Japaness candlestick help!

[boomer]

any of you guys ever heard of a frypan bottom or a dumpling top !

I ask because I am hoping qmnm makes the frypan 

[boomer]

well no gap up this AM so it's not going to frypan today 

[Dr PennyStock]

any of you guys ever heard of a frypan bottom or a dumpling top !

  , never heard of that, I am too old.

[boomer]

any of you guys ever heard of a frypan bottom or a dumpling top !

  , never heard of that, I am too old.

you never read NISON's Book    IMO it's the only one worth the paper it's printed on

http://www.amazon.com/Japanese-Candlestick-Charting-Techniques-Second/dp/0735201811/ref=sr_1_1?ie=UTF8&s=books&qid=1216998159&sr=1-1

it was this dude that went to Japan and brought this Technique back to the western world and there's a lot of stuff in there you will not find anywhere else 

[Dr PennyStock]

you never read NISON's Book  Huh  IMO it's the only one worth the paper it's printed on

I've never read any book about stocks or T/A, I've learned the hard way, it's the best, I am a self-made Technical Analyst, I began from the 0 without any help, only my brain  .

I will tell something that always shock the people when I say this, but, for me, all the books about stock markets are just trash, even the book of Jesse Livermore.

[tu]

Ahhhhhh!!!

Sounds like you're the real deal Doc.  Street Smarts... can't beat it... and all the natural tools for success.

But still, there might be some valuable tidbits of info we can glean from these guys in the area of pattern analysis. Honestly though, I haven't bought any of their material, so I really can't say. 

This was the first I've heard about the FRYPAN or Dumpling Top pattern. The cup with the common handle on diminishing volume formation I've seen often in the bottoming patterns  with uptrends seemingly being established shortly afterward. 

Also, the double tops or M's, triple tops or head and shoulders, I've tried to study and understand as they indicate overbought situations.

These other patterns are probably derivatives of these formations. But, without all other indicators providing the proper signals, they hold little value to me.

I like Doc's approach of Keep it Simple, but still like to study all the patterns and think they're relative to the actual market sediment.

Thanks again Vegas for the URL

B

[boomer]

you never read NISON's Book  Huh  IMO it's the only one worth the paper it's printed on

I've never read any book about stocks or T/A, I've learned the hard way, it's the best, I am a self-made Technical Analyst, I began from the 0 without any help, only my brain  .

I will tell something that always shock the people when I say this, but, for me, all the books about stock markets are just trash, even the book of Jesse Livermore.

Thats most likely why your ahead of the game. several books out there are just pail copy's of the work done by people like Steve Nison , Robert D. Edwards, John Magee and John J. Murphy. (I.E. you did not get a lot of the disinformation) But the problem is that your missing out on a lot of formations that could be used to help you make money and it makes it hard if we do not use a vocabulary that we all understand IE. Raising and Falling three methods, frypan, dumpling , Tower tops and bottoms, Tri-star tops and bottoms, as well as all the different doji's ( Rickshaw Man, Gravestone, Dragonfly, and northern and southern ). Doc I highly recommend you buy Nison's book, if you only learn one formation that you did not know already it will pay for it's self. and at the very least you will know what someone is talking about when they say WOW that was a tower top.

The more tools in your box the easier the job.

I would Like Quote from Nison's book page 267 

" Candle charts are so popular and powerful that they are replacing bar charts, but that does not mean I only use candle indicators. While candles techniques are powerful, they are more potent when joined with other charting tools. This is the advantage of candle charts. With them you can use candle techniques, Western techniques, or a combination of both. Experienced technicians will find that the union of Eastern and Western techniques creates a wonderfully exciting synergy "

PS. I am the poster childed for dyslexia (thank god for spell check) and I found Nison's book very easy to read. I think you could finish it in a couple of days

[boomer]

Ahhhhhh!!!

Sounds like you're the real deal Doc.  Street Smarts... can't beat it... and all the natural tools for success.

But still, there might be some valuable tidbits of info we can glean from these guys in the area of pattern analysis. Honestly though, I haven't bought any of their material, so I really can't say. 

This was the first I've heard about the FRYPAN or Dumpling Top pattern. The cup with the common handle on diminishing volume formation I've seen often in the bottoming patterns  with uptrends seemingly being established shortly afterward. 

Also, the double tops or M's, triple tops or head and shoulders, I've tried to study and understand as they indicate overbought situations.

These other patterns are probably derivatives of these formations. But, without all other indicators providing the proper signals, they hold little value to me.

I like Doc's approach of Keep it Simple, but still like to study all the patterns and think they're relative to the actual market sediment.

Thanks again Vegas for the URL

B

"These other patterns are probably derivatives of these formations. But, without all other indicators providing the proper signals, they hold little value to me"

indeed some of the patterns are the same or very close IE a three mountain top could be seen as triple tops or head and shoulders. but others are completely different. I seem to have the best results when the western TA, candle's and fundamentals all say the same thing   

[tu]

So  Boomer, when when you say western T/A, do you mean bar charts?

