Trading under Candle light.

fire_gun · #11 1st November 2007, 10:43 AM

Quote:

Originally Posted by chintan786

hi all, is this qualify for Inverted hammer...( possibly yes).

then wht is possible outcme.

chintan

where it made hammer...u didn;t mentioned or remarked in the chart..does it made on the top of chart...

chintan786 · #12 1st November 2007, 02:39 PM

the hammer is on lasst candle... 31Oct2007

kazaan · #13 1st November 2007, 03:47 PM

In analysing candles, the position of the candle is just as important as the pattern. Whats even more important is the psychology behind the pattern, as you may not always get textbook perfect candles.

A hammer - imagine a square lolipop
>Open-toClose range is less than a third of the High-lo range.
>The OC range is always in the top half of the HL range
>The bar has a long lower shadow - the lolipop stick.
>The pattern appears the same whether after a prolonged UP or Down move. Ie, the stick always is below the body
> when found after an advance, its called hanging man.
>The OC range (body) may be white or black (ie is O may be higher or lower than the C, though some insist on a higher close)
>In all cases it suggests a possible shift or a pause in the preceeding
trend.
> Confirm if a pause or reversal by looking for the direction of the next long range bar that moves out of the hi-lo extremes of the hammer/ hanging man. Trade that direction. As always, higher the volumes, higher the time frame, more important is the next signal.

My two bits. Good work here. Keep it going.

kazaan
"I'd rather be a hammer than a nail......." - Paul Simon

Luckytrader · #14 1st November 2007, 05:47 PM

This thread will be valuable for beginners.

Let me start first,

We will learn systematically…..one by one.

I have attached a zip file of word doc.

JAPANESE CANDLESTICK (Part-I)
• Introduction
• Long Lines
• Marubozu Candlesticks
• Doji Candlesticks
• Intra-day Doji formations
• Dragonfly Doji
• Hammer

This I have compiled it from two or more sites based on candlestick Pattern.

Luckytrader · #15 1st November 2007, 06:24 PM

JAPANESE CANDLESTICK (Part-II)
• Inverted Hammer
• Gravestone Doji
• Hanging Man
• Dark Cloud Cover

Luckytrader · #16 2nd November 2007, 04:05 PM

JAPANESE CANDLESTICK (Part-III)
• Piercing Line
• Engulfing Candlesticks
• Bullish Engulfing Pattern
• Intra-day Bullish Engulfing Pattern

Saint · #17 2nd November 2007, 05:05 PM

Very nice,Lucky.......keep up the great work!

Saint

Saint · #18 2nd November 2007, 05:21 PM

Probably as Lucky throws up the theory bit,could look to add some practical stuff......

Nice name for this thread,Lucky...all the best!

Saint

newbee · #19 2nd November 2007, 06:20 PM

Quote:

Originally Posted by Saint

Probably as Lucky throws up the theory bit,could look to add some practical stuff......

Nice name for this thread,Lucky...all the best!

Saint

Hello

Thats great news for all of us, nothing better than a chart (with SAINTs comments on it) to learn from.

Thanks Lucky for the thread and word documents.

Wish you more luck

Thanks
nb

jawad_81 · #20 3rd November 2007, 01:18 AM

Thanks Lucky for sharing

... It would be a greater learning if the senior and experianced members can help us by adding some charts when they look at these patterns in their trading systems...