Archives for August 2021

The Morning Star signal off the 50-day moving average allows candlestick investors to identify when the selling has stopped in the indexes are moving positively again. Today’s positive trading moved all the indexes back up above the T line. This is an extremely high probability indicator the uptrend is remaining in progress. The market reversal signals also provided the extra impetus to take profits on short positions, especially when bullish reversal signals were appearing. This simple visual analysis allows investors to move much more quickly to close out profitable positions and move to other potentially profitable positions. Currently, the J-hook pattern is producing extremely good high probability/high-profit trades. This also creates the opportunity to put on good option spread strategies.

Join us this Saturday, August 28 for a candlestick mini spotlight training on how to identify all the elements for taking profits. The logic built into candlestick analysis is very simple. These sessions give you more than your money’s

Chat session tonight at 8 PM ET.

Good investing,

The Candlestick Forum team

Simple logic dictates that when you start seeing indecisive signals in the overbought area, investors can start scanning for potential short positions with a much greater degree of accuracy. Strong bearish candlestick signals allow for identifying which short trades will have the greatest downside strength. Candlestick signals also reveal when a trend is about to reverse. The nature/makeup of candlestick signals allows for identifying when investor sentiment is starting to change. This is been clearly demonstrated in some of the short recommendations we are participating in over the past few weeks.

Although the market is in a downtrend, strong signals such as the kicker signal still provide bullish profits, as demonstrated in our recommendation today in XAIR. However, in a downtrend, scanning for bullish trades becomes less likely to find good bullish trades. Obvious deduction! Knowing which direction the overall market is moving allows for having the appropriate trade positioning in the portfolio. The short trades have been working extremely well.

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

Good investing,

The Candlestick Forum team

The simple visual analysis allows investors to identify when it’s appropriate for adding short positions to the portfolio. The indecisive trading in the indexes, in the overbought condition, dramatically increases the probabilities of short positions starting to work well. Strong bearish candlestick signals also pinpoint which stocks are going to be selling with the most force. That has been illustrated with bearish kicker signals and bearish best friends. Having the ability to analyze what the overall market trend is doing and then applying the strongest candlestick signals/patterns in that market environment dramatically improves the probabilities of being in the right trades at the right time.

The oil stocks have sold off as illustrated by the MorningStar signal in LPI. Maintaining that short position is merely applying the T-line rule. The visual aspects of candlestick charts also reveal where the targets are that everybody else will be watching. Bearish kicker signals as well as bearish best friend signals have been providing good strong short profits when the market direction has become indecisive. This step-by-step analysis dramatically improves the probabilities of being in profitable trades.

Chat session tonight at 8 PM ET.

Good investing,

The Candlestick Forum team