PSEi weekly - confirms hammer

By -


Your Ad Here
PSEi weekly formed a white candle with higher high and higher low.

Previous candle which looked liked a bullish hammer seems to have been confirmed by formation of higher low and higher high.

"...candlesticks with with long lower shadows and small real bodies. The real bodies are near the top of the daily range."
- Steve Nison, description of a hammer and hanging man lines, on his book Japanese Candlestick Charting Technique

Nison continued to state that:
"If either of these lines emerges during a downtrend it is a signal that the downtrend should end. In such a scenario, this line is labeled a hammer, as in 'the market is hammering out' a base. Interestingly, the actual Japanese term for this line is takuri. This word means something to the effect of "trying to gauge the depth of the water by feeling for its bottom."

I included this description from the authoritative book by Steve Nison on Japanese Candlesticks, as requested by an avid reader of the Technical Insider.

This bullish reversal pattern, like other reversal patterns, would be confirmed if succeeding lines or candlesticks form higher lows and possibly higher higher highs. Consequently, formation of a gap up with huge volume will most likely confirms a bullish reversal.

Good luck to all traders!
Your Ad Here


Comments

Post a Comment

Popular posts from this blog

EDC - found trough and possible new support level to form steep demand line

By -
Image
EDC 7.3 ( 1.4% ) EDC formed a trough at 6.9, which might be a new support level, to form a steep demand line Resistance: 7.8 Support: 7/6.9 Good luck to all EDC traders! PNOC-EDC potential bidders down to 16 10/11/2007 source: Technistock The number of potential bidders for the government's remaining 60-percent stake in PNOC Energy Development Corp. has gone down to 16 from the 24 that had submitted letters of interest. PNOC president Antonio Cailao said the 16 entities were those that met the Oct. 5 deadline for the submission of the initial pre-qualification requirements and passed the first screening process. The list of the pre-qualified bidders should have been released Wednesday, but Cailao said the PNOC Privatization Committee had decided to give the 16 entities a few more days to submit additional minor requirements. "Of the initial 24, eight have fallen off so we now have 16 potential bidders. But this number could still go down by the time the Privacom finishes its r...
Read more

Daily Notes

By -
Image
Daily Notes Top Losers: BDO, lower low, currently at overbought levels (RSI = 85.7, highest for the past year) JGS RCB MWC, most active list ALI, most active list Stock Watch AT higher high, resistance at MA130 (4.9), intraday 4.45 (highest in the past 3mos.)
Read more

BSP eyes measures to curb peso climb

By -
Buy more Philippine Pesos??? BSP eyes measures to curb peso climb By   Doris C. Dumlao ,  Michelle V. Remo Philippine Daily Inquirer The Bangko Sentral ng Pilipinas said 2013 could be a challenging year as far as preventing an even steeper appreciation of the peso was concerned, noting that a potential investment grade credit-rating for the country could drive more foreign portfolio investments. Admitting it was actively buying dollars from the market in 2012 to temper what could have been a sharper appreciation of the local currency, the BSP said it expected the need for more action to keep the peso as less volatile as possible next year. “Capital flows from a [potential] credit-rating upgrade will provide more challenge in terms of keeping the peso relatively stable and minimizing its volatility,” BSP Deputy Governor Diwa Guinigundo told reporters Friday. In 2012, the peso appreciated against the dollar by more than 6 percent partly on account of signific...
Read more