Tymen
Agreed to all the conditions. But, that being the case isnt the first trade void ?
Cause, following the rules in part 2:
A long engulfing pattern has....
1) A longer 2nd candle real body at the top. [U][B]Yes a longer real body at the top[/B][/U]
2) A lower 2nd candle wick at the bottom. [B][I]But no not a longer lower wick[/I][/B]
Hi Vicky,
I made the same consideration… But I think that this is the rare chance described by Tymen:
Maravizzo,
It is all about conjunction:
[B]
Note that the 2nd real body can only be longer at the top.[/B]
([U]If the 2nd pattern is longer at both ends (rare) we need look no further[/U].)
I think what he meant was the body size being longer at both ends.
The “real body” is that fat colored part between the wicks.
There are rare cases in forex where the real body of the 2nd candle is longer at [U]both ends[/U] than the 1st candle.
This was indeed the case in that chart you referred to.
If the real body of the 2nd candle is longer at both ends than the 1st, we call it an engulfer immediately and then there is no need to consider the wicks.
The wicks are only considered when [U]only one end of the 2nd candle[/U] is longer than the 1st candle.
I cannot really make it clearer than this. 
Tymen, you dint have to go as far as explaining in “the fat colored part” . 
Now, I see your point. Sorry, missed that part. :o
But, still have a doubt regarding the BB.
Looking at this post :
http://forums.babypips.com/75774-post2.html
The extreme bands seem to be widening.
The point is here that you must take into account what the BB are doing as well as looking at the candlestick pattern.
If the price action is walking one of the outer BB, with the BB widening, then no matter how powerful the pattern is, the price will not respond to your prediction.
This drawing shows that when price is walking the BB outwards, [U]then 2 [/U][U]patterns are needed[/U] to make price action come into line with predictions.
First of all, all the recent clarifications are great for us newbies, so keep asking questions everyone!
OK, so we are clear why we should not pay attention to the wicks in the engulfing pattern below. But as Vicky pointed out, the BBs are actually expanding when the long ungulfing pattern occurs. Does this mean we do not take this trade Tymen?
Here’s the image again:
My thougts on the matter is this:
In this chart it cannot be said that the price action is walking the BB, it has gone from one extreme BB to the other extreme BB and I believe that engulfing patterns are even stronger when this happens (in comparison to engulfing patterns occuring when the price action is really walking a BB),
Here’s another chart from this morning which shows the same thing, this is an short engulfing candlestick, the body of the second candle totally engulfs the first candle. The BBs are expanding, the only difference as I see it is that the middle BB is going up, whereas in the other chart, it was level.
please give your thoughts, I took the trade and we shall see what happens.
Fredrik
This is correct.
and I believe that engulfing patterns are even stronger when this happens (in comparison to engulfing patterns occuring when the price action is really walking a BB)
This is not proven to be necessarily true.
But as Vicky pointed out, the BBs are actually expanding when the long ungulfing pattern occurs. Does this mean we do not take this trade Tymen?
The fact is that in this chart the Bollinger bands are not really expanding.
In fact, the latter part of the picture showed that they were contracting!!
The mid BB remained level for the time of the trade.
[U]The key here is to look very carefully.[/U]
A good eye will spot the level mid BB as well as the engulfer.
This immediately gives a potential go signal for the trade.
A further examination confirms that the BB are not expanding.
Therefore, the trade is all GO!!
[B]
This is a dangerous trade to take.[/B]
I would certainly not have taken it. :eek:
Here’s another chart from this morning which shows the same thing, this is an short engulfing candlestick,…
the middle BB is going up,
These 2 quotes from your observations are quite [U]contradictory.[/U]
The candlestick pattern is indeed a short pattern, appearing on the upper BB.
So we are directed to go short.
But then the mid BB is going up - [U]indicating that the price action is going long!![/U]
Then further observation shows that the BB are expanding rapidly.
This indicates that the price action will most likely start to walk the upper BB and the short pattern will only temporarilly interupt this trend with price action going level.
[B]It is a standard case of two patterns being needed to go short.[/B]
[B]So NO to this trade.[/B]
Tymen i hope i dont ofend you in any way buy this question.
I have read some posts in the first candlestick thread and also this what in pips do you earn / a day with you method ?
best regards
You don’t offend me [B]jgadefelth[/B].
But I have a strict policy of not declaring earnings on this very public forum.
This forum is being watched by every kind of undesirable under the sun, including terrorists, hackers, identity theives, virus programmers, theives generally and the worst kind of human beings that this earth can support. 
This kind of scum gets nothing from me. 
Sorry, my earnings will always be private - and so should yours!!
ok can you give me something ? i dont ask you to tell me that you make so mutch $ i only ask for a pip number that is you can have 1dollar per pips or even less so that dont say how mutch money you make just how mutch pips you make. or can someone tell me what hit rate you have for example you win 2 out of 3 or better or your win lose ratio ?
best regards
hi everyone i’m new here.
I’m trying to backread the whole thread about candlestick, should i read it start from 64 or 1 ? coz i noticed that this goes backwards than the usual forums.
correct me if i’m wrong 
Thanks
I don’t have an answer for you, just a tip.
If you go here… 301 Moved Permanently and change the “Thread Display Mode” from “Newest First” to “Oldest First” it will fix the backwards thread problem.
Sorry, no hints whatsoever…for the same reasons as above!!
The risk/reward ratio is given in the previous thread on the live trade examples page 142 onwards…
http://forums.babypips.com/newbie-island/10812-joy-candlestick-trading-learning-experience.html
However, my readers here do testify that this method does work, and works very well.
Thats why I personally use it also.
The best clue I can give you is that it uses the shorter time frames to make a large amount of pips in a very short time.
Sniper tactics without being a scalping system.
Here are chaarts of a very exciting profitable trade that took place yesterday.
I am pleased to say that I took part in it.
The trade is the Cable - GBP/USD.
The first is a 20 minute main chart showing a powerful evening star with the Bollinger bands, including the mid band, all going in the down direction, exactly as we want it. >>>
By tymen1 at 2009-07-07
[B]Here we look at the first of the 5 minute charts[/B] >>>
By tymen1 at 2009-07-07
You can see that the mid BB is going downwards and the starc bands are really heading south like no tomorrow!!
This is going to be a profitable trade upon entry.
But where do we enter.
When the starc bands are going this steeply downwards, the best you can hope for is for the price action to hit the mid band only.
Even that is ambitious.
So just enter and go for the ride!!
[B]Another 5 minute chart [/B] >>>
By tymen1 at 2009-07-07
And what a drop it is!!
Look at that long red candle!!
Wow!! Profit plus!!
And look at the starc bands - still going down steeply!!
Now look at the BB - mid BB going down and the outer bands widening like a real trumpet!!
[B]Next 5 minute[/B] >>>
By tymen1 at 2009-07-07
Well, the price action and the starc band have slowed down for a while.
But the BB are still expanding greatly and the mid BB is going down more than before.
[B]
There is more to come!!![/B]