The T-line factor – a candlestick buy signal and a close above the T-line produces extremely high probabilities an uptrend is in progress. A candlestick sell signal and a close below the T-line produce extremely strong probabilities a downtrend is in progress. This is a simple analysis that can be easily confirmed. Go back through charts and see what the trends do with a high degree of probability above and below the T line. The indexes closed below the T line yesterday. This was after sell signals had formed during the prior days. Today, note how the Dow traded higher initially but resisted right at the T line and continue to trade lower. The NASDAQ and the S&P 500 opened at the T line and traded lower from there. Even though the NASDAQ was up 81 points today, the candlestick investor can visually evaluate there was no buying after the initial open. This information provides huge advantages for correctly analyzing the market trend or stock price trends.
The T line also reveals when a stock/sector is continuing its trend. As witnessed in the electric vehicle sector, note how numerous stocks in that sector use the T line as support and continue their uptrend. When you combine the analysis of a candlestick pattern and use the T line to show confirmation of that pattern, you dramatically reduce your emotional trading. Join us this weekend for the two day Triple T training, examining how the T line greatly enhances your price trend analysis. Expect to be brain fried and butt sore at the end of the training, but you will be able to visually recognize high probability trades set ups that you can use for the rest of your investment career.
Chat session tonight at 8 PM ET, keeping your emotions out of your trading. Click here to register.
Good investing,
The Candlestick Forum team
