THE JOY OF CANDLESTICK TRADING - a Learning Experience

[cbarnett808]

Tymen:
First of all, thank you once again. This is a great thread- unconventional and groundbreaking. Your teaching style is straightforward and clear. You present a lot of information without overwhelming people- a true educator!

I've been reading along since the start and re-read the thread in its entirety again yesterday. I'm really looking forward to test driving this system soon, but I have one question first: How do you handle your stop losses?

[tymen1]

Originally Posted by cbarnett808

I'm really looking forward to test driving this system soon, but I have one question first: How do you handle your stop losses?

Firstly, thank you for the kind words.

I have yet to deal with stop losses since I have the 5 min entry method and also the staged 3 part entry for which I showed only 1 post.

But quickly said, for an evening star, place your stop loss 2/3 pips above the highest point (middle candle - the "star").

Do not place the stop just 1 pip above it. The bucket shop brokers know about this and if the broker has a 1 pip difference from interbank feed, it is possible that your stop could be hit on a reversal.

After that you will be very disappointed as you see the price roar in the correct direction.

Use the above tactic and you should be alright. Cheers!

[yuv]

this is my first post in this thread. first of all i just like to thank tymen1 for his great work and effort. what a great way to teach.

i have been reading this thread for a week now. in the begining i had soooo many questions but with every update my questions were being answered without asking. genious method. u r a true teacher.

now i have just finished reading and everything is crystal clear and i dont have anything else to ask apart from stop losses which you are gona cover later i hope.

please keep up the great work. i apreciate ur time and effort big time and i m sure everybody visiting this thread will feel the same way.

gooooood luck trading guys and hava goood weekend. i know i willll.

[tonymand]

Its raining hard here in Perth this morning with the summer now well and truly over. Gave me a chance to go through this thread again from start to finish. There is so much that I like about it Tymen. It makes sense and is logical (critically important for me to have an understanding of why something might work so that I can trust it). It seems very unique (you have done a great job with this development so far) and I have something of a mathematical mind so start to mention concepts from maths or physics and I am immediately interested. Going to spend sometime this weekend looking at how this might interface with SR levels (or not as the case may be) to see if it can improve my trading. Many Thanks

[aha]

Great work teacher tymen1! I admire your dedication and effort to come out with such a great way and having it all explained nicely.. Hope you continue to provide us with more samples for us to master this..

[lovelyforex]

Hi all

I really really agreed..if we know about candlestick pattern we can know how it works and will made the profit.

Trading with confidence..relax and cool..no stress..just wait and see how it works...the market more to pyscho.....i like teach u all how to succes in live tutor online....live tutor is the best..this is not advertising..just sharing idea and make some profit by live tutor.

man_at_work2004@yahoo.com

[VulcanClassic]

Originally Posted by lovelyforex

Hi all

..this is not advertising..

Yes it is, I saw him on DailyFX. He posted predictions for 2 months and then asked people to pay him.

Go spam somewhere else.

[lovelyforex]

Originally Posted by VulcanClassic

Yes it is, I saw him on DailyFX. He posted predictions for 2 months and then asked people to pay him.

Go spam somewhere else.

Hi Vulcan

Please undertsnad what i mean..i only talking about general candle pattern..not specific when it working by time..that is very very specific and under my forex consultancy..and an other case..but this case i really wanna teach some traders understand about candle pattern.and better teach on live tutor while the marker move.example...inverted hammer so the next move will up...shooting star so the next move will down ect.i do not tell when the price up or down by the sharp or arround timing .I am gentleman..that why i dont chnage my Nickanme all the trhread discus about forex i only use lovelyforex.Till now i am still posted general market in dailyfx.U can see in an ather thread have someone put the signal or sharp timing for buy/sell? i think only general discusion by technical and feudumantal...i am so sorry if u think im here for advertising....yes therfore in dailyfx i posted prediction when need buy/sell....but before i posted like taht i only posted general market..weekly monthly....but when many trader dont beleive me about my assume .So for the proof what i said..i posted the signal and then so many trader email me and asking about that...how u know..? can i learn with u? thanks ur timing signal very amazing and accuracy..ect...

p/s friend is friend...biz is biz..

[Sweet Pip]

Originally Posted by tymen1

10) Candlesticks get you into price action long before indicators - in many cases, so much so that you are closing your trade by the time the indicator trader is just opening his.
Candlesticks are the fastest form of price prediction there is. The next fastest is the ergodic candlestick oscillator which in turn is much faster than any other indicator.

Hi Tymen...great job on the lessons! Appreciate the effort

Ok I'll bite...what's the skinny on the Ergodic Candlestick Oscillator. I did manage to find one but not much info comes with it and there seems to be a couple of varieties.

This is what I did find out and hope to to get your opinion:

***************************************
Trading Ergodics with the Trend - Rules

-Enter or hold position only when slope of Ergodic Signal line has the same direction as the trend.
-Stand aside when slope of Ergodic Signal Line is in the opposite direction of trend.
-Enter or exit position when Ergodic and its Signal Line cross.

The simplest way of using the indicator is simply to define the trend based on which side of the “0” line the indicator is located on. If the indicator is above “0”, then the trend is up. If the indicator is below “0” then the trend is down.

You can add an additional qualifier by noting the “slope” of the indicator, and the crossing points of the slow and fast lines. Some like to use the slope alone to define trend direction. If the lines are sloping upward, the trend is up. Alternately, if the lines are sloping downward, the trend is down. In this view, the point where the lines “cross” is the point where the trend changes.
**************************************************

Thanks for the tip

[VulcanClassic]

Hi Tymen,

Made some more pips this week with this entry system. I was leaning toward candlesticks when I saw your thread, and this has grounded me in them quite nicely. Thanks Again.

One question;

Do you have any examples of bad entries (ie - fakeouts) to avoid?


Keep on Truckin!