# Understanding candlestick patterns



## stargazer (18 December 2007)

Hi all

Could someone point me in the right direction.  I would like to understand candlestick patterns in particular for a reversal for a Bullish trade.

Cheers
SG


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## surfingman (18 December 2007)

*Re: Candlesticks*

Start with checking out these tutes:

http://stockcharts.com/school/doku.php?id=chart_school:chart_analysis


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## Synergy (18 December 2007)

*Re: Candlesticks*

http://www.tradethetruth.com/downloads.html

Download master the markets, it has a section on what you're after.
Having not read anything prior to reading this I found it great for explaining the basics.


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## i4560011 (19 December 2007)

*Re: Candlesticks*

"The secret of candlestick Charting" by Louise Bedford is an excellent newbie starting point

But otherwise there is heaps of material on the net as well


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## stargazer (19 December 2007)

*Re: Candlesticks*

Thankyou all for your replies much appreciated.

cheers
SG


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## rowes (20 December 2007)

*Re: Candlesticks*

Some great reading from these two blokes...

http://www.candlestickforum.com/

http://candlecharts.com/


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## ithatheekret (20 December 2007)

*Re: Candlesticks*

If you ever see a username of Zaitech in your rounds , that chap is a candle whizz , he put me onto the Louise Bedford books , for which I am ever grateful . If you spot him on a forum somewhere ( he does travel ) , pick his brains , he is always very helpful and will go out of his way to show you what the set ups mean .


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## Magdoran (20 December 2007)

*Re: Candlesticks*



stargazer said:


> Hi all
> 
> Could someone point me in the right direction.  I would like to understand candlestick patterns in particular for a reversal for a Bullish trade.
> 
> ...



Hello stargazer,


Actually, I keep commenting about how basic Bedford is, I have no idea why people keep recommending her...

For candlesticks try Steve Bigalow and Steve Nison.  Both are significantly better starting points for candlestick interpretations.

But I'd caution you not to fully accept their position in isolation.  While candlesticks can be very helpful at times, I see this as contextual.

If you really want to get into some interesting technical analysis concepts that focus on pure charting and understanding counter trends, have a look at Bill McLaren's works.  Personally this radically changed my thinking in a major way quite a few years ago now, and in this context, the candlesticks make a lot more sense (McLaren also refers to some of Larry Williams' concepts that are compatible with reading bar charts).

Hence I have chosen a path where I reject the stochastics used by Bigalow for example alltogether.

However, technical analysis is a subjective art form, and I see the challenge is essentially finding what works for you.  

If you read through a lot of the technical analysis threads on this site, there is an abundance of really good discussions from a range of perspectives.  

My views are positioned from a very specific minority quadrant, but it took me many years to get to this position, which can make it look complicated and obscure.  I just think it is a natural progression to either find effective and potent forms, or give up in the end...  

So, you be the judge, and find what resonates for you.  Have a read of your favourite posters, and see what they have to say across a range of topics using the search function (hint - look at a couple of my recent comments which lists a group of notable posters - some of whom I agree with, and some who have "different perspectives").

Good luck stargazer!


Kind Regards


Magdoran


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## surfingman (20 December 2007)

*Re: Candlesticks*

Hi Magdoran,

Is this the author and book you are referring to?
Click here

Have you got any of his other products?


Thanks


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## Magdoran (21 December 2007)

*Re: Candlesticks*



surfingman said:


> Hi Magdoran,
> 
> Is this the author and book you are referring to?
> Click here
> ...



Hello surfingman,


Absolutely.  The best material I have found to date.  But not an easy road, and probably takes about 3 years to really grasp.  

You think you have got it at first, but then you discover when you really look at it that there is so much ground to cover in the DVDs.  

You can literally spend years discovering all sorts of aspects that Bill comments on in throw away lines all through the lectures.  Each point is a journey in itself...


Mag


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## Wysiwyg (5 May 2010)

*Re: Candlesticks*



stargazer said:


> Hi all
> 
> Could someone point me in the right direction.  I would like to understand candlestick patterns in particular for a reversal for a Bullish trade.
> 
> ...




Plenty of gaps down to hammer candles spat out today. Dump -> catch -> buy. The big question is, is there worse to come?


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