Customer Reviews

Encyclopedia of Candlestick Charts (Wiley Trading)

5 star:		(8)
4 star:		(0)
3 star:		(2)
2 star:		(0)
1 star:		(1)

 

 

A good book for anyone having a desire to learn about candlestick patterns, but I feel the author misses the point. Too many wordy statistics and not enough visuals. Candlestick patterns visually show investor sentiment. This sentiment is especially important when prices approach critical points of support and resistance. Showing more charts on how these patterns react at these critical junctures under various conditions would have been more helpful.

Candlestick patterns IMPLY a change of trend, they DO NOT guarantee it. They are just another indicator reflecting the bullish or bearish implications they represent. A trader must take into account where within the OVERALL TECHNICAL PICTURE the pattern appears and the health of the market. By blending candlestick patterns with Western technical analysis you are getting the best of both worlds.

Strong trends do not turn on a dime. They may require several candlestick signals before changing trend direction. By combining the current investor sentiment and potential behavior candlesticks imply you will, in most cases, be given an early VISUAL warning that all may or may not be right with the current trend.

Candlesticks should not be viewed in isolation. For example, a shooting star, a bearish pattern, appearing at the top of a long uptrend, and at a prior resistance area, strongly implies that a change of trend may be at hand. That same bearish pattern forming as a stock gaps out of a basing or consolidation area on high volume now implys a potentially bullish situation.

I believe those wanting to take full advantage of candlestick patterns would be better served by reading the books of Steve Nison or Stephen W. Bigelow. Both authors offer PRACTICAL TRADING ADVICE illustrated with many charts showing the strengths and pitfalls of these patterns.

Don't buy this book to learn about candlesticks. To learn buy Japanese Candlestick Charting Techniques, Second Edition.

I bought this book because I wanted to know some more about how successful the candlesticks patterns really are. Bulkowski has processed lots of data and he presents lots of (almost raw) data. Actually he presents too much and hardly any recommendations of how to use candles. But also too little data, for instance he doesn't use standard deviation at all. This would have been very useful to understand statistically significant patterns. The way he presents the statistics is also very convoluted, but at least a lot of data is there for you to do your own study of his data. For USD 100 I would have expected the author to provide a bit more commentary and advice. Instead he seems to collect candlepatterns like some people collect books (over 100 patterns); more is better. It would have been better to cut the pages with 50% and provided the additional data on his webpage.

I have written several short reviews on trading books. The best way is to compare the score on the books I've read. Many reviews on amazon.com are just glorious 5 star reviews. I use all five categories; sorry but everything isn't "great". Books rated 5 are very good. Books rated 4 are good solid books well worth reading. Books rated 3 can be bought by some people who read a lot or have very specific needs. Books rated 1 or 2 I would not recommend buying or reading. Naturally all in my humble opinion.

A statistically thorough analysis of candlestick charts. Who would have thought that a good number of formations described in Japanese literature as reversal patterns actually have the opposite effect, while many others have outcomes which are close to random? There are also a few formations with success rates of over 80%. Thomas does an excellent job here of sorting the chaff from the wheat. Excellent research with some surprising findings.

Mr.Bulkowski dedicates a chapter to each one of 103 individual candlestick patterns, most of which are reversal patterns. The chapters are ususally 8-9 pages long and have the format: behavior & rank: identification guidelines:- statistics: trading tactics: a sample trade and advice on optimizing the use of that pattern.
For me, the author's most interesting finding was that more than one quarter of the patterns do not act as would be expected, e.g.in a bull market, the common Harami Bear and Hanging Man result in a bullish continuation most of the time. This is a good reference work. A mass of data is presented and a glossary/methodology provided.
The product would have been greatly improved by illustrating the terms used in the glossary (some of which are quite complex) with actual numerical examples. Finally, there is no discussion of using technical indicators, such as stochastics, with candlestick patterns.

I am a very active technical options investor. This is one of the most useful books in my library. It's most significant value is that it actually provides statistics on the historical performance of each candlestick pattern. These are backed up with raw data (counts, percentages) he found, and includes many other metrics. I was originally surprised at some of the very popular patterns that actually have little more than even odds of predicting direction. In addition it provides a detail explanation of the patterns, with examples, and how they are best used.

Prolific, time consuming research by the author. It nullifies many popular but incorrect Candlestick conclusions with the author's own research. The book is expensive but worth it.

The other people who write negitive reviews are wrong. This book is the most comprehensive book on candlesticks that has ever been written.

This is a must have if you are a serious trader it is very informative and I use it all the time, I also recommend his charting book also. get it.

In a easy way to learn with a effective mettodolody, MrBulkowski teachs important knowledge of tools like candlesticks. It has same fashion of other books deals flags, wedges, head and shoulders...

the beast book regarding candlestick charts
Author covered every aspect of candlestick charts (focus on statistics - it can be very helpfull in trading candlestick charts)
position which you should have