Customer Reviews

Profitable Candlestick Trading: Pinpointing Market Opportunities to Maximize Profits

5 star:		(35)
4 star:		(7)
3 star:		(2)
2 star:		(3)
1 star:		(2)

 

 

This book is the third Candlestick book that I have read cover to cover. The previous two were Steve Nison's two Candlestick books. While Nison's books were excellent and extremely easy to understand, this book concentrates on strategy for making money and gives more trading insights. I have been making money even in this bear market using the trading signals described in the book.

The system is simple...use stochastics to confirm candle signals to ensure that you always buy oversold stocks and sell short oversold stocks. If you are a disciplined trader and wait for confirmation of the signals you can be profitable more than 75% of the time and your losses from your losing trades will be minimal if you keep tight stops - A must in these market conditions.

There is a huge amount of overlap in Nison's and this book but I would still recommend all three as there is always some different points in each.

The art of using Japanese Candlestick charts as a means to finding potential investment ideas has often been considered to be an arcane, complicated process, to be used by only the most sophisticated investors. This has now changed. Mr. Bigalow has truly revealed all the "tricks of the trade" within this book and the companion website.

This book not only illustrates and explains every Candlestick signal investors need to know, but the underlying psychology that creates the signals in the first place is also revealed to the reader. But learning and knowing the signals, and understanding how the signals are created, are not of much use unless the investor also has a quick and easy way to FIND the signals on a regular basis. Using a very popular, inexpensive charting service, Mr. Bigalow shows how to set up the software filters so that thousands of stocks can be analyzed, and only the Candlestick charts with the highest profitability potential will be displayed. This search process can be done in a matter of minutes. To my knowledge, this has never been explained in any other book.

Mr. Bigalow goes on to explain how to use Candlesticks along with your other favorite technical analysis tools to enhance your trading, why Stochastics are the best single tool to use with Candlesticks, how to identify the "false" signals, how to maximize profits and minimize losses, and "The Ultimate Investment Program", known to only a handful of sophisticated investors until now.

By reading and putting into practice the techniques explained in this book and the website, investors truly can "Revolutionize Their Investor Psychology".

HIGHLY RECOMMENDED for both novice and sophisticated investors.

I have read several books on candlestick formations and signals. This book has to rate as the best, every candle and pattern is explained in a logical sequence but the best is the psychology of the bulls and bears is revealed to the reader. Each candle comes alive, not only is the pattern recognised but the uderlying interaction of the market forces are there for the reader, as though a cloud has been lifted from a dull scene. The Japanese signals are combined with Stochastics but in a simple manner allowing the reader to increase his knowledge and effectiveness of the signals. You will never be puzzled by the chart patterns after reading this book.

I have been fascinated by candlesticks for years but I never had the knowledge or confidence to properly apply the candlestick methodology until I read "Profitable Candlestick Charting". In the past I would see what I thought was a candlstick pattern, but I was never quite sure of the implication of the pattern. Steve Bigalow not only clearly explains how to recognize each reversal or continuation candlestick pattern, but also shows how candlsticks depict the battle between the buyers and sellers and how quickly the market's perception of a stock can change and be recognized by candlestick analysis. Most importantly, he shows how to combine candlestick analysis with stochastics to not only set up high probability trades, but also establishes clear entry and exit rules to limit losses and maximize profits on those trades. In summary, a superb book which brings objectivity to a subjective subject.

I have read at least 150 trading books in the last 5 years, jumping from one idea to another, looking for a plan I can feel comfortable with for short-term trading. Stephen Bigalow's book is at the top of my list. Steve supplies excellent descriptions and examples of the major and minor candlestick signals as well as a psychological explanation of them. In addition, this book, unlike other candlestick books I have read, provides a complete trading method for short, intermediate, or long-term traders/investors including money management techniques. A method (unique in my experience)for dealing with the trader's emotions is also described. The book makes candlestick charting understandable for both novice and experienced individuals. I believe the book provides a very readable and useful guide to profiting from the market.

This a great book. You can tell that he is an experienced trader and not some ghost writer fidgeting for words trying to explain something that he is not entirely familiar with. I have never heard anyone blast the analysts on Wall St. like him. He was not unkind, just truthful. I have been using Candlesticks for about 3 years, but not with the full conviction it takes to be really successful. This book has turned the tide for me. I hope he writes another book to give more of his insights on trading. I will buy it.

I'm very pleased with the information contained in the book. However, most of the information contained in the book can be found on the authors website for free. Just google Stephen Bigalow and check it out for yourself, lots of info in the forum at that site as well. I read some other reviews (at another site) that recommended his second book over this one as the basics can be found at his website (and several others) and you can get more into the theory in the other book. With that said I still recommend it and would say its a 5 star rating based on the information. I use it every night while doing my research for the next trading day. Anyway, just something to know. Seems most days you can find just about anything on the net if you look hard enough. May all your days be bullish kickers!

I own just about every book that exists on trading stocks, options and futures and this one outshines them all. The body of knowledge conveyed in this book comes about as close as it gets to a holy grail for traders. The book is clear, concise, comprehensive, and easy to understand. I had to force myself to put it down it's that good. Candlesticks used to be mysterious to me and I always stuck to the old-school use of price bars, technical analysis and fundamental analysis to develop my stock scans and buy/sell strategies. Bigalow elegantly demonstrates how to effectively use candlesticks and stochastics to streamline the process. I still rely on other technical indicators such as MACD and ADX to confirm candlestick signals, but everyone has different approaches. In my opinion, you really only need this book and perhaps Murphy's book on Technical Analysis to be a successful trader. I also found Bigalow's book to be much more insightful than Nisson's more objective material considering that Bigalow shows you actual practical application. If you're serious about becomming a successful trader or refining your existing trading chops, this book is a "must have".

I've read two intro texts to candlesticks. This one and Nison's Japanese Candlestick Charting Techniques, Second Edition. The current book is not really bad, but Nison's book is much better. So in my view the choice is easy. The top reviewer for this book stated that this book deals more with strategy and making money. I do not agree at all. I think this and Nison's book both cover the basics. And as I said, Nison's book is much better.

In the current book there are a lot of patterns listed with three or four candles and they seem very much adhoc, I don't really buy the underlying reasoning. Bulkowski has analysed these patterns in Encyclopedia of Candlestick Charts (Wiley Trading) and he finds that many of these patterns are very rare. Bulkowski put everything through his computer and found that some patterns occur maybe 100 times out of 100,000. To name and label such rare patterns is silly and borders on the dishonest. Especially since they are not that extraordinary the 100 times they occur.

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.

There are more and more candlestick chapters in many trading books, but Profitable Candlstick Trading explains this somewhat "cloudy" subject with a new clarity. I've read over 2 dozen trading books, some devoted only to candlesticks, others that gloss over the subject with a few pictures. Frankly, it's hard to trust your hard earned money when you just don't fully understand candlesticks.

However with this book, each candlestick pattern's description is well thought out, with the "market psychology" stepped through from last trend into the reversal pattern and then the confirmation. Using concepts in this book, and combined with what I've picked up elsewhere, I have turned the corner from barely being profitable to consistently making great trades.

Other books may go more into depth about the origins of Candlesticks, but choose this book if you want to apply Candlesticks quickly and easily into your arsenal of trading tactics. Also, candlestick techniques can be applied to all charts, not just equities.