Discussion in 'Technical Analysis' started by stasbz, Mar 25, 2010.
please advise books on patterns
Advise books on patterns: don't read them.
What kind of patterns? Chart? Price? Indicator? Candlesticks?
I hope you are not looking for things like flags and double tops. Those have served as the most robust tool of wealth redistribution in the history of mankind. There are many delusional authors with heavy volumes about them and scores of suicidal traders who have used them to trade and still are using them.
as noted above, suri's book has lots of commonly-cited patterns. some are good, some are bad, your mileage may vary.
also, thomas bulkowski.
If you stare too much at patterns you will go blind, if not insane. Dno't overthink. Keep it simple.
There are only two basic types of patterns: consolidation -> trend -> consolidation
and: retests of support and resistance
All patterns are variations of these two concepts.
I agree keep it simple. One example is the H&S major one last year. It failed. So keep in mind patterns can fail.
i mean something like Candlesticks, price patterns,
so different reversal or contius patterns
No pattern in the price/time plane has any statistical edge.
You're wasting your time and your money.
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