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Lead Investor & Prop Desk Trader | FA & TA | Founder-Nimblr TA Open Source (on Blog) Candlesticks & CCI Master

Jul 14, 19 tweets

Thread to Simplify your Chart Reading!
- Concept Learning -

Nimblr's 2-Candle Process

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#trading #StockMarketindia #investing

Nimblr 2 Candle Process deals with

1. Momentum Candle
2. Indecision Candle

A view of Momentum Candles with Upside in the below picture.

Momentum Candles are either green or red.

All arrowed lines are momentum candles upside

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A view of Dn-side Red Momentum Candles

All arrowed lines are momentum candles downside

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Now let us look at Indecision Candles.

Highlighted candles are Indecion Candles where they lacked one side directional movement.

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Location of Indecision Candles and Role

The location can be:
1. In the middle of the trend for a pause or rejuvenation to gather further momentum upside.
2. At the Top or Bottom as a Reversal

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The High or Low of an IC Candle arrival on the Chart is the best decisive information for Trading.

As the High or Low provides a Resistance or Support.

IC Candle in itself is a Range Movement within but without a breakout.

Here you see IC High or Low role as an example

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IC Candles are best therefore for keeping Stop Loss.

Below the Low at some proximity away as a tolerance to stay away from abrupt volatile move.

The proximity varies with Time frames 1,3,5,15,30mins, 1,4 Hour and Daily. Weekly, Monthly.

Detailed Course Notes available for Candlesticks.

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IC Candles that close near to one end could be directional.

Best to be judged for direction the next day if closing above the previous day only.

In Uptrend, if day’s close is nearing to close above the previous close then IC Candle is treated as a Continuation Candle by its nature.

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A single IC followed by a Momentum Candle (MC) is referred as:

IC / MC Breakout (BO) provided the Momentum Candle Close is above IC Candle High.

It can appear as a Single IC Breakout as below

Can refer to an earlier thread
Link:

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It appears as a Single IC / MC Breakout

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One more Example of ICMC Breakout (BO).
With no resistance above the close 399.05 due to adjoining momentum candles shunted on the left.

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One more Example to train your eye.

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Multiple ICs with even MCs within the Tallest IC.

High or Low together form the Bunch of ICs that need a Breakout as seen below to be called a Bunch Breakout or Range Breakout.

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Another Example of Bunch Breakout (BO).

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Price moves in Progression with a series of Bunch Breakouts as shown below.

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`Stop Loss below the Bunch and Trail as shown
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Another Example, price flows in progression

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Same Candlestick chart on Waves for your understanding.

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Thank you for reading!

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