Sequence of Order Creation – which one was first? The idea started small in Robots Lab, where I was initially interested in Up and Down bar sequence HERE, then Break High giovanni pozzi forex factory Break Low bar sequence HERE. In this thread I am willing to further expand the idea of Bar Sequence Patterns to cover ALL types of bars.
Here I am willing to further expand the idea of Bar Sequence Patterns to cover ALL types of bars. He reports analyzing 575 American stocks over a period of 15 – 20 years. The most reliable, long lower shadow, is present 1. Subsequently, Robert Colby, writing in SFO Magazine, Aug. 1996, found “No Major edge for Candlesticks”. Further, he states: “Nevertheless, the candlestick patterns tested here failed to beat the simplest trend-following standard of comparison on a significant basis.
Candlesticks are “A tool, not a system”, and that you need to know the trend to use them. So it appears that candlesticks are giving most weight to prices the market quickly rejects. Consequently, it is no surprise that Maiani found candlesticks to be of little use for trading decisions. Candlesticks and other charts do have the value of offering a panoramic view of market history. While of little use for current, day-to-day trading decisions, a general view of one’s market is worthwhile for understanding a market in general. In his words: “The most reliable, long lower shadow, is present 1. TA does not make any considerations to which Auction Markets actually operate.
While TA and candlesticks works for some, it definitely does not work for me. I thought for those such as yourself, who do use candlesticks, might find the stats to be of some value. Thank you Jones for the valuable information. Sequence is the magic word here.
What does this mean and how does it differ from known candlestick patterns is the subject of this thread. The sequence patterns discussed here include all known candlestick patterns Plus any sequence you can think of, even if its 20 candles long or more. 1 I posted simple examples composed of 4 and 2 bars. LIo–H : Translated to Bearish Break followed by a bearish Inside Bar followed by a Bullish Outside Bar followed by 2 bearish bars followed by Bullish Break.
This is not a trading system, its a research which may evolve into a trading system . It contains a very good statistical analysis on candlestick patterns. However, I’m still interested in the tool that Khalil is going to kindly share with us. It may not reveal any profitable pattern at the end of the day, but it is definitely an invaluable tool for backtesting the performance of different patterns that one may come up with.
Let your winners run and cut your losers short! That time frame can be any standard length of time, and a great deal of thought and study has be done on which time frame is the best for different trading styles. With that in mind, this ambitious project will hopefully define a set of significant candles, and their inner workings, that can give the astute trader an edge in their trading. I look forward to following your progress. As we are close to greeting a brand new year, I hope that everyone can take a moment and reflect upon all the lessons learned in the past year, and that GREEN pips fill your accounts and lives in the new year. It will confuse you, if complicated.
If you understand what you are doing, nothing is complicated. Would also be interesting to test the sequence forecasting in relationship with a single anchor candle. Hi Khalil, I suggest that we add two more patterns: 1. For better visualization, I hope its OK with you. Is it meaningful to add also : w: for Higher Lows followed by Higher Highs, and m: for Lower Lows followed by Lower Highs ? I think I didn’t get the logic behind “w” and “m”.
And I have a question regarding the terminology you are using. What is the difference between an Outside bar and an Engulfing bar in your definition? Here and Here there are two pages explaining Engulfing bars where there is no difference between them and outside bars to my knowledge. However, it seems that outside bar is also known as engulfing bar in the terminology of some traders. This is a list of notable pornographic actors and actresses listed by the decade in which they made their debut. This listing is subordered alphabetically by first name.
You can help by adding to it. Content is available under CC BY-SA 3. A 1786 depiction of the Montgolfier brothers’ balloon. Early flying machines include all forms of aircraft studied or constructed before the development of the modern aeroplane by 1910. The story of modern flight begins more than a century before the first successful manned aeroplane, and the earliest aircraft thousands of years before. From the earliest times there have been legends of men mounting flying devices or strapping birdlike wings, stiffened cloaks or other devices to themselves and attempting to fly, typically by jumping off a tower. The Greek legend of Daedalus and Icarus is one of the earliest to come down to us.
Eventually some tried to build real flying devices, typically birdlike wings, and attempted to fly by jumping off a tower, hill, or cliff. During this early period physical issues of lift, stability, and control were not understood, and most attempts ended in serious injury or death when the apparatus lacked an effective horizontal tail, or the wings were simply too small. In 559 AD, Yuan Huangtou is said to have landed safely following an enforced tower jump. Jumping revived in 1496 with Seccio breaking both arms in Nuremberg. In 1507, John Damian strapped on wings covered with chicken feathers and jumped from the walls of Stirling Castle in Scotland, breaking his thigh, later blaming it on not using eagle feathers. Similar attempts continued until the early 19th century, with never more than partial success. Francis Willughby’s suggestion, published in 1676, that human legs were more comparable to birds’ wings in strength than arms, had only occasional influence.