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[forexenator]

Typical shooting star in the USD/CHF daily chart indicating a bearish day may follow.http://forexenator.blogspot.com/2005...ily-chart.html

[foroz]

Forexenator

I don't agree that the candle on the CHF daily is a shooting star and is more a spinning top that indicates indecision, therefore, the price may continue upwards. With only one day of upward movement before what you call the shooting star it does not fit the criteria that I'd look for in a shooting star, that is that it comes after several days of an upward run in price.

I had a look at my Steve Nison Candlestick book and on page 70 he identifies "Shooting star 2 from Exhibit 5.25 which he says:

"is of little importance. It does meet part of the criteria of a shooting star (that is, a star with a small real body and long upper shadow). Yet it fails to meet one important rule. It does not appear after an uptrend nor at the top of a congestion zone. As such, it should be viwed as a small real body day with little significance. A small real body (that is, a spinning top) reflects indecision."

I prefer shooting stars to have no lower shadow underneath. I think the daily one of yesterday is too long.

The Nison definition from page 296 is:

"Shooting star - a candlestick with a long upper shadow with little or no lower shadow, and a small real body near the lows of the session that arises after an uptrend. It is a bearish candlestick signal in an uptrend. "


Regards

[forexenator]

Originally Posted by foroz

Forexenator

I don't agree that the candle on the CHF daily is a shooting star and is more a spinning top that indicates indecision, therefore, the price may continue upwards. With only one day of upward movement before what you call the shooting star it does not fit the criteria that I'd look for in a shooting star, that is that it comes after several days of an upward run in price.

I had a look at my Steve Nison Candlestick book and on page 70 he identifies "Shooting star 2 from Exhibit 5.25 which he says:

"is of little importance. It does meet part of the criteria of a shooting star (that is, a star with a small real body and long upper shadow). Yet it fails to meet one important rule. It does not appear after an uptrend nor at the top of a congestion zone. As such, it should be viwed as a small real body day with little significance. A small real body (that is, a spinning top) reflects indecision."

I prefer shooting stars to have no lower shadow underneath. I think the daily one of yesterday is too long.

The Nison definition from page 296 is:

"Shooting star - a candlestick with a long upper shadow with little or no lower shadow, and a small real body near the lows of the session that arises after an uptrend. It is a bearish candlestick signal in an uptrend. "


Regards

Hi foroz, Thanks for your help and your analysis, I was mistaken 100% yesterday about both the EUR/USD and the usd/chf but if you saw the post you will notice that I mentioned in the euro/chf post that buying signals are only on break of 1.2371 which didn't happen.
I analysed it quickly as a shooting star but as you said there was no "several days of an uptrend."
Anyways my orders were not executed and thanks God for that.