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Old 04-08-2008, 09:57 PM
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Re: Why Candlestick Anaylsis is Different and Might Work for You

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I'd imagine all traders go through the period where they think the "secret" of the market can be unlocked by learning some sophisticated, esoteric analysis technique. The motivation is uncertainty and the goal is certainty. But there is no certainty in the market, except that if you can't find a trading technique simple enough to confidently follow you are going to be the source of income for somebody who does.

VSA seems to fall into the holy grail category. Way too complex. Market Profile isn't as bad, but I dumped it because it simply gave me too much to think about and didn't help much to begin with.

It's interesting that there seems to be so many people on this board who are into those two techniques.

GCB - first, nice to have you back. Second, as you could tell, there has been much concentration on those two areas.

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It's not how you get the information but how you use it. Be it Candles, VSA, Market Profile, etc...it's about understanding how the timeframes/fractals are interacting with one another. It's about finding the spot where you can enter on a lower timeframe and exit on a higher. This can be done with any of the ways listed above.

For me personally, I like to see pure momentum on the smallest timeframe and use tick charts (story inside the bar). For my largest timeframe I use Market Profile because it gives me more information than a standard bar (daily for example). My central timeframe is 3m and consists largely on basic candle analysis. Could an individual trade successfully using ONLY "time" bar charts...yes. The important thing in my opinion is to have enough information displayed where you can see the smaller and larger forces at work around your main timeframe.

Back to the original post (got a little off topic there)...

What type of discussion exactly do you want to see over here at the CC? I do believe that many people do get caught up in the other areas and lose site of the 'basics'.

Is this where I insert "ALL HAIL CANDLESTICKS"?
Not sure where I thought this discussion would go HLM. Just felt like posting my observation.

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