Japanese Candlesticks and Paper Trading
Paer trading candlestick patterns is an excellent way to gain the confidence necessary to learn to successfully apply these high probability patterns. You can open an account with optionsxpress at www.optionsxpress.com.
Once you have opened your FREE demo account you can start with their free java charting platform, however if you really want to apply and begin paper trading the best candlestick patterns the market has to offer you will need a charting platform that allows you to at least do "end of day" searches for these patterns.
This means that the charting platfor has the ability to look at the open, close, high and low relative to each other and relative to present and past. Past being from 1 day to an unlimited number of days.
What this allows you to do is find virtually any candlestick pattern setup. Let me show you an example using my prefered charting platform telechart. You can read more about telechart by using the link. For now continue with this example. You can refrence telechart later.
Heres telechart:
Heres a shot of telecharts "Bearish engulfing formation W/ confirmation" PCF. A PCF is a personal criteria formula completly customizable and able to handle any type of request.
Heres what the "Bearish Engulfing Formation W/ Confirmation" says:
((C2 > O2) AND (O1 > C1) AND (O1 >= C2) AND (O2 >= C1) AND ((O1 - C1) > (C2 - O2)) AND (O > C) AND (C < C1))
Now thjeres no need to go into all the details Ill just tell you that the first part of the code says "The close 2 days ago is greater than the open 2 days ago AND the open yesterday is greater than the close yesterday, and so on.
Bottom line is this PCF is describing our "Bearish engulfing w/ confirmation"
Now we simply click on the Bearish engulfing w/ confirmation PCF and telechart will begin to search our watchlist for all of these patterns. I switched our watchlist to "ALL OPTIONABLE STOCKS' so here we go.
The result:
All the stocks with the word true next to them are our "Bearish engulfing patterns" with a confirmation candlestick following the pattern.
Lets look a little closer at the first one.
YES! A nice bearish engulfing pattern with a confirmation candlestick perfectly positioned for a nice move down.
You can search any candlestick pattern you want to, and with help from our free course you simply copy and past all the patterns into telechart. Anyone can do this, and its the only way to launch your trading career.
Start by downloading our candlestick genius course and flashcards.
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