Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Candlestick Charting--The unknown indicator -- Ignore unavailable to you. Want to Upgrade?

To: MonsieurGonzo who wrote (651)	11/19/1997 9:58:00 AM
From: Esteban	Read Replies (1) \| Respond to of 1589

Steve, >>You can look at 1-min/5-min/10-min/15-min/30-min/60-min candles, and they all say the same thing (regarding turning points). Some are more clear that others - for example, a bullish engulfing pattern consisting of two candles on a 5-minute chart might appear more clearly as a Hammer on the 10- or 15-minute chart. It's useful to flip around between these time scales to see what's what. In general, I watch 5-minute candles, switching to 15-minute candles to see a different perspective.<< Maybe the same pattern would result from combining candlesticks from smaller time frames, like the pattern breakdown drawings in Morris' work. That is 3 five minute candles combined would look like the 15 minute candle. I'll be checking intraday candles like you suggested. These intraday patterns could be a terrific early confirmation for daily patterns that require confirmation. Also seems like a great way to become more familiar with and learn to interpret candlesticks: watching them form in real time! Thanks for the report. Esteban

To: MonsieurGonzo who wrote (651)	11/20/1997 11:16:00 AM
From: Esteban	Read Replies (1) \| Respond to of 1589

Steve, I've started watching intraday candlesticks, 12 minute and 1 hour, mostly with the SPY since it is a direct trading vehicle for the S&P 500. Too early for conclusions. Here's a question for you. I see a signal during an uptrend like say a hanging man. I wait for confirmation, but the next period is a nice stable reasonably long white candle. This is followed by a black tasuki line that does not make an established pattern. Is the hanging man still probative or does the bullish candle that followed it negate it's value? Are you watching the index candlestick charts today? Esteban