Is there a bank crisis? Could a bank crisis escalate? The answer is not important!. The analysis of what the market thinks the results will be is the important factor.

With the Fed raise interest rates at the same pace, or will they slow down the rate of rate hikes? That is not important! Candlestick analysis reveals what investor sentiment is doing based on all the possibilities. Fortunately for the candlestick investor, candlestick patterns such as the dumpling top provide a precursor for what investor sentiment is likely to be doing. The strength of a downtrend from a dumpling top allows for preparing for the next good trade setup. As an options trader, this information produces a high probability of expected results. Candlestick analysis indicators confirm the current market downtrend. The bearish candlestick patterns remain in effect with the additional confirmation of the indexes continuing to trade below the T line. Take advantage of this information. It allows investors to maximize their profitability by utilizing the appropriate options at the appropriate times.

The best trade entries are produced by candlestick signals and patterns. The best trade entries utilize pattern setups followed by individual candlestick signal confirmation. Currently, the market downtrend was easily recognized by the evening star failure of the indexes at the resistance levels, the Dow failed at the 50-day moving average, and the NASDAQ failed at a down-trending resistance level. The visual graphics of candlesticks allow an investor to identify when the market is merely bouncing versus having a full-scale reversal signal. The bearish J-hook pattern formed in the indexes could also be witnessed in individual stock charts. This allows for optimal entries for short positions. The graphics of candlestick signals and patterns dramatically improve an investor’s trend analysis. Join us tonight for the candlestick forum free training session. Discover which short positions should have the most substantial downside potential. Quick survey – we have been approached by a hedge fund manager to set up a candlestick trading hedge fund, going both long and short. These usually require qualified investors with $250,000 to invest in the fund and will accept $100,000 investments. If there is any interest, please email steve@candlestickforum.com for more details.

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

Good Investing,

Stephen Bigalow

Swing trades setups are straightforward to identify using candlestick signals and patterns. The market reversal of the past few days has provided some very logical and high-probability swing trade setups. As illustrated in the Dow, a reversal occurred utilizing a MorningStar signal and a close above the T-line. The NASDAQ formed a bullish engulfing signal followed by confirmation with a close above the T line. Today’s trading took the indexes to resistance levels that everybody else was probably watching. The Dow sold off once it hit the 50-day moving average. The NASDAQ sold off once it hit the down-trending resistance level. This does not necessarily mean the uptrend is over. Stochastics are still heading up in the indexes are trading above the T-line. But this would imply there might be some profit-taking. Utilizing the unique candlestick formations allows the candlestick investor to get a much more concise analysis of what the current market trend and individual stock prices will be doing. Simple candlestick scanning techniques identify the moving sectors with the most bullish emphasis. Taking scanning one step further allows for determining which stocks in those sectors are producing the strongest signals and patterns. The artificial intelligence sector continues to act very bullish. Solar stocks are acting bullish. You gain valuable insights into which trades produce the most substantial results based on the information built into candlestick signals.

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Good Investing,

Stephen Bigalow

Market reversal signals may be showing up from today’s trading. However, market reversal signals require one additional piece of confirmation – a close above the T line. This will make tomorrow’s trading very important. A change of investor sentiment requires a candlestick reversal signal and a close above the T line. Until that happens, the probabilities remain that the current downtrend remains in progress. The T line acts as a significant indicator of investor sentiment. These market conditions allow the candlestick investor to gain a strong profitable perspective. There will be bearish trades continuing lower and new bullish trades being established. Knowing the strong bullish and bearish signals and patterns allows the candlestick investor to maintain good profitability when the overall market is transitioning stage. For example, RIVN has the prospect of forming a strong downside move based upon a lower open, producing a bearish Doji sandwich, and confirming a Dumpling Top downdraft.

Strong earning reports are producing good profit trades in the current market environment. The best friend signal is producing good profit potential. Knowing the direction of a price move allows an investor to choose the appropriate options trading strategy based on where the current price/trend exists. Join us Saturday, March 4, for a Mini spotlight training on the proper bullish or bearish option strategies based upon the direction of the overall market. You will gain a lot of insights that will be useful for the rest of your investment career.

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

Good Investing,

Stephen Bigalow

Option trade setups are sipmle to be identified when accurately analyzing the market trend with candlestick analysis. Option trade setups utilize the high profit/high probability candlestick very signals and patterns. The same simple logic applied to the analysis of a candlestick chart can then be applied to the appropriate option strategy. The current market direction is bearish, as illustrated by the indexes continuing to trade below the T line. Although the markets traded bullish on the open today, the candlestick investor has the ability/patience to wait to see what the markets will do by the end of the day. The assumption remains that the downtrend is still in progress until you see a bullish reversal signal and a close above the T line. The strong candlestick sell signals, such as bearish best friend signals and bearish kicker signals, provide high-probability trades as well as high-profit trades. The logic is simple! If the market is in a downtrend and strong bearish signals and patterns can be identified, the probabilities are significantly in our favor that the bearish trades will work with a high degree of probability. Join us this Saturday, March 4, for a Mini spotlight training on utilizing the appropriate option trade strategies at the appropriate times of a bearish downtrend. You will gain some valuable insights into the basic logic of candlestick analysis.

