[Blu-Ray]

After a discussion in the General trade log section with Brownsfan, it was suggested by him to open a thread with regards to having a trading plan on candlesticks.

The discussion was along the lines of when or when not to take a candlestick pattern, eg. a bullish hammer is obviously better at a support level rather than in the middle of a range. So it would be good to get a discussion going about different candlesticks and how or when you would use them.

An example, of which is pondering me would be, if a bullish hammer appears at a strong resistance level, would that be taken as a long signal or would you just stand aside?

I'm relatively new to the candlestick analysis, since I scalp off tick charts, but even then if my system fires off a buy signal and a shooting star has just appeared then I'll pass on that trade, it's amazing how many bad trades it would keep me out of. That is what has whetted my appetite to delve further into this candlestick analysis.


Cheers

Blu-Ray