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Trade Signal Reliability
The issue of trade signal reliability is
debated by economists, supported by
those who make their living doing technical
a...
Despite the doubts of some, traders
have trusted for centuries in trade
signal reliability and their ability to use
tradin...
Before We Continue…
Click the links below to get your
FREE training materials.
Free Weekly Investing Webinars
Don’t miss t...
In this article we talk about trade signal
reliability from the viewpoint of a short
term investor or even a day trader bu...
Using Candlestick charting techniques
and plotting Candlestick pattern
formations traders have accurately
predicted price ...
Some of the issue of trade signal
reliability lies in the skill of a short term
investor, swing trader or day trader in
re...
To the degree that trading certain
signals works better for a given trader
he or she will be well advised to use
what work...
Theory versus
Practice
Traders believe in trade signal reliability
because it works in their hands.
Economists who write papers about
trade signal reliability and technical
trading in general will question if these
concept...
The experts, however, have the
capacity to study any problem to death.
The practical aspect of trading is to
take what looks promising and try it.
Keep what works and don’t use what
does not work.
Traders going back to the days of the
Samurai in Japan recognized patterns
in trading rice.
Those who bought and sold after
recognizing certain patterns in price
prospered.
If someone had asked one of these
successful traders about trade signal
reliability they might have indicated
signs of the...
As far as long term investors are
concerned they typically do not use
technical trading techniques for short
term investme...
They may be experts in what they do
but they are not experts in short term
investing and trading.
Forest, Trees and
Trading Patterns
As a practical matter trading signals
can, at times, be hard to read. Is there
really a pattern developing?
This can happen with online trading
software and with Candlestick chart
formations.
The practical response is that if the
pattern is too hard to read maybe it is
not the pattern you think it might be.
The famous baseball pitcher, Satchel
Page, once joked that the reason he
sometimes took what seemed to be a
long time befo...
Likewise, you will do not lose money on
trades and investments that you do not
make.
When investing with candlesticks, if the
pattern is unclear don’t trade it!
Some signals work better for some
traders than for others.
This is part of why doing routine audits
of trading results is so important.
No one needs to buy, sell or trade all
equities in every market in all market
sectors and in every market condition.
It is a wise person who knows his
strengths and trades with them, who
knows his weaknesses and avoids
making the same mist...
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Trade Signal Reliability

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Trade Signal Reliability

The issue of trade signal reliability is debated by economists, supported by those who make their living doing technical analysis, and debunked by those who only believe in fundamental analysis tools such as the price to earnings ratio, price to sales ratio, and indicators of intrinsic stock value. Despite the doubts of some, traders have trusted for centuries in trade signal reliability and their ability to use trading tools such as Candlestick analysis to garner profits in trading and in entering and leaving investments most profitably. In this article we talk about trade signal reliability from the viewpoint of a short term investor or even a day trader but the lessons learned apply to anyone who wants to most profitably enter and exit stock positions. Using Candlestick charting techniques and plotting Candlestick pattern formations traders have accurately predicted price movement in commodities trading, stock trading, futures trading, and options trading. Some of the issue of trade signal reliability lies in the skill of a short term investor, swing trader or day trader in reading trading signals. A wise trader will routinely audit his or her trading results. To the degree that trading certain signals works better for a given trader he or she will be well advised to use what works in their hands.

Theory versus Practice

Traders believe in trade signal reliability because it works in their hands. Economists who write papers about trade signal reliability and technical trading in general will question if these concepts work in practice. The experts, however, have the capacity to study any problem to death. The practical aspect of trading is to take what looks promising and try it. Keep what works and don’t use what does not work. Traders going back to the days of the Samurai in Japan recognized patterns in trading rice. Those who bought and sold after recognizing certain patterns in price prospered. If someone had asked one of these successful traders about trade signal reliability they might have indicated signs of their wealth as proof that using Candlestick basics combined with Candlestick trading tactics worked for them. As far as long term investors are concerned they typically do not use technical trading techniques for short term investment and trading. They may be experts in what they do but they are not experts in short term investing and trading.

Forest, Trees and Trading Patterns

As a practical matter trading signals can, at times, be hard to read. Is there really a pattern developing? This can happen with online trading software and with Candlestick chart formations.

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Trade Signal Reliability

  1. 1. Trade Signal Reliability
  2. 2. The issue of trade signal reliability is debated by economists, supported by those who make their living doing technical analysis, and debunked by those who only believe in fundamental analysis tools such as the price to earnings ratio, price to sales ratio, and indicators of intrinsic stock value.
  3. 3. Despite the doubts of some, traders have trusted for centuries in trade signal reliability and their ability to use trading tools such as Candlestick analysis to garner profits in trading and in entering and leaving investments most profitably.
  4. 4. Before We Continue… Click the links below to get your FREE training materials. Free Weekly Investing Webinars Don’t miss these free training events! http://www.profitableinvestingtips.com/free-webinar Forex Conspiracy Report Read every word of this report! http://www.forexconspiracyreport.com
  5. 5. In this article we talk about trade signal reliability from the viewpoint of a short term investor or even a day trader but the lessons learned apply to anyone who wants to most profitably enter and exit stock positions.
  6. 6. Using Candlestick charting techniques and plotting Candlestick pattern formations traders have accurately predicted price movement in commodities trading, stock trading, futures trading, and options trading.
  7. 7. Some of the issue of trade signal reliability lies in the skill of a short term investor, swing trader or day trader in reading trading signals. A wise trader will routinely audit his or her trading results.
  8. 8. To the degree that trading certain signals works better for a given trader he or she will be well advised to use what works in their hands.
  9. 9. Theory versus Practice
  10. 10. Traders believe in trade signal reliability because it works in their hands.
  11. 11. Economists who write papers about trade signal reliability and technical trading in general will question if these concepts work in practice.
  12. 12. The experts, however, have the capacity to study any problem to death.
  13. 13. The practical aspect of trading is to take what looks promising and try it.
  14. 14. Keep what works and don’t use what does not work.
  15. 15. Traders going back to the days of the Samurai in Japan recognized patterns in trading rice.
  16. 16. Those who bought and sold after recognizing certain patterns in price prospered.
  17. 17. If someone had asked one of these successful traders about trade signal reliability they might have indicated signs of their wealth as proof that using Candlestick basics combined with Candlestick trading tactics worked for them.
  18. 18. As far as long term investors are concerned they typically do not use technical trading techniques for short term investment and trading.
  19. 19. They may be experts in what they do but they are not experts in short term investing and trading.
  20. 20. Forest, Trees and Trading Patterns
  21. 21. As a practical matter trading signals can, at times, be hard to read. Is there really a pattern developing?
  22. 22. This can happen with online trading software and with Candlestick chart formations.
  23. 23. The practical response is that if the pattern is too hard to read maybe it is not the pattern you think it might be.
  24. 24. The famous baseball pitcher, Satchel Page, once joked that the reason he sometimes took what seemed to be a long time before he threw a pitch was that when the ball was in his glove the batter could not hit it!
  25. 25. Likewise, you will do not lose money on trades and investments that you do not make.
  26. 26. When investing with candlesticks, if the pattern is unclear don’t trade it!
  27. 27. Some signals work better for some traders than for others.
  28. 28. This is part of why doing routine audits of trading results is so important.
  29. 29. No one needs to buy, sell or trade all equities in every market in all market sectors and in every market condition.
  30. 30. It is a wise person who knows his strengths and trades with them, who knows his weaknesses and avoids making the same mistakes repeatedly.

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