Candlestick charts provide an immense amount of information over and above any other charting technique. The color of the candles become a much more clear indication of what is occurring in investor sentiment. This is illustrated in today’s trading, the indexes opening very positive but now pulling back. The transportation index is selling off hard. A simple trend analysis technique is witnessing a major index or two trading lower while another index or two are trading higher. This equates to rotation in the market indexes versus a major change of investor sentiment. This is why we recommend Trend Analysis.
January 25th Daily Market Comments
Candlestick charts provide an immense amount of information over and above any other charting technique. The color of the candles become a much more clear indication of what is occurring in investor sentiment. This is illustrated in today’s trading, the indexes opening very positive but now pulling back. The transportation index is selling off hard. A simple trend analysis technique is witnessing a major index or two trading lower while another index or two are trading higher. This equates to rotation in the market indexes versus a major change of investor sentiment. This is why we recommend Trend Analysis.