Beginners' club - Candlestick analysis

[4xpipcounter]

Hi Dan!
It could be confusing to someone, but that is why I welcome all questions and comments.

FYI, the top and bottom charts are the same color scheme.
The ones with the purple background were changed to the light green. That was just a change I made for me. Those are my main charts that I use for my main forecasting for my trading. Those charts have all my forex, along with oil, gold, silver, DAX, DJIA, etc. I only trade the 28 main forex pairs, and 90% of all my trades are used with the main 11 as featured in my Weekly Forecast.

The light brown background is my Nifty charts from that demo that features Nifty. I track Nifty for the obvious reason. If I was in any other forum, Nifty would not even enter my thoughts.

Most of the charts as seen in this thread are the stocks as gotten off Chartlink.

The ones with the gray background are the ones I use to exhibit showing price action, and thy are the ones featured on the hedge account that I am a hedge fund manager for.

The different color schemes are for my aggrandizement , so I don't get confused. I once kept them all consistent and punched up a trade on a demo account. It took off perfectly, while bankrupting my demo account and receiving no benefit on my personal. I have more money in my personal than I do my demo which created the problem. The demo is no problem. As we know all the brokers have lots of demo money to pass around. The issue is obvious. I'm not missing a personal trade again because of consistent looking charts.

Do keep this mind, and the one thing that will always be consistent and that is the colors for my S&R's, TL's, and chart S&R's. That came from the origination of my S&R software. The daily is blue, weekly is red, the monthly is maroon on the TL's, and yellow on my S&R's, and I came up with chartreuse for my hourly.

Personally, I never felt color schemes were an issue. Everytime we visit a thread, the colors are different, because the ops are different. Nevertheless, I'm glad you asked, as maybe others had the same question without asking it.

Hi Paul

Just my two cent to your charts with all my respect to your knowledge:

http://img62.imageshack.us/img62/8183/27874884.gif

Next one:

http://s10.postimage.org/ofl4rckex/image.gif

Next one:

http://s13.postimage.org/8b2e9a8mv/image.gif

Next one:

http://s15.postimage.org/ccnm9b9e3/image.gif

Isn't it a bit confusing with all this changes of colors all the time, isn't it ?

No way to use always the same color system ? Just a simple question.

Dan

 

[DanPickUp]

Dear Paul

Thanks for your answer and explanations.

Seems that we all like to have other ways of charting. I prefer to have always the same colors for my studies on any time frame but will try to input your ideas from today and make some changes which suit my color style.

Thanks

DanPickUp

 

[4xpipcounter]

That is what I like about forums such as the one we are in. It was a forum similar to this one I learned the 1-2-3. I added my own twists, but that is what makes what we do so personal.

Of course, the flip side is that as established traders, about 99% of everything that is presented as new information is rejected.

Dear Paul

Thanks for your answer and explanations.

Seems that we all like to have other ways of charting. I prefer to have always the same colors for my studies on any time frame but will try to input your ideas from today and make some changes which suit my color style.

Thanks

DanPickUp

 

[DanPickUp]

As it was an off topic, I deleted it.

 

[iyerboi]

Paul Sir.... this might also be a Bullish 1-2-3 on HeroMotoCorp..... 1 is on 27th Jan and 3 on 6th Mar.... and cloud also provided support to it...

Hi Paul, Aditya,

Just did a quick read on the 1-2-3. Couple of queries:

1/ Is the Jan 9; Jan 23 and its break ard 6 feb an ideal 1-2-3?

2/ When is it appropriate to act on a 1-2-3 formation - on the break of swing high forming the 2? (with SL at the swing low at 3 i presume) OR immedly after the formation of 3?

3/ Are there possibilities of consecutive 1-2-3s forming?

Thanks.

 

[iyerboi]

Hi Paul, can you show me how you would have traded this chart - entries/SLs/ exits?

I entered by shorting at the swing high that formed first (just under 5240) - entered rt after the bearish candle that came after the peak (just under 5230). I was stopped out.
(I entered cuz (1) i though it was a bearish engulf - though not a perfect one, took my chance. (2) The market had made a swift protracted move and from my past experience, it falls after such swift moves)

I shorted when it rose again, this time on noticing the dark cloud at the slightly higher level - just a lil above 5230 and covered on reaching my target of 400 bucks.


Btw, have i got the TLs correct? - new to this thing. Have primarily taken trades based on candlesticks,

 

[4xpipcounter]

IYB, you have some excellent questions. I'll need about 24 hours to answer them. I still have not done my Weekly Forecast and it needs to get done. Having 5 grandchildren and 2 of their friends has also inhibited progress, along with Tucker needing his daily walk, etc, etc.

 

[timepass]

Btw, have i got the TLs correct? - new to this thing. Have primarily taken trades based on candlesticks,

Also, if the price is getting too far from the TL, is it the time to reconsider the TL ?? Or time to reconsider the price action ?? All TLs break, can it be predicted, maybe by drawing some branches etc.. I don't know, but hope you get the gist of my query.

 

[iyerboi]

Also, if the price is getting too far from the TL, is it the time to reconsider the TL ?? Or time to reconsider the price action ?? All TLs break, can it be predicted, maybe by drawing some branches etc.. I don't know, but hope you get the gist of my query.

yes...i think so. im just learning to draw them. but the source from whr i learnt my abc says so and it all seems pretty logical. but would like to hear it from someone who does it day in and day out.

on a related to note? what exactly is price action, ive travelled ard in the forum but still in a fog. is it price-vol study?

 

[iyerboi]

IYB, you have some excellent questions. I'll need about 24 hours to answer them. I still have not done my Weekly Forecast and it needs to get done. Having 5 grandchildren and 2 of their friends has also inhibited progress, along with Tucker needing his daily walk, etc, etc.

no prob at all! - take ur time mr.grandpa (JK, lol - never imagined you being old, my guesstimate would at best have been late 40s ) the internet can throw up funny instances :lol: :rofl: