift
Stocks often drift upward in the 2-5 days before earnings as traders bet on a positive surprise. Thi...
Golden Cross & Death Cross
A Golden Cross occurs when the 50-day MA crosses above the 200-day MA -- a major bullish signal. The...
Breakouts & Breakdowns
A breakout is when price moves above a resistance level -- a price ceiling the stock has failed to b...
Gap Up & Gap Down
A gap occurs when a stock opens significantly higher or lower than its previous close, leaving an em...

Sectors

AI & Machine Learning Sector
The AI sector is the highest-growth area in the market, driven by the buildout of foundation models,...
Quantum Computing Sector
Quantum computing is a pre-commercial technology that uses quantum mechanical effects to solve probl...
ETFs for New Traders
ETFs (Exchange-Traded Funds) are baskets of stocks that trade like a single share. They're the ideal...
Healthcare & Biotech Sector
Healthcare is a defensive sector -- people need medicine regardless of the economy. Biotech is a hig...

Concepts

Bull Market vs Bear Market
A bull market is a sustained period of rising stock prices (typically +20% from lows). A bear market...
Market Capitalization
Market cap = share price x total shares outstanding. It's the total market value of a company. Marke...
P/E Ratio -- Price-to-Earnings
P/E = Share Price / Earnings Per Share. It tells you how much investors are willing to pay for each ...
EPS -- Earnings Per Share & Earnings Reports
EPS = Net Income / Shares Outstanding. It's the most watched number in every quarterly earnings repo...
Short Selling
Short selling is borrowing shares and selling them, hoping to buy them back cheaper later. It's how ...
Options Greeks -- Delta, Gamma, Theta, Vega, Rho
Options Greeks measure how an option's price responds to different factors: stock price movement (De...
Day Trading -- What You Must Know First
Day trading means buying and selling the same stock within the same trading day. Studies show 70-90%...
Buy and Hold -- The Simple Path to Wealth
Buy and hold is the strategy of purchasing stocks or ETFs and holding them for years regardless of s...

Platforms

Choosing a Trading Platform
Your broker is your gateway to the markets. Different platforms suit different traders: beginners ne...
Robinhood -- Beginner's Guide
Robinhood democratized investing by eliminating trading commissions in 2013. It's the most popular a...
How to Open a Brokerage Account
Opening a brokerage account takes about 10-15 minutes online. You'll need a few documents and some b...
Fidelity -- Best Overall Broker
Fidelity is widely regarded as the best all-around broker for most investors. No commissions, no pay...
Charles Schwab & thinkorswim -- Best for Active Traders
Charles Schwab acquired TD Ameritrade in 2020 and inherited its legendary thinkorswim platform -- th...
Webull -- Best Free Technical Analysis App
Webull offers free advanced charting and Level 2 order book data that cost money on most other platf...
Interactive Brokers (IBKR) -- Best for Professionals
Interactive Brokers is the preferred broker for professional traders and institutions. Access to 150...

Risk Management

Position Sizing
Position sizing determines how much of your portfolio you put into a single trade. It's arguably the...
Stop Loss Orders
A stop-loss is a pre-set exit price that automatically sells your position if the stock falls to tha...
Diversification
Diversification spreads your capital across multiple uncorrelated assets to reduce the impact of any...
Risk/Reward Ratio
The risk/reward ratio compares your potential loss (if wrong) to your potential gain (if right). Pro...
Avoiding Unnecessary Risk -- The Beginner's Survival Guide
Most beginner losses come from a small number of repeated mistakes. Understanding these traps before...