In this video:
00:25 Something to keep a good eye at for on your technical charts – Exhaustion Candles
01:48 Look at my Product’s page to help you trade
03:27 Trade what you see and not what you think
05:40 How to help you gain like 4% for the week
06:53 95% new clients took the online video course
In this video I want to tell you all about exhaustion candles and why you should look out for them in your trading.
Exhaustion Candles – What they mean and why you should look for them in your trading
Hi again its Andrew Mitchem here in the Foreign Exchange Trading Coach Today is Friday the 16th of August. I want to talk about exhaustion candles. Something I said on last weeks video, I talked about on this weeks video and its something you really need to keep a good eye out for on your technical charts and they do help you with the trading. I talked about this a lot on my live 2 hour webinar with my clients last Thursday and its something I want to share with you now.
Now exhaustion candles are not something you can take an actual trade on, a new trade, but they do give you an enormous amount of information and give a lot of clues about what is happening in the market and what the sentiment is in the market right now. Are there more buyers, are there more sellers, what is happening. Really the exhaustion candles and the indecision candles mean there is likely to be a stalling in the current trend. Now that doesn’t always mean to say there is going to be a complete reversal in the trend we still need confirmation to back that up and justify that thought but there are several ways you can use the exhaustion candles. Of course you still need them to have them occur at the right part of the charts so you are looking at bouncing at round numbers or pivot points, previous highs and lows etc. So its not just an indecision candle is the same as the next one and its all to do with the quality of the candle and where it appears in the chart. And that is something I teach extensively in my course and help my clients with. If it is something you would like to know please have a look through my website. Look at my Products page and look at the information there regarding the course and how I can help you trade.
A Clue to what may be happening in the Market
Basically an indecision candle says that neither the buyers nor sellers want what is within that candle. An exhaustion candles tells us we are likely to see a trend stalling. If we didn’t get a confirmation let’s say in a buy in an uptrend and we get an indecision or an exhaustion candle at a round number lets say and then we get a confirmation candle to go short, that gives us our exhaustion then our confirmation. You may just find with the indecision candle the markets are stalling after previous moves it may stall and then you get the confirmation to continue the trend upwards. So use the exhaustion and indecision candles to give you a clue of what may be coming next.
If your already in an existing trade and the indecision or exhaustion candle happens at a previous swing high and happens to be a round number then that could give you a clue as this market may be reversing. Now is the time to close part of the trade or all of the trade especially on a shorter time frame charts because the market may just be turning around and my profit target is up here and still not been reached yet and may not be actually be hit. So use those candles. Go back again and look at the charts see indecision, Doji style candles, pin bars, hanging man candles, because they may really give you a clue as to what is coming next.
Trade What You See, Not What You Think and be Patient
The other thing I want to talk about is remember to trade what you see not what you think. That takes away the fundamentals and the other thing is to be really patient with your trading. I’ll give you a great example, on Monday on my daily trade suggestions I took two trades, Tuesday I took none, Wednesday I took none. Really I took none because the market was indecisive. There was nothing really there that had strong signals. Yes I took some trades on the short time frame charts and I took quite a lot and had a really good week.
Over 4% account growth this week
In fact I’ve made 4% on my account just by trading a quarter and a half of 1% per trade (0.25 – 0.50%). So a really good week over 4% that’s a pretty good result and I still have all of Friday to go. Coming back to my point about Tuesday and Wednesday – no trades what so over based on the daily charts. Thursday there were 4 and today being Friday, I’ve suggested 10 new trades to my clients based on the daily charts. I believe this is the most trades I’ve ever taken on the daily charts and suggested to my clients since 2009. So 10 trades today, 4 yesterday but Tuesday, Wednesday nothing. So my point that I want to share with you and explain to you is if there is nothing showing on the charts don’t take anything. Don’t trade for the sake of trading. Tuesday, Wednesday nothing so I’m thinking there is no point of trading just for the sake of trading. Yesterday, Thursday there were 4. Today I’m looking at the charts and just thinking “Wow, there are just opportunities everywhere.” So if the opportunities are there the charts are showing the correct candle pattern formation, take the trades. That is what I come back to all the time saying “trade what you see, not what you think”. Trades are not there, don’t take them all your doing is feeding your brokers pocket not your own. Today there is 10 there if they all come out and earn profit by the close of the week some may hit their profit targets some may still be in the market. If they do that is just going to be a fantastic pay day to add to that 4% I’ve already made for the week.
How I Can Help You Trade Successfully
So once again if you want to know more of how I can help you gain 4% for the week, possibly more. How you can receive my 10 daily trades like my clients today with the currency pair, the direction, the reason for the trade plus the exact entry and exits and don’t forget my clients know how to take those trades anyway. All I’m doing is backing up what they are learning and helping them on a day by day basis by training their eye to see what I’m looking at.
So you could say its earning while you’re learning. Its really a good way of earning it’s a good way of learning. I’m sending through the trade suggestions. My clients are over time get to see those, learn to take those trades for themselves and then take my information as a back up. But what a great way to learn to trade the Forex market and be able to earn Some money at the same time.
So have a look at the products page on my website. My online video course which is called “The Successful Trader System” is the one that I highly recommend that you take unless you want me to fly personally to come and teach you privately one on one or a small group. 95% of my new clients take the online video course. It’s the cheapest course and just allows you to absorb the information in your own time and watch it and re-watch it whenever you like.
So that’s it for me. Have a fantastic weekend. If you are in any trades today let’s hope they come through. I’m looking for the British pound and Swiss Franc and Euro strength. Looking for weakness in the US dollar and the Australian dollar today so let’s see how those trades pan out over the next 24 hours.
I look forward to talking with you this time next week. I’m Andrew Mitchem from The Forex Trading Coach.
Bye for now.