Archives for March 2020

Chat session tonight at 8 PM ET.at 8 PM ET with Guess Speaker Todd Horwitz. Click here to register.

Good Investing,

The Candlestick Forum Team

It is very comfortable trading these market conditions! Say what???? If you are like me before I discovered candlestick analysis, I sat through many dramatic selloffs with great anxiety. “How can I be sitting in these losing positions again,” I would ask myself. Now it is very comfortable sitting with positions in this type of market, short positions. Instead of trying to figure out how I could be so stupid to be in the wrong direction at the wrong time, candlestick analysis allows me to be comfortably waiting for taking big profits on short positions. This is because of the simple logic the Japanese rice traders built into candlestick analysis. It was very easy to see when it was time to close out long positions and add short positions to the portfolio. Fortunately, reviewing candlestick signals and patterns allows an investor to ingrain very powerful investment lessons into their investment psyche that keeps them from sitting through big price trends again with anxiety. The simple logic incorporated into candlestick analysis creates a trading platform that improves trading profitability exponentially. Instead of hoping for a reversal in a market trend to stop the losses in your portfolio, utilizing candlestick analysis produces an extremely profitable dynamic. Watching for a trend reversal provides the candlestick investor the graphic analysis for taking big profits when closing out short positions and then having that cash available for establishing long positions at the appropriate time.

The markets are providing a valuable learning moment. Tonight’s special chat session on how to utilize this big selling pullback for mentally processing how to be prepared for these big moves in the future. When is it time to grab for the fallen knife? That is the great benefit of knowing what each candlestick signal and formation is revealing. Simple analysis reveals when a price is about ready to reverse or when a price is going to continue in the current trend. You will gain valuable insights into your trading strategy when you know when high probability signals and patterns are getting ready to show a change of investor sentiment. Join us in tonight’s special chat session revealing high probability trading results. When is it time to buy? Candlestick charts reveal when there is panic. You do not have to be a sophisticated technical analyst. You merely need to learn the signals and patterns that have produced high profit results for the past 400 years. The market indexes are providing excellent learning process that will improve your investment results for the rest of your investing career.

Chat session tonight at 8 PM ET. Password will be 3920event.

Good investing,

The Candlestick Forum team.

The information built into candlestick charts provide a very clear assessment of whether there is a bullish trend or a bearish trend. But just as effective is the analysis, from the graphic candlestick information, of when investor sentiment is not demonstrating a consensus of a trend. As illustrated in the markets over the past few trading days, the whipsaw action demonstrates the lack of bullish or bearish consensus. The T-line also remains an effective trend indicator. The basic T-line rule is effective for identifying a bullish trend as well as a bearish trend. A bullish trend remains in progress after a candlestick buy signal and a close above the T-line until there is a candlestick there is a candlestick sell signal and a close below the T-line. A bearish trend is evident after a candlestick sell signal and a close below the T-line. The downtrend remains in progress until a candlestick buy signal appears followed by a close above the T-line. What if the trend keeps waffling above and below the T-line? This is an often asked question. The answer is simple. The trend/investor sentiment does not know which way it wants to go. How is that effective for an investor? It indicates the probabilities cannot be put in one’s favor, stay in cash for a while.

Knowing that the major indexes are still closing below the T-line, the prospects for short positions are much better. Simple candlestick scanning techniques reveal the sectors that are likely to have the best short position profits. Currently due to the virus scare, cruise line stocks as well as casino stocks continue their downtrend, enhanced by bearish J-hook pattern set ups. Any long positions remaining in the portfolio still require the final confirmation of remaining above the T-line. Maintaining positions merely requires utilizing the simple rules that apply to human nature, with the T-line confirming the graphics of human nature. For most investors are showing great anxiety about these market conditions, the candlestick investor enjoys profitability by being in the right positions at the correct time of a trend. The short positions obviously have created very strong profits. The Japanese rice traders have a very simple philosophy. Let the market tell you what the market is doing. You do not have to be a sophisticated technical analyst to understand the information built into the candlestick signals.

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

Good Investing,

The Candlestick Forum Team