There are a lot of parallels we can draw from things we see in our everyday lives and trading. I am writing this article as I am flying over North America on a commercial flight. I looked out the window and was reminded of something that one of my instructors mentioned to me in order to understand price movement better.
An airplane flies not because the air under the wing pushes it higher. In fact, the top of an airplane’s wing is curved so that the air passing over it must travel further and move faster than the air moving below the wing. This faster airflow creates what is called lift and allows big pieces of metal to fly.
In order to go higher, a pilot must increase the force of lift on the plane. This is done by increasing the angle of attack. The angle of attack is the angle the wing of the plane is making compared to the air. If we point the wing higher, then… Continue Reading
