Stock trading strategies are being developed every single day. The creation of stock trading strategies has become easy with a multitude of computer programs. Every day new stock trading strategies are being promoted. Tremendous results, through computer back-testing, is promised for future high profits. Surprisingly though, the results of the stock trading strategies do not correlate when going into future trading.

The basic benefit of Candlestick signals is that they have been proven. The results of Candlestick analysis have come from centuries of use. Not centuries of back-testing, but centuries of observations and successful utilization of the Candlestick signals. Stock trading strategies should be built upon existing results, not on back-tested results. Once you have found a basic building block for successful investing, stock trading strategies can be implemented with great success.

Candlestick signals work successfully because they are the visual results of patterns that have worked. Japanese Rice traders became immensely wealthy from using the signals. We would not be looking at Candlestick signals today if there was not credibility in their results. Successful stock trading strategies are not developed from back-tested results that “appear” that they could work in the future, the successful stock trading strategies are developed from what has actually been used in the past to produce profits.

Successful stock trading strategies should have some very simple features. They should not be difficult to implement. Many stock trading strategies are developed by using statistical information that has worked in the past and projected to work in the future. The disadvantage of not learning why those statistical results occurred leaves the investor high and dry when they do not work in the future. If you don't know what is broken, you don't know how to fix it.

The benefit of using Candlestick signals in honing successful stock trading strategies is that the psychology that forms the signals is very understandable. Knowing why the Candlestick signals are formed, the investor psychology that caused those signals to form, allows the investor to understand what should occur in the future. The Candlestick signals are a visual depiction of investor sentiment. Investor sentiment, fear and greed, will be the same two centuries in the future as it was two centuries in the past. Human emotions are what move prices. The Candlestick signals are the graphic depiction of those human emotions.

Learn the 12 major Candlestick signals and understand the psychology that forms the signals. You will forever have the insights into why prices move. Those insights put you in the category of the professional investors and what they analyze. This is not rocket science. This is simple visual analysis that has worked over and over.

Houston Seminar - A two-day, full training seminar on Candlestick signals will be presented in Houston, Texas on April 16th and 17th, 2005. The Candlestick Forum training seminars have immense benefits. Mr. Bigalow presents educational information on Candlestick signals in a very easy-to-learn fashion. Instead of trying to make Candlestick signals complicated, his trading techniques make Candlestick analysis very easy-to-understand.

Unlike other investment trading seminars you may have attended, where the presenters appear to be aloof, disappearing during the breaks, lunch, dinner and any other time during your stay, you will not find that in a Candlestick Forum trading seminar. Mr. Bigalow feels that if you have spent the time, money, and energy to come and learn Candlestick investing, he feels that he should make himself available the entire time. The information he provides is not presented by rote and then you are expected to learn it or not learn it. He makes sure that the knowledge you receive is fully understood.

The training program is a two-day “butt sore” and “brain frying” session. The information you receive will allow you to invest with a completely different perception the very next day. The association with other investors using Candlestick signals also becomes a valuable asset for mastering Candlestick analysis. There is a community of investors that help each other in their learning process. You will see their faces at the seminars and can exchange ideas.

The two-day training provides an investor with immediate improved trading capabilities. But that is just the beginning! Although an investor will trade better immediately after a Candlestick trading seminar, that does not mean the investor is left on their own. The Candlestick Forum includes extensive follow-up assistance to ensure that investors improve their Candlestick trading. This is accomplished via free access to the membership area of the website providing accessibility to Mr. Bigalow and the Candlestick Forum staff through the chat room, the discussion forum, the weekly training sessions, and free educational e-books and videos.

Take advantage of this source of knowledge. Gain the insights that Candlestick signals provide. Mastering some stock trading strategies can take years. Learning how to use the Candlestick signals through the Candlestick Forum's training opportunities allows an investor to master this successful trading method in a matter of months and even weeks.

Click here for more information on the Houston Candlestick Seminar

Market Direction - Monday, the Dow revealed an obvious Shooting Star/Doji. What could have been a potential breakout for the Dow, coming up through the resistance level, was immediately shown to have fizzled. The Shooting Star/Doji becomes a valuable signal for the Candlestick investor. Being able to identify it as a potential signal, the speculation that once the Dow broke through the resistance level there could be a strong rally, becomes modified. The general consensus was that once that level is broken through, that new heights in the Dow may be achieved. However, the Candlestick “sell” signal provides an immediate warning that this may be the top. That fact was immediately confirmed on Tuesday with a lower open. It was further confirmed Wednesday when the dark candle breached the halfway point of Friday's bullish candle.

