What's Your Favorite Candlestick Pattern?

BobbyMurcerFan · Mar 15, 2003

I just got a copy of Nison's first Candlestick book. Very good. So far, hammer and hanging man signals seem to be pretty valuable. Do you have any favorite candlestick patterns? Thanks.

Lobster · Mar 15, 2003

Quote from BobbyMurcerFan:

I just got a copy of Nison's first Candlestick book. Very good. So far, hammer and hanging man signals seem to be pretty valuable. Do you have any favorite candlestick patterns? Thanks.

All of them, if others use them on intraday charts.

And also all of them for my own use on daily, weekly, monthly, quarterly, or yearly charts.

Pabst · Mar 16, 2003

Quote from Lobster:

All of them, if others use them on intraday charts.

And also all of them for my own use on daily, weekly, monthly, quarterly, or yearly charts.

Anyway of backtesting Candle's? Or have you? Or are the value of the signals strictly empirical or discretionary?

dbphoenix · Mar 16, 2003

Quote from Pabst:

Anyway of backtesting Candle's? Or have you? Or are the value of the signals strictly empirical or discretionary?

See Gregory Morris's book.

--Db

Tech Analysis · Mar 16, 2003

Depends on the timeframe. I find that a 5-minute hammer is more likely to signal a reversal than a 1-minute one. I also think daily patterns like evening stars, engulfing, etc are more significant than intraday patterns.

I like hammers and shooting stars the best. The long upper or lower wicks relative to the close are pretty good indicators of who's in charge, buyers or sellers.

Look at most of the S&P "CNBC bottoms" we've made over the past 3 years and many times a hammer is at the turning point.

The gold Nison book just published is a good one.

nkhoi · Mar 16, 2003

look for them at top/bottom of bband

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look for tweezer

FRuiTY PeBBLe · Mar 16, 2003

DARK CLOUD COVER, YO

BobbyMurcerFan · Mar 16, 2003

Quote from dbphoenix:

See Gregory Morris's book.

--Db

He's got two listed on Amazon.

1) Candlepower: Advanced Candlestick Pattern Recognition and Filtering Techniques for Trading Stocks and Futures

2) Candlestick Charting Explained: Timeless Techniques for Trading Stocks and Futures

Which one are you referring to/like? Thanks.

TG · Mar 16, 2003

Might want to take a look at litwick.com. If not for end of day market choices, foreducational purposes. Only a few bucks a month.

larrybf · Mar 16, 2003

if you read... then periodically reread greg morris book...... CANDLESTICK CHARTING EXPLAINED...... you will get an evergrowing education and appreciation of candlesticks.( plus you will save yourself some money)