Once you understand this basic concept, you will understand what Candlestick analysis is all about. The “Classic” Spinning Top is customarily shown with a relatively small Real Body and relatively small Shadows protruding from it, above and below. Of course, the size of the Real Body, the size of the Shadows, and the relationship of [...]

CandleWave and Hawkeye Traders Present Trading From Start to Finish – THIS EVENING! This is a Repeat Announcement of a Series of FREE audience-participatory Webinars which are being presented every week on Wednesday evenings through the end of May, from 8:00 PM to 9:00 PM Eastern Daylight Time. THE NEXT WEBINAR WILL BE PRESENTED THIS [...]

Following a strong three-wave countertrend upmove which began on February 8, 2010, the Dow Transports have put on display a nearly-perfect Candlestick Bearish Engulfing Pattern. This example is easy to spot. After two strong white Candles (signifying “up” days) at a logical end to a long uptrend, the tall black Candle (signifying a “down” day) [...]

Las Vegas is Welcomed at the Door of Pension Fund Management. “Make It All Back by Doubling Down.” Right. Make a photocopy of your next pension check.  Then frame it, put it in a safe place, and be ready to retrieve it and hang it on the wall as a memento of days gone by. [...]

A Candlestick “Hanging Man” bar formed in the Dow Industrials on January 8, 2010.  The Hanging Man” is bearish, but requires a lower Closing the next day for confirmation. Our Indicators, not shown on this chart, contain numerous other bearish signals. We have been awaiting the top end of this Great Rally of 2009 for [...]

October 16, 2009 – Traders on the USA Exchanges pushed, shoved, grunted, and shoved some more, but it didn’t work. They wanted in the worst way to make the Dow Industrials close above 10000, all to no avail, as the Dow closed at just below 9996 today. So we’re still beneath that psychological barrier. It’s [...]

How is the price of a stock or of an Index arrived at? Imagine a tug-of-war. Not your ordinary run-of-the-mill tug-of-war, but a supersized one. We’ll start with two ropes, not just one. Tie the ends of the ropes together, resulting, of course, in a knot. Set the ropes on the ground. Now take two [...]

Whistling Past the Graveyard Mr. Bernanke and his confreres in the Central Bank business have convinced themselves that they have saved the financial systems of the world from collapse.  They have done no such thing.  First of all, they spoke much too soon; secondly, they’re mistaken. For all of their wisdom and for all of [...]

Dynamic price moves consist of five waves, three of which are in the direction of the operative underlying trend and two of which are corrections, in the opposite direction.  The result is an up-down-up-down-up motion.  At the end of the fifth wave, prices will always be higher than they were at the beginning of the [...]

Candlestick Waterfall Along with all other major Indexes, the Russell 2000 declined today in a loss of 14.01 points (2.5%).  The sheerness of the drop, as displayed by a series of black Candlesticks cascading down in “Waterfall” fashion, which catches the eye and the imagination. Quite apart from the descent, we note the gaps, even [...]