Read Stock Market Newsletters Or Learn Candlestick Signals.

Millions of investors read stock market newsletters every week. Millions of investors use stock market newsletter recommendations as their primary source for positioning trades. Why? Because they are looking for something or somebody to direct them on where to place their money. What is the basis for investors subscribing to stock market newsletters? It is usually hearing that the author of that newsletter has been making some good picks recently. The subscription numbers to the stock market newsletter shoot up for a while. Everybody is hoping that the author will continue the better than average performance.

However, the history of stock market newsletter recommendations is not very good. There are two basic flaws portrayed in a portfolio of stock market newsletter recommendations. First, consider what a stock market newsletter actually is. It is the evaluation of somebody analyzing what sectors or stocks should be doing well in the future. It can often be found that when stock market newsletters recommend a stock, they very rarely provide the criteria for getting out of losing situations. Their promo material exalts the winning trades but never mentions the losing trades. Secondly, most investors become familiar with newsletters when they are doing extremely well. That creates one major problem. When that newsletter track record starts going sour, the investor is right back where they started, not knowing what to do next.

As people may recall, Joseph Granville had a huge following in the late 1970's and early 1980's. He was constantly calling for a huge market crash. His flawless indicators kept indicating that the crash was coming as the Dow moved from 750 up to 3500. His subscribers took hellacious losses. Gilder was a god of the stock market newsletters with his picks in the high-tech area in the late 90s. Investors made a fortune with his recommendations as the market was going up and they lost fortunes after the crash of the Tech stocks in 2001.

The Candlestick Forum provides a newsletter that hopefully not only provides insights into the direction of the markets and stocks, but also educates investors on how to produce their own evaluations. A stock market newsletter should provide information that in investor can take with them for the rest of their life. It is great to be provided with information that can produce big gains. It is just as important to gain an understanding of how to deal with trades that aren't working. This newsletter that you are reading now, as well as the Candlestick Forum website, tries to illustrate how to participate in big profit trade situations and how to quickly eliminate the loss situations.

Market Direction - The Candlestick signals made the direction of the market much easier to evaluate this past week. As the last newsletter pointed out, the Evening Star signal that formed in the Dow was obvious. The fact that it occurred right at a major resistance level became that much more compelling. Once a pullback was anticipated, that creates the next question. Where will the pullback move to? The first logical targets were the 50 day and 200 day moving averages.

As can be seen in the Dow chart, the 200 day moving average became important. Wednesday's close was right on the 200 day moving average. Thursday's Spinning Top signal occurred right at that level also. This made the valuation fairly easy. The Spinning Top, a day of indecision, provided some very simple trend information. The trend was going to move in the direction of how they opened the prices the next day. Had they opened trading lower on Friday, it would have been obvious that the 200 day moving average was not going to act as support. On the other hand, as we witnessed, buying coming in after the Spinning Top signal would have been a fairly good indication that the 200 day moving average was acting as support.

The Dow

The NASDAQ gave bullish indications by opening at the same level that it opened on Thursday and the majority of the trading was to the upside. (A true Kicker signal would not have a tail to the downside. Although the tail is present, the overall gist of investor sentiment is still somewhat obvious, the Bulls were stepping in.) The NASDAQ does not appear to want to move away from the 50 day moving average. More buying on Monday would indicate that the uptrend was starting again.

NASDAQ

That is the obvious observation. What if the market sells off some on Monday? From what the previous two days indicate with the Candlestick signals, it would appear as if the market trend would be flattening out, the same type of trading we saw in the Dow during the last part of July and the early part of August. At least that would provide an outlook for market direction. Although it would be flat, it would provide the opportunity to zero in on the sectors that are acting well.

Sector Movements - There are some sectors that are getting obvious strength in this market. The manufactured housing sector, the lumber and wood products sector, and the steel sector have been acting well. The obvious reasons are that the building demands in the hurricane area are going to beef up company earnings.

Champion Enterprises has an excellent chart pattern that illustrates the demand for manufacturing housing stocks. Notice after the first big move up, the 50 day moving average, where it had a perfect buy signal, the profit taking was obvious. Also, viewing the Candlestick signals, it became obvious when the profit-taking was over. That made this chart another ‘buy' recommendation.

CHB

Autumn Special - Gaps represent enthusiasm to get into a position to the point that investors will pay prices away from any of the trading range of the previous day. Understanding how to exploit the information that a gap reveals provides opportunities to make huge trading profits. Order the training CD “Gaps at the Top” or the training CD “Gaps at the Bottom ”at $69.77 and select your choice of any other Candlestick Forum training CD, up to an $88.77 value, for FREE!  The 'Gaps' training CDs will provide valuable insights on how to use Candlestick signals more effectively. You choose the CD that you would like in addition to the “Gaps at the Top” or "Gaps at the Bottom" CD.

Autumn Special

Private Training Sessions – The analysis of what one market can do to another is easily evaluated when using Candlestick signals. The process for projecting market direction becomes relatively easy when a Candlestick investor can utilize the signals to evaluate all the markets that might be affecting the stock market. The better one can analyze the market direction, the much greater the profit potential.

Steve Bigalow spends a good amount of time during his two-day private training sessions demonstrating how to use the Candlestick signals to accurately evaluate market trends. Adding this information to the identification of high profit signal patterns allows an investor to control the profitability of their portfolio for the rest of their investment career. Don't miss the opportunity to gain some valuable knowledge first hand. The Candlestick signals produce an immense amount of analytical information. Whether trading stocks, commodities, Forex, or tulip bulbs, Candlestick analysis will dramatically improve your profitability. This information is taught in a very easy-to-understand manner.

October 1st and 2nd will be the next training session. The September session is filled. If you are interested in getting highly profitable insights on how to use Candlestick signals successfully, two solid days with Steve Bigalow are very worthwhile. The information you'll get from one of the sessions will pay for the session many thousands of times over. Seating is very limited.

If you would like more information on the training sessions, please contact us by email immediately. We will provide you with all the information you require for attending the next class. To contact us by phone, please dial our toll free number: 1-866-251-4015. Contact us now, spaces are filling up fast.

Private Training Lesson Plan

Monday Night 'Members Only' Chat Session – The next Monday night chat for members will be on September 19th. The topic will be "Money Management". Members, we'll see you Monday night at 8:00 p.m. Eastern time.

Become a Member of the Candlestick Trading Forum

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