This is such a BS candlestick pattern

Actually it is very good,to do this if you want to reduce your bank balance and donate money to the 95 % traders who are losing-why are you being so uncharitable,Fred ?

 

i beg to disagree with you you:it may be horse shit,or dog shit: have you seen the bull?

 

Seriously:
patterns are just communications from the market.
You have to understand the message.

 

in the chart below, there is a down move which in the end, broke the lower band [which is BB continuation signal],and then retraced to the moving average,which it tried to cross six times.....

This appears to be a perfect sell signal......but perfect does not exist,so what is wrong with this sell signal?

 

I agree with Frederick and he's simply saying don't ignore the other variables that's causing the price action in a way that you're putting the emphasis only on the single candlestick interval.

Too any people ignore the other reasons including the context involved in the price action and exclusively trade Japanese Candlestick single intervals as if they are "patterns". Also, these are the people that tend to try to code/program Japanese Candlestick Analysis...they concentrate on the single interval analysis...much easier to test in their mind.

Single intervals are not "patterns" nor do they represent the context of the price action.

Yet, I do understand the effort of why many traders try to do such (single interval analysis) under the keep it simple theme but that's exactly why most do poorly with Japanese Candlestick Analsysis.

wrbtrader

 

i agree with him too; it is so obvious that he is right.
but i chose a different way to say it

 

Context is everything.

Any signal or pattern that leads into a strong and persistent trend gives a fantastic outcome to a trade.

But was it really the pattern that was so helpful, or was it the trend?

 

How about focusing on 'what works' instead of making BS threads about what is BS and not.

 

Process of elimination.

 

Hanging man Doji is not a pattern just a single bar, But i do agree with you that some bars or patterns are just communications from the market. But, seeing the Hanging man Doji in a specific pattern, for me this would be considered a trade signal.