Trading Hammers (revisited)
- Thread starter NihabaAshi
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Thanks MK,
You didn't clutter up the thread because your question allows me the opportunity to discuss this further because it leads into another problematic area of Japanese Candlestick analysis.
Thus, it helps to know that not all Hammers (white hammers, dark hammers, dark inverted hammers, white inverted hammers) are a like.
Therefore, they are traded differently.
Further, many traders mistakenly think that the White Shooting Star or Dark Shooting star is the inverted version of the White Hammer or Dark Hammer.
This is far from the truth and the reason why the Shooting Stars are one of the most difficult patterns to trade...
Often seen by traders as unreliable when in fact the trader are trading it incorrectly.
By the way, I know you didn't mention anything about Shooting Stars but my message is aimed at those that may think that there's an inverse relationship between Shooting Stars and Hammers.
Mark
(a.k.a. NihabaAshi) Japanese Candlestick term
Hi NihabaAshi,
I'm still reading the thread (up to page 11) and categorizing the screenshots into a file.
While watching markets though and doing my homework here I want to also participate a little...
Here is a 120min chart of the crossrate GBP/CHF. Am I seeing things right?
Thanks in advance.
Best regards,
MK
I'm still reading the thread (up to page 11) and categorizing the screenshots into a file.
While watching markets though and doing my homework here I want to also participate a little...
Here is a 120min chart of the crossrate GBP/CHF. Am I seeing things right?
Thanks in advance.
Best regards,
MK
Hi MK,
If the upper shadow is > or = to the body of that White Hammer Line...
It's not a valid pattern as discussed in this thread.
By the way, do you know what market event caused the big red interval about three intervals before the White Hammer Line ???
Mark
Thanks Mark,
I just measured the upper shadow and it is 2 pips longer. Well spotted.
No, I don't recall what caused the big down bar, only thing I can remember was on that day (and since that day) the franc has been out performing both euro and pound. They ying and yang with each other
Kind regards,
MK
I just measured the upper shadow and it is 2 pips longer. Well spotted.
No, I don't recall what caused the big down bar, only thing I can remember was on that day (and since that day) the franc has been out performing both euro and pound. They ying and yang with each other
Kind regards,
MK
Hi MK,
A big red interval is not required for the Bullish White Hammer pattern and if it does show up that's ok.
My prior reply to you was a question to you asking you if you knew what caused it on your chart...a reply you answered.
Thanks for the chart today.
Mark
(a.k.a. NihabaAshi) Japanese Candlestick term
July 2nd Monday 2007
CME S&P MidCap 400 Emini - EMD
Bullish White Hammer Pattern
Sub-group: continuation signal
Chart Interval: 5min
PT Levels: not shown so you can figure them out on your own
It's been a long while since I've posted a chart in this thread but I was prompt to do so by someone yesterday that has a strong interest in the Emini EMD and Hammer patterns.
What I like about this particular price action is that it occur within a price pullback, after declining volatility and within many different s/r zones depending upon how you compute your s/r info.
Mark
(a.k.a. NihabaAshi) Japanese Candlestick term
CME S&P MidCap 400 Emini - EMD
Bullish White Hammer Pattern
Sub-group: continuation signal
Chart Interval: 5min
PT Levels: not shown so you can figure them out on your own
It's been a long while since I've posted a chart in this thread but I was prompt to do so by someone yesterday that has a strong interest in the Emini EMD and Hammer patterns.
What I like about this particular price action is that it occur within a price pullback, after declining volatility and within many different s/r zones depending upon how you compute your s/r info.
Mark
(a.k.a. NihabaAshi) Japanese Candlestick term
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