Tag Archives for " Candlesticks "

Top 5 Favorite Candlestick Patterns

Since the beginning of TradeSmart, we have often been asked by students which candlestick patterns are the best? They may change the question around a little bit to which ones are the most reliable or is such and such pattern better than this pattern. Regardless of how the question is phrased, it always comes down […]

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Top 4 Mistakes when Trading Chart Patterns #4

Chart patterns are one of the best tools technical traders have for anticipating market sentiment shifts. However, as great as they are, chart patterns are often misunderstood and misinterpreted. Over the past three weeks, we have been sharing the top four mistakes traders make with chart patterns, mistakes which often lead people to think they […]

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Top 4 Mistakes When Trading Chart Patterns #3

One of the big challenges when trading chart patterns is the tendency to have ambiguous rules for what qualifies as a pattern. It would be nice if we could sit here and tell you, “a double top pattern always takes four weeks to develop, it has a 3% retracement between point A and point B, […]

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Top 4 Mistakes When Trading Chart Patterns #2

One of the top mistake traders can make is the failure to wait for confirmation. Waiting for a confirmation is one of the most effective way to increase the consistency and the profitability of trading chart patterns. After all, a chart pattern itself is a setup, and just because something sets up it does not […]

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Top 4 Mistakes When Trading Chart Patterns #1

Chart patterns are a great addition to every trader’s toolbox. They help increase a trader’s insight into trading sentiment and ultimately give indications as to the next likely move. Unlike some of the newer techniques and gimmicks in the world of trading, chart patterns are a time-tested trading technique that has proven to be a […]

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How To Use Candlestick Patterns for Day Trading

One of the most frequent questions I get regarding candlestick patterns is how to apply them to the day trading scenario. You have probably noticed by now, that many of the candlestick reversal patterns include a small gap somewhere in the pattern. This is fine on a daily chart, but when you are day trading, there […]

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How to Analyze a Stock in 10 Minutes or Less

Around the world of would-be stock traders, one central question seems to be common:​Which stock is about to go up?I’ve been teaching in the stock trading world now for almost nine years. Undoubtedly, when I meet someone, and they find out what I do, this is their first question. However, I always meet their question […]

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Why Are Candlestick Patterns so Black & White?

A while back, Jerome responded with a question to my post, “My Top 5 Favorite Candlestick Patterns”. He asked:So, if they are my favorites, why not paint them green & red? Jerome, this is a great question. It’s also a question I happen to get a lot, so I thought I would address it in a […]

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How To Trade A Channel

What is a Channel?What is this mysterious thing that you sometimes hear about? Well here’s what happens, sometimes a stock gets stuck, and it’s moving sideways between support and resistance. Anytime you see that happening; when a stock gets stuck in what we call a trading range, moving between support and resistance, we call that […]

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The Secret to Predicting Stock Market Prices with Chart Patterns

Since the dawn of capitalism, people have been trying to find new ways to predict what is about to happen next. Some methods seem to work fairly well for a season, and then suddenly they appear just to stop working. Chart patterns are not one of these methods.Chart PatternsChart patterns are one of the few […]

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