If so, I've also been experimenting with the bar charts as they seem to help me see price action from a different visual perspective.  For example, the two legs in many bottoming formations seem to stand out much better, providing an additional acknowledgment to the other indicators signaling a bottom being formed.

I've only started doing this as an experiment but think I'll continue with it.

After discovering the candle charts, I thought that I would never use the bar charts, but am discovering them to be an additional visual aid from a different angle.

Regarding vocabulary, I've been practicing the stock market and chart analysis lingo with my brother inlaw to try to ingrain it in as a second language.

As a matter of fact, just earlier today, I was telling him that I want him to learn the terminology of our trading expeditions as I learn them.

That way, we're in sync with less time trying to explain things out.

I find that sometimes I can get information overload and then lose concentration of the immediate subject at hand.

But a little tidbit here and there would sink in much better. Maybe in some of your posts you could toss in a formation with a short explanation of the market sediment surrounding it!  Also, some critical candle formations and their meaning.

[boomer]

"So  Boomer, when when you say western T/A, do you mean bar charts?"

>>>> Not really I mean triangles, wedges, pendents head & shoulders patterns ( any thing you might find in this book http://www.amazon.com/Technical-Analysis-Trends-Robert-Edwards/dp/9659124139/ref=sr_1_1?ie=UTF8&s=books&qid=1217253756&sr=1-1 )

"I've only started doing this as an experiment but think I'll continue with it.

After discovering the candle charts, I thought that I would never use the bar charts, but am discovering them to be an additional visual aid from a different angle."

>>>>> I seem to be able to the western patterns while the chart is set to show candles ( I have noticed that wick line can throw off where you might want to draw trend lines )

"Regarding vocabulary, I've been practicing the stock market and chart analysis lingo with my brother inlaw to try to ingrain it in as a second language.

As a matter of fact, just earlier today, I was telling him that I want him to learn the terminology of our trading expeditions as I learn them.

That way, we're in sync with less time trying to explain things out.

I find that sometimes I can get information overload and then lose concentration of the immediate subject at hand.

But a little tidbit here and there would sink in much better."

>>>> Thats cool I am glad you have some to bounce ideas off of. I am sure you will "sink" in no time

"Maybe in some of your posts you could toss in a formation with a short explanation of the market sediment surrounding it!  Also, some critical candle formations and their meaning."

>>> Thats a good idea I'll try and remenber to add that info to my posts

[Dr PennyStock]

boomer

I will never buy any book, I don't need that, and, this is not arrogance, it's just because I don't need it, also, I talk much about candles, but, almost nothing about patterns, because they are not important to the short-term, candles are.

[boomer]

boomer

I will never buy any book, I don't need that, and, this is not arrogance, it's just because I don't need it, also, I talk much about candles, but, almost nothing about patterns, because they are not important to the short-term, candles are.

I don't really don't know what to say to that Doc. except you can lead a horse to water but you can't make him drink. 

[Vegas]

any of you guys ever heard of a frypan bottom or a dumpling top !

I ask because I am hoping qmnm makes the frypan 

No, but I feel like I am in a damn frying pan a lot of the time with my stock choices... 

[Dr PennyStock]

I don't really don't know what to say to that Doc. except you can lead a horse to water but you can't make him drink.

It's the first time someone call me horse  .

Now, serious, the patterns are not so important, the candles yes, are very important.

[tu]

Oh, that's western T/A is Boomer. I've studied some of those patterns a few months ago on a few websites when I first started learning this stuff.

I only know a few of the basic patterns and try to be watchful when they appear. People are creatures of habit and follow through patterns everyday. I think there is some logic to pattern analysis in relation to market sediment, but it's not an exact science, only a  "stand back and take a look at the forest" type of indicator that may, or may not PAN out:)

When I bought my first stock back in June, PON.V,  I was all excited seeing a pattern developing. It was a pole and flag or triangular formation from an uptrend that I thought was in a consolidation phase.

The volume was diminishing which I also thought was indicating the preparation for another move up.

Boy, was I wrong. But I'm still holding as I'm now using Doc's indicators and believe that the potash stocks, for example Potash Corp. the leading company in this sector, will turn around soon.

QMNM for instance, was another picture perfect "flag on a pole" on diminishing volume, yet didn't make the move that I thought it would.

I'm not casting patterns aside. I'll only keep them in the back of my mind to see how they "PAN out" (get it, ha ha in various situations.

I'm still fascinated how Doc knows his stuff but he's still a pattern expert but in a different area. The area of candle analysis.

I think if Doc can read the candles so well on these volatile and somewhat manipulated pennys his fine tuned intuition would do exceptionally well on more stable stocks.

I'm trying to learn as much as I can from you Doc