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One of the strongest forms of confirmation is a double reversal signal.

For example, the current chart of Wal-Mart shows how two bullish reversal candlesticks show up on the price chart, and how to interpret them. In this case, candlesticks provide strong bullish signals even though momentum contradicts what these show. A skilled chart reader knows that when you get contradictory signals, you either have to wait out the signal trends or find strategies that benefit if the stock price moves in eit

Candlestick signals are worth following to find timing opportunities. As an example, check the latest blog post at TheStreet.com for Chevron stock. The chart includes candlestick signals highlighted: Chevron - potential profits from dividends and covered calls

You can discover the world of effective chart reading with Profitable Trading Strategies Using Candlestick Charting. This is a comprehensive and complete course on the nature of candlestick charting, offered exclusively by the Global Risk M

The candlestick signal, when confirmed, is a powerful tool for timing trades. To see an example of how thing works in a current chart, check the article about Kellogg Co. at TheStreet.com

You can discover the world of effective chart reading with Profitable Trading Strategies Using Candlestick Charting. This is a comprehensive and complete course on the nature of candlestick charting, offered exclusively by the Global Risk Management Community. By the conclusion of this course, you should be able

The trader’s dilemma: Even when you see a strong reversal pattern on a chart, how do you know it’s the real thing? The answer is that any indicator needs to be independently confirmed. This is where East (candlesticks) meets West (traditional technical analysis).

One of the favorite reversal signals used by day traders and swing traders is the volume spike. This applies especially on sessions with an unusually small trading range, the so-called narrow range day (NRD). So an NRD with heavy volume

A one-day session with a variety of interpretations is the spinning top.

This is a session with a relatively small real body of either color, showing up about mid-range in the session, and with both upper and lower shadows longer than the real body.

The signal can occur at the top or bottom of a trend, or even in the middle. It can also mean reversal or continuation. This depends on what other signals are found at the same approximate point in the chart. Reversal is most likely when it shows up at

Candlestick formations consisting of a single-session can be powerful signals of reversal that is just about to occur. The most popular among these are exceptionally long or exceptionally short candlesticks. Long white sessions or dojis (sessions with little or no real body) signal a bullish reversal at the end of a downtrend. And long black sessions or dojis signal a bearish reversal at the end of an uptrend. This “rule” is the basic observation of candlesticks. Any session that is exceptionall