Profitable Candlestick Trading: Pinpointing Market Opportunities to Maximize Profits (Wiley Trading) - Hardcover

Bigalow, Stephen W.

Hardcover

ISBN 10: 047102466X ISBN 13: 9780471024668

Publisher: John Wiley & Sons, 2002

Synopsis

Unlock the secrets of an ancient charting tool
The most ancient form of charting, the Japanese candlestick method has become an extremely popular analytical tool among the new generation of traders. However, because of the aura of mysticism surrounding candlesticks and the arcane terminology typically used to describe them, many traders in the West never really learn how to use them properly and exploit their full potential. Profitable Candlestick Trading demystifies candlesticks for today′s traders. With the help of numerous real–world examples, Bigalow clearly explains how candlesticks work, how to read them, and how to maximize profits with them. Bigalow shares some of his original candlestick–based trading programs, the same programs which have yielded impressive results for his clients at leading financial firms in the United States and abroad.

About this title

About the Author

STEPHEN W. BIGALOW has studied and implemented Candlestick analysis in investment programs for over fifteen years. Currently, he consults with the Enron Corporation on formulating trading programs in their energy and power trading areas. Other firms are using his knowledge of Candlestick signals to enhance timing functions on their fundamentally based investment programs. Prior to becoming a consultant, Bigalow spent eight years in investment counseling with several major Wall Street brokerage firms including: Kidder, Peabody Co.; Cowen Co.; and Oppenheimer Co. Thereafter, he spent twelve years applying Candlestick signals to successful commodity trading strategies.

From the Back Cover

Profitable Candlestick Trading

Pinpointing Market Opportunities to Maximize Profit

Misunderstood by investors for years, Japanese Candlestick charting and analysis has been described as too complicated to learn and too labor–intensive. Now, Candlestick trading expert Stephen Bigalow dispels these notions and demystifies the process of this valuable and successful technical analysis tool in Profitable Candlestick Trading: Pinpointing Market Opportunities to Maximize Profit.

In accessible and easy–to–understand language, this book bridges the gap between past wisdom and contemporary practice to give any level of investor a complete understanding of this proven, profitable, and time–tested investing technique.

"A superb exposition of Japanese Candlesticks: the oldest method of technical analysis developed more than 400 years ago. The book offers a thorough review and evaluation of this increasingly popular method of market analysis. A great source of information both for an experienced trader and a novice in this field."
–Vincent Kaminski
Managing Director, Enron Corp.

From the Inside Flap

Tested, proven, and successful, Japanese Candlestick charting and analysis is one of the most profitable–yet underutilized–ways to trade the market. In Profitable Candlestick Trading: Pinpointing Market Opportunities to Maximize Profits, Candlestick trading expert Stephen Bigalow shows you how to recognize and harness the power of Candlestick signals as well as implement them into a profitable trading system. Signals created by this unique technical analysis method–represented in the form of graphic "Candlestick" formations–identify the immediate direction and effects of investor sentiment through price movements, and allow you to trade profitably by realizing trend reversals before other investors do.

This step–by–step guide makes learning the Candlestick method a fast and easy process by introducing specific patterns as well as the "psychology" behind each pattern that develops in a chart. Incorporating the common sense and logical disciplines that most investors are aware of, but ignore, Profitable Candlestick Trading opens with a detailed look at the most valuable aspect of technical analysis–reversal patterns–while explaining major reversal signals such as the Doji, the Hammer, the Hanging Man, Engulfing Patterns, and Dark Cloud Cover. Although most Candlestick signals are reversal patterns, this comprehensive guide also addresses continuation patterns and explores how they can help with the decision–making process during certain trading periods. Mastering the Candlestick method will revolutionize your investment–thinking process.

Profitable Candlestick Trading dispels the notion that Candlestick techniques are too labor–intensive. Using software search programs allowing you to visually evaluate hundreds of charts in a matter of minutes, you′ll quickly learn how to search and view Candlestick formations. Moving from theory to practice, this guide shows you how to find trading situations that have the maximum potential for profitability; the highest probability of succeeding; and the least amount of downside risk. By exposing you to the profitable combinations of signals, price moves, and stochastic positions apparent in a number of common patterns–such as the Jay Hook pattern–this book will speed up your recognition of the process and increase your profits with each trade whether for a one minute, one day, or one year hold.

With tools in hand, you′ll begin to learn about the built–in advantages of the Japanese Candlestick methodology. Bigalow shows you how to coordinate Candlestick analysis with simple but disciplined trading rules to form an extremely profitable investment program that utilizes these advantages to their fullest. Whether you′re dealing in stocks, commodities, or futures, Profitable Candlestick Trading gives you the advice, knowledge, and techniques necessary to enter the markets with confidence and exit with profits.

In providing an in–depth understanding of how Candlestick charting works–across a variety of investment vehicles–this comprehensive guide allows you to control your own investment future and produce profitable results that go far beyond other investment programs. Your investment abilities will be dramatically improved forever.

Edition details

• Publisher: John Wiley & Sons
• Publication date: 2002
• Language: English
• ISBN 10: 047102466X
• ISBN 13: 9780471024668
• Binding: Hardcover
• Number of pages: 336