Learning Hub
The concepts behind every analysis. Understanding these is the point โ the goal is to learn a disciplined process, not to chase profit.
Why there are no guarantees
Markets are uncertain. No indicator or model can know the future. TraderAI only ever describes probability-based scenarios (bullish, bearish, sideways) and the price levels that would invalidate each. Treat every idea as one possibility among several.
Risk before reward
Always define what you could lose before what you could gain. That means setting a stop-loss (the price where your idea is wrong) first, then a target. If the reward is not at least 1.5x the risk, the trade is usually not worth taking.
Position sizing & the 2% rule
Never risk more than a small fixed fraction of your balance on one trade (here, 2%). Position size is derived from the distance to your stop โ a wider stop means a smaller position. This keeps any single mistake survivable.
RSI (Relative Strength Index)
A 0โ100 momentum gauge. Above ~70 can mean overbought (stretched), below ~30 oversold (washed out). It is context, not a signal by itself โ strong trends can stay overbought for a long time.
MACD
Compares a fast and slow moving average. When the MACD histogram turns positive, short-term momentum is improving; negative means fading. Divergences from price can hint at exhaustion.
Moving averages & trend
SMA/EMA smooth price to reveal direction. When a shorter average is above a longer one and price holds above both, structure favors buyers (uptrend), and vice versa.
Volatility (ATR)
Average True Range measures how much price typically moves. Higher volatility means wider stops and higher risk. TraderAI classifies volatility low/medium/high from ATR as a percent of price.
Support & resistance
Prices where the market has repeatedly turned. Support can act as a floor, resistance as a ceiling โ until they break. They are zones, not exact lines, and they define natural invalidation points.
Practice before real money
This app is paper-only by design. Build a repeatable process โ analyze, plan risk, simulate, review โ over many trades before ever considering real capital. Most beginners lose money; disciplined practice is how you tilt the odds.