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Good Investing,

Stephen Bigalow

Market trend analysis is greatly simplified using candlestick signals. The market trend analysis can be refined for short-term trading as well as long-term investment holds. Although the Dow formed a hammered/Doji today, it still trades below the T line. However, the distance between the trading and the T line creates the probabilities that positive trading tomorrow is likely to bring the Dow back up to test the T line, a bounce. The NASDAQ and S&P 500 did a hammer/Doji’s off the major support levels but not quite yet in the oversold area. This puts the Doji rule into effect. The markets are likely to trade in the direction of how they open after today’s Doji’s/hammers. Positive trading would imply a bounce back up to the T line. A lower open would indicate the downtrend was still in progress based upon the Dow reaching the lower support level of the wedge formation and the NASDAQ and S&P 500 forming bearish flutter kicker signals, strong sell signals. Knowing how to use the information built into individual candlestick signals allow traders to get in and out of positions at the most appropriate times.SHOP illustrates the possibility of support at the 50-day moving average. But the Doji rule will indicate how it will trade based upon how it opens tomorrow. This type of candlestick analysis allows a trader to maximize their profitability. Learn the logic built into candlestick analysis.

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Good Investing,

Stephen Bigalow

Option strategies with candlestick analysis dramatically simplify the analytical process. Options strategies, like candlestick analysis, allow for the appropriate trading strategy without having to do an extensive amount of calculation every evening. The candlestick forum will provide option strategy training over the next few weeks. The strong candlestick signals and patterns allow investors to take advantage of the most decisive price moves during a market trend. As illustrated by the wedge formation, the Dow has breached the lower support level of the wedge pattern, implying a strong downtrend will likely proceed. This evidence of weakness was enhanced by witnessing strong sell signals and trading below the T line in the NASDAQ and S&P 500. The markets have a sense of forecasting problems in the overall world events. A Russian/China collaboration is causing worries in the investment area, and the prospects of the world economies slowing down. Fortunately, you do not have to be an in-depth analyst of what might occur worldwide. The candlestick charts reveal what everybody else’s analysis is producing regarding buying and selling decisions.

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Good Investing,

Stephen Bigalow

Daytrade entries are greatly enhanced using candlestick chart signals. Daytrade entries alleviate the “what if” hesitancy on a trade. There are approximately nine candlestick signal trade setups that produce extremely high probabilities a trade is going to move in the correct direction. This makes for excellent day trade entries as well as swing trade entries. A strong example is the SHOP chart. The gap down Doji makes for a powerful bearish day trade setup. If it opens lower tomorrow, probably in conjunction with the market indexes opening lower, it can probably move with good force down to the 50-day moving average. This simple analysis allows options traders to put on high-potential trades. Our suggestion in our options trading room today was to buy the February 42.50 puts for $0.11. They expire tomorrow. But if the bearish flutter kicker signal performance, the $0.11 has the potential of going to the $1.20 sent level. Knowing the expected results of candlestick pattern setups produces a robust trading platform for the day trader and swing trader. Join us Saturday, February 18, for a full-day training recognizing the high probability day trade setups and how to utilize the intraday charts to maximize profits. Click here to register.

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

Good Investing,

Stephen Bigalow

Profitable day trades become much more consistent when using candlestick charts. When market conditions indicate a lack of decisive movement, Day trades become a viable trading strategy. Currently, the sideways mode of the Dow may be coming to an end if bullish sentiment pushes the Dow up through the down-trending resistance level of the wedge formation. However, daytrade mentality may be the prudent strategy when a significant announcement, such as the CPI report, May whipsaw markets. It will be essential to see what the reaction will be at these market index levels, the resistance level for the Dow, and the T line for the NASDAQ. There are approximately seven very strong day trade candlestick pattern setups. This allows for simple market trend analysis to work in conjunction with how the price of an individual stock/chart will produce high probabilities of a day trade confirmation. Join us this Saturday, February 18, for a full-day training on utilizing the candlestick signals for profitable day trade and swing trade entry points. This is information you will use for the rest of your trading career. 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

Daytrade setups are much more clearly defined using candlestick charts. The typical reactions of human nature create daytrade setups. These can be identified no matter which direction the overall market is moving. Currently, the Dow failed to get up through the resistance level of a wedge formation. The NASDAQ and the S&P 500 formed two dark crows, a bearish reversal signal, and they closed below the T line. This combination produces high probability there will be more downsides. Day traders and swing traders can take advantage of charts that are showing strong sell signals, which will likely continue to the downside if the markets continue lower. Note in the AMZN chart that the gap down after failing at the 200 has continued to demonstrate a bearish sentiment. EA also illustrates the bearish continuation after a big gap down. Watch BAX, the gap down in price reveals a strong change of investor sentiment. Once you have learned the candlestick signals and patterns, you gain a much stronger insight into price movement. The three books published by the Candlestick Forum provide an intense learning process. They are easy to understand.

https://store.candlestickforum.com/collections/books

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

Good Investing,

Stephen Bigalow