Archives for February 2022

How does candlestick psychology benefit your trading? It allows an investor to be mentally prepared versus wondering what the next price movement might be doing. Candlestick psychology is already built into the graphics of candlestick charts. The Japanese rice traders clearly illustrate the reaction produced by human nature time after time. Currently, the market indexes started trading positive after the gap-down reversal of last Thursday. However, a market uptrend requires more confirmation, the indexes closing above the T line. Although the Dow traded lower today, it traded back up toward the top of the trading range. This indecisive trading, still trading below the T line, indicates that more bullish sentiment is required to confirm the downtrend is over. The NASDAQ did close above the T line after the strong bullish piercing signal of last Thursday. This is producing a market environment of still being relatively defensive if buying long positions. Safety stops still need to be put in place. The appearance of candlestick reversal signals at least provides a trading platform that puts the probabilities in favor of what the signals are indicating. Take advantage of the flashcards sets that show the candlestick signals in set one and the candlestick patterns, as well as Western patterns in set two. Click here for more information.

Having the ability to visually analyze what is expected after the appearance of candlestick signals in the overbought and oversold conditions provides a trading platform that dramatically reduces your emotional decision-making and allows an investor to trade with the probabilities in their favor. Mark your calendars, March 26 and 27th will be a full two-day training of the major candlestick signals and patterns that will dramatically improve your ability to constantly keep high probability trades setups in your favor. Click here for more information

Members Chat session tonight at 7pm central. Free to Members. Not a member? Click here to join

Good Investing,

Stephen Bigalow

The psychology of candlestick patterns is easily interpreted with the graphics of candlestick charts. The psychology of candlestick patterns is simple logic professed by the Japanese rice traders. Where do most people buy? They buy exuberantly at the top. Where do most people sell? They panic sell at the bottom. Candlestick charts make it very easy to see graphically what is occurring in investor sentiment. Today’s gap down in the market indexes, because of the news of war starting in Ukraine, at the end of an extended downtrend was the immediate candlestick alert to start watching for a reversal. Knowing this is what occurs in investor sentiment, the candlestick charts provide visual confirmation of when it is time to start covering short positions and going long. Today produced numerous bullish engulfing signals. The Bullish engulfing signal is one of the 12 major signals. It produces extremely high probabilities of a reversal/change of investor sentiment. Join us this Saturday, February 26 for a candlestick Mini spotlight training on the bullish and bearish engulfing signals. One aspect is recognizing the signals, which is very easy. But more importantly, learning where the signals become much more relevant for producing high probability trend reversals. These trainings digs deep into the analysis of candlestick signals to make understanding what occurs in investor sentiment much clear. Click here to register.

Chat Session tonight at 7pm central. Click here to register.

Good investing,

Stephen Bigalow

Candlestick charts explained produces much more accurate price movement analysis. Candlestick signals and patterns are easily recognized. Candlestick charts explained is merely utilizing the accumulation of the signals and patterns that illustrate the high probability reoccurrence of investor sentiment. Identifying the candlestick signals and patterns is the first step for greatly improving profitability. The next step, the more important step, is anticipating the expected results. This dramatically improves your investment perspectives. As illustrated in the Dow and NASDAQ chart, the downtrend analysis was identified as a downtrend started and the continuation of the downtrend is better assessed knowing today’s candlestick formations did not reveal a major change of investor sentiment. This evaluation allows you as an investor to continue maintaining profitable short trades. Join us this Saturday for a candlestick forum mini spotlight training going into an in-depth study of the bullish and bearish engulfing signal. Although it is concentrating on one specific candlestick signal, the important aspect of the training is to help develop a profitable investor perspective utilizing candlestick signals. Although inexpensive, you will get much more information than you expect. Click here for more information.

Members Chat session tonight at 7pm central. Free to Members. Not a member? Click here to join

Good Investing,

Stephen Bigalow