THE JOY OF CANDLESTICK TRADING - a Learning Experience

[Ray_1]

I am nearly ready with the 4 levels of candlestick trading.

Just need to get that [B]Intermediate [/B]one in order.

I am trying to edit it in such a way that it will dovetail nicely into [B]Basic [/B]and [B]Advanced [/B]levels.

So I think I will start some introductory posts.

Finally tymen1 is finally going to release his new version UM. This is great news for everyone who follow this thread closely.

[pseudo_straddle]

Thank You!

[bkr1969]

OK…4 days and I’ve made it through all 109 pages. I absolutely love this method and the way you’re presenting it, Tymen. I am eagerly awaiting the new posts and will be demo trading this ASAP. Though I wasn’t able to post since I wasn’t up to date at the time, I did go through your practice trade setup from (where exactly?) earlier and did well. I placed my stop at the medium risk rather than high which means the high came within 1 pip of stopping me, (but didn’t) and I ended with 26 pips including the spread.

Thanks again for all of your hard work in teaching us.

[nyrdarren]

Tymen,

I wanted to take the time to thank you for the incredible time you must have put into all this. I am noew to forex. Not new to trading. I have started trading equities years ago and then switched to eminis(futures) Now shifting away into forex. I was a scalper by nature and made money and loved it and hated it at the same tme. I have been working on my patience greatly and thats why I chose forex. I spent tonight reading your post and loved it. It will be an adventure for me, but I am willing and able to do it and make it work. For me its just a patience thing. It is late now and my eyes are dead from reading all the posts, but can I ask you a fe questions tomorrow regarding somethings from the begining of the post about the setup. Little confusion for me about the 4th candle and then using the 5 min. I am just really tired thats all I plan to read the journal again on the weekend as well. Thanks again and I appreciate your time. Long time trader, but newbie forex so I have to give up my old habits and start anew. I like what we ahve here with the candelstick patterns, beause I use to countertrend things and not worry about candles and just avg up or down and try to bring my cost basis as close as possible in a strong trend and then get out for a few ticks after a lot of heat, bad risk management. It worked alot but the times it didnt is a killer. So I am ready to go on my journey into forex and this post has been inspring for me. As I felt like I was in the middle of the ocean and drowing and not being able to get the life raft. After all you hear about fx scams and what not and no once can make money. Thansk for the life raft. And by the way I am at GFT as well. I am in the usa. Thanks and good trading. I will hit you up tomorrow with some questions if thats ok.

Darren

[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

[pablopluto]

[B]Just a quick word on the latest on Trolls on this forum.[/B]

We have one definite new one - ECN Scalper also known as JohnnyFX.

The other is very close - Pablopluto.

If we are unfortunate enough to have either of these appear here with their [U]very destructive[/U] posts, just ignore them for now.

Babypips has contacted me shortly after I got my highest rating.

Now that Rhodytrader has left us, Dale Paterson and I are the longest serving members on this forum.
I therefore, feel a mandate to help keep this forum clean of troublemakers.

I am accustomed to dealing with such people as a teacher!

With the support of the Babypips team, I trust we can remove the posts of trolls should they appear on this thread.

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.

[nyrdarren]

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?) Geez hope that made sense. 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? That was 2 I am sure I have more but dont want to flood the forum with to many questions! Thanks

Darren

[tymen1]

… I absolutely love this method … I am eagerly awaiting the new posts and will be demo trading this ASAP… . . and I ended with 26 pips including the spread. .

Thank you for coming to this thread [B]Bkr1969[/B]

Your posts in your original thread came thro with great authenticity.

Sadly, that thread has now been hijacked by the troll, ECN scalper, and that greasy poster, the Rumpled One, who is trying to avoid advertising fees to Babypips, by pretending to post scalping knowledge to get clients for his brokerage firm.

However, on this thread, I will always try to maintain the highest of integrity.
I get no commissions or inducements whatsoever for producing this work and it also limits my trading time.
But I like teaching, so here it is.

I hope you can gain something from it.
This is a teaching thread.

Large questions and questions with charts should be posted on the associated threads set up by FXCaribbean - [B]UML live[/B] and [B]UMS live.[/B]

A lot of very interesting material appears there - that is where the “rubber meets the road.”

[FXCaribbean]

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?) Geez hope that made sense. 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? That was 2 I am sure I have more but dont want to flood the forum with to many questions! Thanks

Darren

Hi,

I think you have been thru the whole thread or most of it. Then to summarise all, and that’s quick to say, you can also have a look at #811 post.

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]

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

[FXCaribbean]

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]

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 [B]Nutz505[/B]!

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]

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 [B]Nyrdarren [/B]

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]

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]

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.

[B]Just to set the record straight :[/B]

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

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 [U]full-on scalping as a trading strategy [/U]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.

[U]I still maintain that the above is correct.[/U]

In fact, our new visitor, [B]Nyrdarren[/B], 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.

[B]Lets wait and see.[/B]