It's all in the shadows

[dpaterso]

Looks like I'm on to something here.

It would appear that an EMA is the way to go i.e. an EMA of the sum of the upper shadow and the lower shadow of each bar for the last 'n' periods which, quite rightly so, gives more 'weight' to the current 'situation'. In other words: during a highly volatile period (denoted by long upper and lower shadows) the EMA will increase and in a low volatility period the EMA will decrease: in both cases by more or less than a MA or SMA. Ideal. It appears to me a lot more accurate than 'sucking your thumb' for 'the spot'!!! What's even better about it is that no two traders (assuming that they are trading at different brokers) will have the same 'spots' for orders / stops making 'stop hunting' (the 'myth' that nobody wants to admit exists but know that it does) that much harder!!!

[kauaibobby]

using heiken ashi candlesticks.
I have noticed that when the candles have long wicks that the price seems to move in the direction of the wick.
The longer the wick the faster it move in the wick direction.
the candle maybe a little late, but that may be a good thing to confirm the trend in that direction.
what do you think ?
Does anyone use heiken ashi candlsticks ?