June 21st Market Directions

The most important factors of candlestick analysis is where prices open and prices close. That was very evident in yesterday’s trading. The market indexes showed very bullish strength throughout most of the day but closed at the lower end of the trading range at the end of the day. Obviously this illustrated the bullish strength was not sustainable. Today’s markets are trading positive but not with any decisiveness. Each individual trading day creates a formation. The candlestick investor has the advantage of evaluating what the strength/nature of a trend is doing. The uptrend should be in progress but not with any great conviction. Stay predominantly long but still have good short positions in the portfolio.