THE JOY OF CANDLESTICK TRADING - a Learning Experience

[FXCaribbean]

Originally Posted by nyrdarren

Thanks FX i just wanted to make sure I was studying it right so I dont renforce the wrong thing in my mind!! Thanks again

You're welcome. Anyway allow me to answer you :

Ok here are a few questions Tymen. One on the initial evening star off the 25 min chart. Once the 3 bar or the red bar after the actual star is complete you then turn to the 5 min chart and then use the 4th bar on that for entry. So basically those 4 or 5 candles your looking at on the 5 min make up the 4the candle on the 25 min( the 4th candle should be the one after the red candle after the star correct?)

Not really. You hunt on your 25mn. Once this last candle that is designing your pattern is done, then 25mn has last, so on your 5mn you will see the design of the 26 to 30mn candle which is part of the current candle of the 25mn (there will be 5 others from the 5mn chart to build it).

And when your looking at an engulfing pattern, if it is hitting the
upper or lower bb band and the middle do you ignore it?

No, nothing from midBB. IGNORE IT.

That was 2 I am sure I have more but dont want to flood the forum with to many questions! Thanks

It doesn't matter how many you got. Just ask.


FXCaribbean
"Don't go where there is a path. Open a new one and leave a trail".
If you want to understand what we're talking about here (UMS) then read this and set your screen and computer that way. Also read the live thread, UML Live and UMS Live

[nyrdarren]

Ok so I am not waiting for the 4th or 5th candle on the 5 min chart after the star has presented it self. Its the 4th candle on the 25 min i will see broken up on the 5 min in 5 candles and i just enter one of those based on the vectors of indicators we use to determine where to get in, its doesnt matter what candle we use after that then does it? Its just the candle of the area we decided to enter, could be the first candle or the lsat candle on the 5 min?

[nyrdarren]

U guys truley are great to help out a forex newb, thanks. Now I also have to practice bascially scanning the 25 min charts all day for patterns and not trying to scalp something that doesnt show, thats where my patience comes into play

[tymen1]

Originally Posted by nutz505

Tymen,

When you trade the candlestick pattern do you look at the longer trend at all? Or do you just trade the candlestick pattern as long as it is a quality pattern regardless of the trend?

Thanks for the great info

Welcome to this thread Nutz505!

Excellent question.

To answer, I first refer you to post #219 on page 22.

Then to post #176 on page 18 - the advantages of candlestick trading.

Here I give 12 advantages and nos 3 and 4 answer your question precisely.

[FXCaribbean]

Originally Posted by nyrdarren

Ok so I am not waiting for the 4th or 5th candle on the 5 min chart after the star has presented it self. Its the 4th candle on the 25 min i will see broken up on the 5 min in 5 candles and i just enter one of those based on the vectors of indicators we use to determine where to get in, its doesnt matter what candle we use after that then does it? Its just the candle of the area we decided to enter, could be the first candle or the lsat candle on the 5 min?

NO. Make it simple. You hunt on a chart say the 25mn. Then you will have a candle completely designed each 25T mn.

Then let's say you see a pattern (Evening star). It is designed then you jump on a 5mn chart. The candle that you will see designing NOW is the one that is used for the vector thing.

In order to explain the chart (but not the method), the 5 previous candle on this 5mn chart, are those which have been used by your software to build the candle you SAW on the 25mn that was the last of your pattern. We don't really care because we don't get back to the 25mn to enter/exit.


FXCaribbean
"Don't go where there is a path. Open a new one and leave a trail".
If you want to understand what we're talking about here (UMS) then read this and set your screen and computer that way. Also read the live thread, UML Live and UMS Live

[nyrdarren]

Great!! Thanks so much! Got it. Tell me to shut up if I am taking away from your trading! I traded the dow a little this morning and thats about it for me now just rereading and looking at gft demo to practice

[tymen1]

Welcome to this thread Nyrdarren

FXCaribbean is doing an excellent job of taking your question in hand and answering it.

I should now point out that the 5 minute KC entry method will be reserved for the Advanced level only in my presentation of the 4 candlestick trading strategies.

This is to simplify matters and give new traders a real chance at trading candlestick patterns.

[nyrdarren]

Ok thanks Tymen!

[FXCaribbean]

Originally Posted by nyrdarren

U guys truley are great to help out a forex newb, thanks. Now I also have to practice bascially scanning the 25 min charts all day for patterns and not trying to scalp something that doesnt show, thats where my patience comes into play

You just start to see the job

Check the previous link i wrote (or see my sig below) and you will notice you have plenty of timeframes ...... 20,25,30,35,40,45,50,55,60 ........


FXCaribbean
"Don't go where there is a path. Open a new one and leave a trail".
If you want to understand what we're talking about here (UMS) then read this and set your screen and computer that way. Also read the live thread, UML Live and UMS Live

[tymen1]

Originally Posted by pablopluto

Let's talk about very destructive posts. Destructive posts on scalping and demonizing the idea of very short term trading. So please continue on the Joyt of candlesticks. I am very offended in being refered to as a troll.

Just to set the record straight :

I have never made destructive post on scalping and demonic posts on very short term trading anywhere on this forum.
The matter is ridiculous!!

I challenge anyone who believes otherwise to provide proof by giving name of thread, post number and quote.

In fact, the 1st of my 4 candlestick trading strategies to be presented is entitled "Very Short Term Trading" or a form of scalping, if you like.

What I have said is that full-on scalping as a trading strategy is for experts only.
The attrition rate on this method is very high and few survive after a few months of trading.
The same for stock trading.

I still maintain that the above is correct.

In fact, our new visitor, Nyrdarren, who has experience in scalping, can confirm or correct this statement of mine.

Pablopluto claims to be an expert on scalping (really?) and disputed the above, then went all over the forum to post comments about me saying that I was ignorant and "demonizing" scalping.
He has also posted comments on just about every thread going, telling the posters there, that they are ignorant also.

That's why he has a negative reputation.
Nobody likes some Newbie coming on this forum and telling everyone that they know nothing.
No wonder he is labelled as a troll.

So I have in response, come to him with the teacher's cane, and posted a private message to him.
He has promised not to bother me anymore.
He may now actually get his act together.

Lets wait and see.