Japanese candles. Method for analyzing stocks and futures. Gregory Morris
For many years, the method of analyzing the stock and forex markets using Japanese candlesticks has been one of the leading areas of trend research.
There are a lot of candlestick models that allow you to predict with high accuracy a change in the prevailing trend or, conversely, confirm its strength.
The best way to understand how this method works is to read the book written by Gregory Maurice, “Japanese Candlesticks.
A time-tested method for analyzing stocks and futures." In it, the author tried to focus his attention on the most working models, and most importantly, tell how these models can be used in practice.
It was practical application that became the main goal of the book; in it you will find not only a description of strategies, but testing on specific stocks and futures .
1. Basic principles - as is clear from the title, the chapter provides a description of the basic principles on which candlestick analysis is based.
2. Candlestick lines - a classification of individual candles by shape and size, as indicated by the appearance of the candle.
3. Reversal patterns - combinations that warn the trader about the high probability of a change in the existing trend.
4. Continuation patterns - which of the candlestick patterns can confirm that the existing trend is only intensifying.
5. Methods Socats and candlestick formations - examples strategies based on the use of Japanese candlesticks.
6. The philosophy behind the indication of candlestick patterns - and in simple words, what is the essence of the method in question.
7. Reliability of pattern recognition - how effective is candlestick analysis if you analyze the statistics of transactions based on it.
8. Filtering candles - how to recognize false signals, using indicators as assistants.
9. Derived graphical methods - what are CandlePower charts and how to use them to control volumes.
The book made a pretty good impression and can definitely be recommended to anyone who likes to use technical analysis based on Japanese candlesticks in trading.
You can download the book in one of the online stores
Section of the site dedicated to Japanese candlesticks - https://time-forex.com/ys