I've tried many times -- just can't visualize Candlesticks charts the same way I can using bars... I've read all about the benefits of candles but it doesn't seem to be working... is that bad?
No. IMO Candlesticks and specific patterns of Cs's are just one of the ways people find to read the market and trade profitably. I dont like them because I find them fat and obtrusive - and much prefer a chart like the one attached - but thats a personal choice. <img src="http://www.elitetrader.com/vb/attachment.php?s=&postid=1091135"> I use OHLC bars and a couple of moving averages but could probably simplify to HL bars and the mas. One of my friends uses HLC bars and another likes line on close only. Personally I think that you should use whatever is the minimum amount of information to support your profitable method of trading.
i hate candlesticks. I've tried numerous times throughout the years to get them to work......they never do (atleast for me, lol). Down with candlesticks Up with OHLC
I'm a non candlestick user on my day-trading with equities. When I view daily charts (rarely) I do use candlesticks. I DO use Candlesticks when trading demo on Forex. But I overall like OHLC bars the best. My trading is more dependent on the location of top and bottom of the bar. I use 3 MA's and price action in my trading as well.
I think most traders when they get their first charting program will tend to use a particular chart that was as default. My best friend is stuck on bar charts because that's the way his bloomberg terminal was setup for him when everything was installed for him. He's been using bar charts for years and recently tried candlestick charts and PnF charts... Visually it was too uncomfortable and he went back to bar charts. My first charting software and all that followed were defaulted as candlestick charts. I've been using that ever since except for a few weeks back in 1997 when I used PnF charts and bar charts. They just didn't feel natural and I went back to candlestick charts. I have another buddy that only uses line charts and he can't stand candlestick charts nor bar charts. He started with line charts as a swing trader to long term trader and has been using that for almost 10 years. Also, I know a guy online (ET member) from Montreal that doesn't even use charts for day trading decisions. He only uses price quotes in his Times & Sales window. Simply, what ever is visually appealing to you... Keep using it because your ability to process information quickly to make trade decisions is directly related to what type of charts or data stream your comfortable with. Last of all, don't get candlestick charting and candlestick patterns trading mixed up because these are two different things with one dependent upon the other while one is not dependent on the other. * Candlestick pattern trader need candlestick charts. * Candlestick chart users don't need to trade candlestick patterns. Further, most traders I know that use candlestick charts do not trade via candlestick patterns. It can get confusing about what someone is talking about (chart program or chart patterns) if they post the topic in the wrong thread... Technical Analysis http://www.elitetrader.com/vb/forumdisplay.php?s=&forumid=33 Trading Software http://www.elitetrader.com/vb/forumdisplay.php?s=&forumid=3 I think I've only seen once where someone was talking about the charting program itself involving candlesticks post their thread in the trading software. Mark
Hey Mark Do you and your friend ( or other traders you know) ever compare who has the highest win / loss ratio for those that use charts in their trading and those that dont?. It'd be interesting to see those numbers. - nathan