As of 03/04/2024
  Indus: 38,990 -97.55 -0.2%  
  Trans: 15,790 -42.73 -0.3%  
  Utils: 847 +14.27 +1.7%  
  Nasdaq: 16,208 -67.43 -0.4%  
  S&P 500: 5,131 -6.13 -0.1%  
YTD
 +3.5%  
-0.7%  
-3.9%  
 +8.0%  
 +7.6%  
  Targets    Overview: 03/01/2024  
  Down arrow37,700 or 39,350 by 03/15/2024
  Up arrow16,300 or 15,350 by 03/15/2024
  Up arrow875 or 800 by 03/15/2024
  Down arrow15,000 or 16,400 by 03/15/2024
  Up arrow5,250 or 4,900 by 03/15/2024
As of 03/04/2024
  Indus: 38,990 -97.55 -0.2%  
  Trans: 15,790 -42.73 -0.3%  
  Utils: 847 +14.27 +1.7%  
  Nasdaq: 16,208 -67.43 -0.4%  
  S&P 500: 5,131 -6.13 -0.1%  
YTD
 +3.5%  
-0.7%  
-3.9%  
 +8.0%  
 +7.6%  
  Targets    Overview: 03/01/2024  
  Down arrow37,700 or 39,350 by 03/15/2024
  Up arrow16,300 or 15,350 by 03/15/2024
  Up arrow875 or 800 by 03/15/2024
  Down arrow15,000 or 16,400 by 03/15/2024
  Up arrow5,250 or 4,900 by 03/15/2024

Bulkowski's Candlestick Tip

This article discusses one candlestick tip that says the position in the yearly price range is important to performance.

This is one of the discoveries I made and discuss in my book, Encyclopedia of Candlestick ChartsEncyclopedia of Candlestick Charts book.. In each candlestick chapter, I sort candle performance into the yearly price range, just to see if a trend develops. Most of the time, candles that showed the highest post breakout move began their life within the lowest third of the yearly price range. Here are the results.

 Highest Third:   5% 
 Middle Third:   11% 
 Lowest Third:   84% 

As an example, the bullish belt hold candlestick in a bear market after a downward breakout drops an average of 11.21% for those candlesticks within a third of the yearly low. Belt holds in the middle third drop 9.35% and those with breakouts in the highest third drop 7.76%. The other breakout directions (up/down) and markets (bull/bear) show similar results, but check the candlestick type you are interested in. The decline in this example measures from the breakout to the trend or swing low (often the nearest minor low).

Knowing that candlesticks within a third of the yearly low tend to be more reliable (meaning price trends farther than otherwise, so you are more likely to walk away with a profitable trade) is the kind of information that gives traders like me an edge. And you can buy that edge from Amazon at the link. Just click on the book picture and it will take you there.

-- Thomas Bulkowski

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