January 10th Daily Market Comments

Were the markets going to exhibit some profit-taking today, tomorrow, Friday? It doesn’t matter! Candlestick analysis makes for very simple stop loss procedures. Those procedures do not involve numeric or percentage factors. The graphics of candlestick signals illustrate whether the Bulls or the Bears are in control. Candlestick stop loss levels are based upon the illustration of whether there has been a change of investor sentiment. This is especially relevant when prices move to an overbought condition. This is why we recommend Trend Analysis.