Using Candle Patterns and Western Technicals

I tried to be objective about letting you determine which type of chart type you preferred. I hope you really did work with all three types. Now I can tell you as I tell all my stock option trading coach clients, the majority of the time I use candle charts.

Candle charts go way back in history from trading in Japan. Candles are frequently referred to as eastern signals.

One of the reasons I use candle charts is that candles often give early signs of potential trend reversals. When a candle pattern agrees with a western technical sign such as a strong resistance or support area, or a crossing of the MACD, or a crossing of a significant SMA (simple moving average) or EMA (exponential moving average), then I really pay attention!

My next post will include a video showing various reversals of a downward trend. We will look at both candle patterns and western technicals.

Will talk soon!

Cheers,

Coach Jo

Leave a Reply