After the Doji, the recent Candlestick Forum market comments suggested to start taking some profits on the longs and adding to short positions. Keep in mind, this was an easy analysis. The Candlestick signals that have worked for hundreds of years made themselves evident. The Candlestick “sell” signal portrays a high degree of probability that a reversal is about to occur. The stochastics, being in the overbought area, make the probability that much greater.

As can be seen in the chart, there are a few logical targets for the Dow to come back and test. While in that process, the short positions should be working fairly well. Being able to analyze the signals makes being in the correct direction of a trade highly favorable for a Candlestick investor. The Dow could test the trend line, the 50-day moving average, or the previous support/resistance level. If all of these fail, the 200-day moving average becomes a potential target.

DOW

Does this mean those targets will be reached? No, but it provides logical levels for starting to watch where Candlestick “buy” signals may be forming. Those are the levels that many other technical investors are watching. The advantage of knowing what the Candlestick “buy” signals look like provides a great advantage for analyzing what will happen at those potential support levels.

The NASDAQ index provides additional confirmation that the selling has come into the market. Tuesday formed a Bearish Harami. The credibility of this signal was enhanced by the fact that it occurred right on the 50-day moving average. The following day revealed the selling as the open gapped down slightly from the Harami signal. The high for Wednesday was right at the 50-day moving average again before selling off fairly hard. Once again, a trend line could be a support level or the 200-day moving average could be the next target. Each of those levels will be something to watch to see whether Candlestick “buy” signals are forming.

NASDAQ

When the direction of the markets can be identified, the confidence of placing long or short positions is that much greater. As seen in the Exide Technologies chart, a Bearish Engulfing signal occurring at a major moving average, with stochastics in the overbought area, AND the market indexes showing “sell” signals. This becomes an obvious short trade potential. The weakness on the following day provides an excellent entry point for shorting this stock. Once again, this is not rocket science. This is common sense investing practices, putting all the probabilities in your favor.

XIDE

Weekly training sessions - The Candlestick Forum is happy to finally be able to announce that the weekly training sessions will be starting this coming week. The webinar software was tested this week and appeared to be the quality of service that we were hoping for. The software allows Steve Bigalow to give an audio presentation while showing you live chart demonstrations. An additional function of this software is that it allows for a full-time chat room to be operating in the Member Area. This allows for the members of the Candlestick Forum site to have a constant flow of Candlestick investment ideas to be recognized, researched, and discussed. This will be a vast improvement for helping investors to continuously improve their Japanese Candlesticks education.

The Major Signals Educational Package - NOW ON DVD!

The response to the 12 major signals CD training program has been astounding. There has been strong feedback that the in-depth analysis of each major signal is done in a clear and concise manner. The learning process becomes very easy when all the elements of what makes for a strong successful reversal signal to work correctly is explained by Stephen W. Bigalow. Each 45-minute training session not only explains what indicators confirm the effectiveness of each of the major signals, but it goes into the investor psychology that was present that made each signal occur. Understanding the psychology of investors when a reversal is occurring is a tremendous insight into what makes prices move.

A New Twist to an Old Favorite!

DVDs of the 12 Major Candlestick Signals - For those of you that would like to thoroughly analyze the 12 major signals, the signals that will perform more reversal patterns prospects than most investors will be able to utilize, the eight hours of concise analysis for each signal is now on DVD's. For the investor who likes to get comfortable in front of their TV screen, this DVD set will provide the opportunity to relax and learn at the same time.

Over $509 of valuable Candlestick signal education, for identifying the most powerful Candlestick reversal signals, is now priced at:

$397.77

Do not delay, gain the understanding of how prices move. This is information that you will be able to use for the rest of your life. The profits that this information provides can be made in your account month after month after month.

Click Here for the 12-Video DVD Major Signals Newsletter Special

You should never be put in a position where you do not understand why trades are being made for your account. Whether those positions are being put on in your managed account, or a hedge fund, or your own personal trading, you should have a full understanding of whether those funds are being put in the right positions at the right time. The Candlestick signals applied with Candlestick analysis will become the education process for understanding how to maximize your potential returns in your own trading or being able to analyze whether a money manager has any concept of correctly timing the markets.

Good Investing!

- The Candlestick Forum Staff

www. candlestickforum.com