Post of the Day: Candlesticks and Range Trading

Published June 12th, 2009 - 06:26 GMT
Al Bawaba
Al Bawaba

Student’s Question:

I attended a Range Trading webinar and after it was over, a question came to mind:

are there any candlesticks or candlestick patterns that could beneficial when Range Trading?

Thanks



Power Course Instructor’s Response:

Take a look at the chart below for a visual on this…

 


One of the keys here will be the longer wicked candles as they signal the potential for a change of direction of the pair.  The engulfing candles can help and certainly the Morning Star and Evening Star patterns.