September 5th Market Direction

The markets remain in a consolidation mode, as revealed with the Dow selling off, but the NASDAQ and the S&P 500 continue to show bullish strength. This produces market conditions that allow the candlestick investor to identify specific sectors acting bullish or bearish. The oil stocks are serving strong, and crude oil continues to trade positively into the mid-80s. Additional confirmation is the fact that numerous oil stock charts are producing the same pattern, the J-hook pattern. On the other spectrum, the bearish J-hook patterns appear in the retail stocks. This allows candlestick investors to take advantage of long and short positions during market consolidation. Analyzing each chart dramatically improves the probability of being in the right positions/trends at the right time. The one basic premise of candlestick analysis is that it is the graphic depiction of what occurs in human nature time after time. Learning the 12 major signals will greatly improve your probability of being in a profitable trade.

Members Chat session tonight at 7pm central. Free to Members. Not a member? Click here to join

Good Investing,

Stephen Bigalow