Archives for January 2022

January 31st Market Direction

The market trend reversal was confirmed with today’s positive trading breaking all the indexes up above the T line. Keep in mind, what reverses market trends is a change of investor sentiment, easily identified with candlestick signals. Witnessing a bullish reversal signal in the Dow on Friday required bullish confirmation today. However, it also provides an alert that if the premarket futures were going to trade positive on the open, short positions that were showing reversal signals in the oversold area should have been closed out immediately. This is the great benefit of knowing what to expect for the confirmation of reversal signals.

It also allowed for immediately entering bullish trades that were confirming reversal signals on Friday. Today’s gap up in NFLX not only confirmed a bullish reversal, but the gap up after Friday’s Doji produced the best friend signal, allowing for entering that trade immediately with good confidence the bulls were definitely in control. Join us this Saturday, February 5, for a full day of training on identifying the signal and pattern combinations that produce high probabilities of being in a correct direction trade as well as powerful trade price moves. This provides investor confidence as well as high-profit potential. Click here to register.

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Good investing,

The Candlestick Forum Team

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January 31st Daily Market Comments

Although the markets are trading positive Today, they are still in the cautionary stage. The Dow is trading higher after a reversal signal on Friday. The NASDAQ and the S&P 500 are trading higher but did not have reversal signals on Friday. This still requires seeing good bullish confirmation today, keeping the indexes above the T line. Numerous short positions have now been covered and buying any new long positions require maintaining strength going into the close today. Be careful.

 

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January 28th Daily Market Comments

Now the indexes provide good pattern analysis. If the Dow closes at the low end of its trading range, it will be creating a bearish J-hook pattern, implying more downside. If the Dow closes near the high end of the range or even positive on the day, it will have formed another hammer signal at the support area. The other indexes fit into that same analysis. This allows for being prepared for maintaining or closing short positions.

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January 27th, 2022 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 01/27/22

You’re invited to join Stephen Bigalow for a full day of training Saturday, February 5th, at 9:00 am Central (10:00 am ET) presenting “Candlestick Power Pattern Trades”.
Join us Saturday Morning to learn:
  • Learn to recognize high probability candlestick pattern setups.
  • Gain valuable insights for implementing high profit pattern trades based upon the multiple confirmations of candlestick signals and patterns.
  • Discover breakout indicators most investors are not aware of with simple candlestick scanning.
  • Develop Power Pattern Trade insights that provide a constant supply of big profitable trades.
  • and much more
Pricing for “Candlestick Power Pattern Trades”
$197

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January 27th Market Wrap-Up

The T-line is a powerful candlestick emotion-eliminating indicator. It keeps candlestick investors from getting whipsawed. Candlestick signals are the graphic illustration of what is occurring in investor sentiment during specific time frames. The T line is a very strong probability indicator, downtrends remain below the T line, uptrends remain above the T line. Combining these two factors produce an extremely accurate and powerful trading analysis tool. As illustrated in the market indexes over the past few trading days, candlestick buy signals were formed in the oversold area. This either indicated a reversal of the market trend or merely a bounce. The lack of any close above the T line indicated merely a bounce in the market trend.

Having the ability to analyze what is occurring in investor sentiment eliminates emotional trading and the dependency of listening to the talking heads on financial news stations. Candlestick signals are the actual decision-making executions made by investors versus conjecture of what will occur in the overall markets. Numerous short positions have worked extremely well in conjunction with the market indexes revealing sell signals and closing below the T line a few weeks ago. Not only do candlestick signals and patterns identify the correct direction but candlestick powers signals reveal which trends will have the greatest strength during a specific market trend. Click here to register.

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January 27th Daily Market Comments

Watch the T-line! The indexes, although trading positive, appear to be resisting again and the T line area. Numerous short positions continue to trade lower while staying below the T line. Be careful on any bullish trades executed in these market conditions.

 

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January 26th Daily Market Comments

After a couple hammer signals in the Dow below the T-line, there was the expected prospect there may be up bounce back up to the T line. Note that today’s high in the Dow resisted right at the T line. A bounce because of Microsoft’s earnings? Could be, but the next concern can be the Fed meeting this afternoon. Use the T line as your ultimate criteria. Numerous stocks started trading positive today but currently with indecisive candlestick formations, Doji’s.

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January 25th Daily Market Comments

Potential reversal signals in the indexes yesterday, however this is why confirmation is very important. Currently the indexes are trading at or below yesterday’s open after gapping down again. Keep in mind, the bearish sentiment is still pervasive with the indexes not showing candlestick buy signals and closing above the T line. The downtrend persists based upon today’s lower trading. It may take a few days for investor sentiment to heal up.

 

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January 24th Market Direction

The simple logic built into the Japanese rice traders’ chart analysis allows candlestick investors to maximize profits. Today, the gap down in the indexes provided an alert. The Japanese rice traders illustrate where most people sell, they panic sell at the bottom. That is the alert demonstrated by a gap down in the oversold area. The next alert was the visual analysis of the excessive distance the indexes had moved away from the T line. That combination was a strong alert to start watching for a market reversal.

The 10-minute chart becomes a valuable tool for indicating when an excess selling had come to an end. Candlestick buy signals on the 10-minute chart and a close back up above the T line revealed where bulls were starting to step in. Candlestick chart analysis is merely the graphic depiction of what is occurring in investor sentiment. You can maximize your profitability by closing out short trades at the most optimal time when taking the simple steps to analyze when investor sentiment is changing well in oversold conditions. This is what amplifies the profitability of power trades. Mark your calendars, February 5 will be a full-day candlestick training on identifying the power signal and pattern trades. You also get a lot of this repetitious learning process in our daily chat rooms. Join us for a free trial. You will gain much more insights into trading than you expect. Click here for more information

Members Stock Chat Tonight. Not a member? Click here to join

Good investing,

The Candlestick Forum Team

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January 24th Daily Market Comments

The T line rule works effectively! If you see a candlestick sell signal and a close below the T line, the probabilities are extremely strong your in a downtrend. The T line rule also works effectively for warning when markets/prices are too far away from the T line, providing an alert for looking for potential bounces back up to the T line. If short, watch for potential bullish bounces.

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