Tuesday, June 1, 2010

Candles, what are we looking for

The candles that we look for eg hammers, shooting stars, doji's, railway tracks, inside bars, outside bars, double top high lower close and double bottom low higher close.

When we enter from 5 or 1 min we want to sell on candles that have little or no lower wick and buy candles that have little or no upper wick.

If it seems that we are selling the lower wick of say a 15 min hammer, we'll actually be selling either a 5 min or 1 min closed candle with little/no lower wick. Price must move 1 pip beyond the low of the candle to confirm the sell trade.

There are numerous charts on my thread at forexfactory that show this, see under useful links.

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