November 23rd, 2008
Candlesticks Alone Are Only Half The Story
Japanese Candlestick financial price presentation is adept at spotting reversals of trend. The accurancy of the candles is enhanced by contemporaneous use of selected indicators; and is brought closer to perfection by an understanding and application of the relationships between the waves of the indicators.
Everything old is new again. Whereas the “Japanese Candlestick? method of financial price display was invented centuries ago for use in the rice trade, it has recently found a new life and acceptance in the Western financial world. The reasons are primarily twofold: it reveals the underlying psychology of the market to a degree which is unparalleled; and it is exceptionally adept at spotlighting reversals of trend.