Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder :...
Transcript of Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder :...
![Page 1: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/1.jpg)
Presented by Steve Nison,CMTCEO and Founder : Candlecharts.com
Common Candle Mistakes A special presentation for the MTA
![Page 2: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/2.jpg)
![Page 3: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/3.jpg)
CANDLES GIVE YOU TWICE THE INFORMATION AS A BAR CHART
![Page 4: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/4.jpg)
Who’s in control?
Who’s in control?
![Page 5: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/5.jpg)
![Page 6: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/6.jpg)
Common Mistake
![Page 7: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/7.jpg)
www.candlecharts.com
Long Upper Shadows
![Page 8: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/8.jpg)
www.candlecharts.com
Long Lower Shadows
![Page 9: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/9.jpg)
Common Mistake
![Page 10: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/10.jpg)
www.candlecharts.com
Importance of Trend
NOT a bullish engulfing pattern
![Page 11: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/11.jpg)
www.candlecharts.com
This is interesting: I recently purchased a
technical analysis package from a “WELL
KNOWN” technical analysis
guru. …During a strong uptrend, he called a
large white real body after a small black real
body a bullish engulfing pattern. If I hadn’t
bought and studied your education , I
would never would have known that and
would have assumed that he was right. And
could have lost a lot of money!
Thanks again for your great work!
-Carl
![Page 12: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/12.jpg)
Is it a valid Candle Signal?
Not a Bullish Engulfing Pattern!
![Page 13: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/13.jpg)
Common Mistake
![Page 14: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/14.jpg)
![Page 15: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/15.jpg)
Taguri candlestick
A chance to buy at the bottom
A Taguri is a candle with a bottom shadow. It is almost the same as other candles with bottom shadows that we have talked about, but here the white body is small, and the bottom shadow is relatively long. If this occurs after a decline (or when prices are low) it is considered a strong candle, and hints of a bottom. This is to say that it’s a selling climax, where the bears sold their shares, there was an interruption in the selling, and the stock rebounded to the main body of the candle. So with no more selling coming, buying here will not lead to a loss in the intermediate or long term, and the price has likely formed a bottom.When looking at the charts, this type of taguri candle appears frequently near bottoms or after the market has gone flat after a bottom.You can say that the buyers in the market have become stronger than the sellers, or you can say that the bears have done all of their selling, and the market recovered with only a little buying. The market is headed to higher values because this is indicating a change in balance between buyers and sellers.So if you see this candle, if you survey other conditions and then you buy, you can’t go wrong.
Trend Overbought/OversoldImproving %s
Trade Management Psychology
behind the pattern
Candles in Context
![Page 16: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/16.jpg)
www.candlecharts.comwww.candlecharts.com
Is this doji telling us there is something
different about the market?
![Page 17: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/17.jpg)
www.candlecharts.com
Doji candles in context
![Page 18: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/18.jpg)
![Page 19: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/19.jpg)
www.candlecharts.com
The Multiplier Effect
Where a Nison candle signal confirms another
indicator
![Page 20: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/20.jpg)
![Page 21: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/21.jpg)
www.candlecharts.com
East + West = Higher Confidence
Hammer atSupport
![Page 22: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/22.jpg)
www.candlecharts.com
East + West
Falling window
![Page 23: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/23.jpg)
![Page 24: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/24.jpg)
www.candlecharts.com
Volume
Higher volume on white candle
compared to black on this bullish
engulfing pattern magnifies the
likelihood of a reversal
![Page 25: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/25.jpg)
© Steve Nison’s Candlecharts.com
![Page 26: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/26.jpg)
![Page 27: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/27.jpg)
www.candlecharts.com
“Box Range” targets
target
target
![Page 28: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/28.jpg)
www.candlecharts.com
Box Range targets
![Page 29: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/29.jpg)
www.candlecharts.com
Using Measured Moves
![Page 30: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/30.jpg)
Common Mistake
![Page 31: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/31.jpg)
Going in the direction of Breakout
Momentum Trading
![Page 32: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/32.jpg)
www.candlecharts.com
Use the highest high of
those two sessions (top
of upper shadow) as
resistance
www.activeinvestorblueprint.com
![Page 33: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/33.jpg)
Doji as resistance
breakout
![Page 34: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/34.jpg)
![Page 35: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/35.jpg)
www.candlecharts.com
![Page 36: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/36.jpg)
Candlestick Charting
Techniques
Candlesticks +Western
Indicators
Candlesticks + Trade Management
![Page 37: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/37.jpg)
![Page 38: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/38.jpg)
![Page 39: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/39.jpg)
Common Mistake
![Page 40: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/40.jpg)
A candle signal – even if it confirms other indicators – is not enough of a reason for a trade. You must always consider risk/reward
![Page 41: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/41.jpg)
www.candlecharts.com
Which is a better
trading signal?
Bearish engulfing pattern
Shooting star
![Page 42: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/42.jpg)
www.candlecharts.com
Waiting for time to ripen
Classic bearish
engulfing pattern:
But what about
risk/reward aspect?
![Page 43: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/43.jpg)
www.candlecharts.com
Classic Hammer at Support but…
![Page 44: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/44.jpg)
www.candlecharts.com
Great signal but poor R/R
![Page 45: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/45.jpg)
www.candlecharts.comwww.candlecharts.com
Bull Separating Line
![Page 46: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/46.jpg)
Why I went long:
1) Bullish engulfing at
support
2) Trend line breakout of price
Was this a good trade that just didn't work out or did I make a mistake in judgment that I can't see?
Thank you,Gary B
Nison Insider Access - Sample Question
Support
Bullish engulf
![Page 47: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/47.jpg)
© Steve Nison’s Candlecharts.com
![Page 48: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/48.jpg)
www.candlecharts.com
Resistance
Closed overResistance-Do you buy?
1) What bullish candle signal is this?2) Based on this signal would you Buy? Why or why not?
Candles in Context
![Page 49: Common Candle Mistakes - CMT Association · Presented by Steve Nison,CMT CEO and Founder : Candlecharts.com Common Candle Mistakes A special presentation for the MTA](https://reader035.fdocuments.net/reader035/viewer/2022081421/5ac331507f8b9aae1b8c1847/html5/thumbnails/49.jpg)
Special Pricing and Bonuses END Sunday Dec. 4
Questions?
[email protected] access automatically discounted- No special code needed
www.candlecharts.com/ncs
Extra Bonus- if you can choose the monthly plan, and then decide on lifetime within first month, you will get full credit from that month applied to the lifetime.