Market Reversal with Doji Sandwiche

The market reversal was easily identified with the Doji sandwich set up. A positive open after Friday’s Doji made the trend analysis relatively simple. A positive open today with likely have the same magnitude candle is what occurred on Thursday prior to the Doji. This information allows the candlestick investor to immediately enter trades that were showing the same pattern set ups. Numerous Doji sandwiches occurred today creating excellent entry points for both day traders as well as swing traders. The Dow forming a Doji sandwich after it formed a bullish Harami last week right on the 200 day moving average provided very good evidence the bulls were back in control, or at least the bearish sentiment had disappeared.

Having the ability to recognize strong reversal signals allows for entering trades at the ultimate entry points. As illustrated in the home builders sector, numerous Doji sandwich signals also indicated strong J-hook pattern expectations. This allows for recognizing the next price move magnitude, wave one of a J-hook pattern will usually equal wave three. Recognizing today’s strength, forming bullish signals in the market indexes also produced the appropriate times for taking good profits on short positions that have been working for the past few weeks. Not only to candlestick signals tell you when it’s time to buy a position, they also accurately indicate when it is time to take profits.

 

Good investing,

The Candlestick Forum Team

December 6th Daily Market Comments

The T-line acts as a very powerful trend indicator. First, it reveals when a trend is changing, as seen in the past few weeks when the indexes exhibited candlestick sell signals and closes below the T-line. Next, it indicates when a downtrend is in progress, allowing for continuing to hold profitable short positions. Combining candlestick sell signals at technical levels such as the major moving averages greatly increases the correct analysis of what is occurring in investor sentiment.

December 2nd Stock Chat with Stephen Bigalow

To Download recorded sessions;

In order to download click on the link below, once on the video page you will click on the three-dotted vertical line located at the bottom right-hand side of the video player and click on “download” to save to your files.

Stock Chat – Thursday 12/2/21

At the end of the webinar, Steve announced his upcoming “Guide to DayTrading with Candlestick Signals” event, which he’ll present on Saturday, December 4th.

This webinar will provide you with visual perspectives that will improve your investing for the rest of your life.

Click here for more information.

December 2nd Market Wrap-Up

A bullish Harami formed in the Dow today at the 200 days moving average in the oversold condition. This produces a high probability reversal setup. Positive trading tomorrow would confirm the bullish Harami. The first target would be to see what type of signal occurs at the T line. These market conditions produce the trading environment that allows for profitable trades both on the long side and the short side. The ultimate indicator is the T line. As illustrated in our recommendation to short AFRM, visually identifying the blue ice failure pattern produces an extremely high probability the downtrend could likely move to the 200-day moving average. Utilizing high probability trade setups, such as flutter kicker signals, trend kicker signals, and Doji sandwiches allows for excellent day trade and swing trade entry points. Join us this Saturday, December 4 for a Mini spotlight training on daytrade entries. This information allows investors to be prepared for high probability profitable trades. $27 for members, $47 for nonmembers. Click here for more information.

 

Chat session tonight at 8 PM ET. Click here to register.

Good investing,

The Candlestick Forum Team

 

 

December 2nd Daily Market Comments

Beware the bounce! It is not unusual to see buying early in the day in a downtrend with selling continuing later in the day. However, the indexes are showing potential buying at major support levels. It will be important to see if the markets hold up today near the high end of there trading range. Currently the Dow is doing a bullish Harami at the 200 day moving average.

 

December 1st Daily Market Comments

Candlestick charts clearly reveal a non-consensus of investor sentiment. Down one day, up the next day but with one vital factor, the T line. The prognosis remains the same, until there is a definite trend direction have both long and short positions in the portfolio, using the T line as your ultimate indicator. There are times when it is better to sit and wait for better chart information.

 

November 30th Daily Market Comments

The T line remains an obvious factor, the indexes continuing their downtrend except for the NASDAQ. It is currently nudging the T line after opening lower. This puts the market mode back to bullish charts continue to act well and bearish charts continue to act well. Continue to have both long and short positions in the portfolio using the T line as your ultimate criteria.

 

November 29th Market Direction

Candlestick analysis provides a high probability visual analysis of when to be buying or when to be selling. Candlestick analysis also reveals when sitting in cash or not aggressively trading is more prudent. That is illustrated in today’s trading in the Dow and the other indexes. Although the Dow has formed a bullish Harami after Friday’s big selloff, stochastics are still heading lower and the indexes continue to close below the T line. This means more information is required. Knowing what direction the overall market is moving is a big part of trading successfully.

The correct trend analysis also greatly enhances the probabilities of day trade entries and swing trade entries. Join us this Saturday, December 4 for a candlestick forum mini spotlight day trading session. Learn to recognize the candlestick signals in the appropriate market conditions that produce high probability profitable results. Click here to register.

Good investing,

The Candlestick Forum Team

November 29th Daily Market Comments

Beware the bounce! Or at least analyze that a positive trading today still does not indicate the direction of the market, a very nontradable market condition. The overall trend criteria remains the same, as long as the indexes continue to trade below the T line, assume the downtrend remains in progress.

 

November 27th Stock Chat with Stephen Bigalow

To Download recorded sessions;

In order to download click on the link below, once on the video page you will click on the three-dotted vertical line located at the bottom right-hand side of the video player and click on “download” to save to your files.

Stock Chat – Saturday 11/27/21

At the end of the webinar, Steve announced his upcoming “Guide to DayTrading with Candlestick Signals” event, which he’ll present on Saturday, December 4th.

This webinar will provide you with visual perspectives that will improve your investing for the rest of your life.

Click here for more information.