Im new to trading and currently reading through the ‘school’ lessons plus trying out a demo account. Jesus, there is so much to know. Reading and understanding all the candlesticks is a minefield in itself !
Aye, Steve Nison’s seminar Profiting in Forex Helped me alot in understanding candlestick signals and market philosophy. However it is still not enough, I need proper money management and solid entry and exit strategy in order to be profitable on my demo.
Attempt to grasp everything and use all you knowledge simultaneously will lead to FAIL. There is a lot of unnecesary information (subjective one created with my someone own fancy like “barracuda pattern”) not scientifically proven nor generally adopted. Believe me, in this learning process “filtering” skill would be more useful than “comprehension or analytical ability”, moreover will save time and brain space;)
hi discover another andypip is right. This field is so vast that trying to know it all is impossible. Take a little bit and chew on it for awhile. Even when it comes to candlestick patterns you can zero in a few important ones. I’ve been trading a demo act for awhile and yes it does seem overwhelming at times. but I’m trying to narrow my pairs to trade and analyzing and comparing a couple of indicators to see how they may be showing a possible winner. But you know at the end of the day no matter how much you know and how good your trade looks the final result is always out of your control
Thanks Guys. I thought so.
I gather its a case of doing and then finding what works for you. Trying to use everything at any one time can cause confusion. Just one last point. What is the ‘norma’ time charts that most traders use, I get the impression it’s daily charts ?
I am just learning the candlesticks as well.
I thought it was a fun read.
best advice we can get.
fun reading while learn to trade :).
Hi.
Like you Discoveranother, I’m new as well. I’m looking through material on candelstick charts and patterns too. I got a sample manual for a trading method called “candle timing strategy” for free. I’m not sure if the method will work for me but maybe you might want to have a look. It was created by this guy called Candle Master. You can look him up on google. would like to share opnions on him and his theory with anyone interested.
Stick with the studies, its not a race.
It doesn’t matter what charts others use, you need to find what suits you. You will change your mind a dozen times as you study, just be patient
Thanks to all :))))))
hi there, am also new and i need to understand the candlestick, please can you help
Read Steve Nissons Japanese candlestick book. Its the best resource I’ve found on Candle sticks.
I guess I am a party pooper on the candlestick reading stuff. I have seen many claim that candlestick formations provide tradable signals, but none have shown any reliability worth betting on.
-Adrian
candlesticks alone are worth betting on its when they show up in a group formation that the probabilities increase. either you know it or not you trade candlesticks unless you trade bar charts or a line chart. I agree with you in the sense that when im trading actively i dont look at the group formations but when its time to place a bet you better believe i look at the current candle sticks and if there is a formation support my decision.
So what is the philosophy of candlestick formations? A doji for example can’t just be a random outcome? The price opened, went higher, went lower, and closed very close to the open. If one thinks he can divine the psychology of the market participants that traded that day to bring about that outcome he had better have some solid evidence for such a case. The truth is, we don’t know such things. Those who claim they do are making it up. It is bullshix. It is palm reading. It is nonsense.
-Adrian
a Doji can apear anywhere and it signifies indecision which is market sentiment which is valuable in speculating what direct the market is trending in. Doji’s in a formation type forshadow reversals in the trend and depending on what time frame you are watching when a doji shows up its best to watch closely then to instead think its nonsense. I’ve learned over the years how to understand what you’re saying and in some sorts you have a correct idea but trading is an art form not a science and if your mind is not aware to art you’ll never understand the beauty of Candle sticks or their formations.
Check out the free material from Jason Stapleton, Johnathon Fox, Neil Fuller etc. They’ve got a good perspective on what kind of candlesticks to be screening for.
Hi discoveranother
My opinion is that it’s the same which is the ‘norma’ time chart because there’s only one price (=one instrument). Just decide what time frame you want to trade. To determinate the main trend you can check the time frame which is above your trading time frame. For example if you trade on M15 you should check H1 to decide which direction you want to trade.
Hi Adrian
It’s not the same where a doji or other candlesticks form. The more important the level and the time frame are where a candlestick develops, the more significant the candlestick is. If you see a shooting star on M5 on a M5 technical level then it is not so significant as you see a similar candlestick on daily chart on a D1 technical level.
Secondly it is important too what size is the candle-body. If the dynamic increases the candle-body become larger which may indicate continuation. :57:
It indicates nothing. It tells us nothing. A doji means nothing other than the price closed very near to where it opened. The reasons for this could be virtually any. The future of price activity is just as uncertain. And this uncertainty is not more or less with changes in time frame.
-Adrian