| DEC 1991
Candlesticks And Preserving Capital by Gary S. Wagner and Bradley L. Matheny
Candlesticks And Preserving Capital by Gary S. Wagner and Bradley L. Matheny Candlestick analysis, the Japanese charting method introduced by Steve Nison to Western technicians only a few years ago, has been slowly gaining acceptance to help the technician make profitable trading decisions. As candlesticks become more common among Western technicians, an amalgam of candlesticks and traditional Western analytical rules will emerge. An important but often overlooked trading rule that may benefit is the use of protective stop-loss techniques to preserve capital and encourage sound money management. Traders must cultivate the use of stop-loss techniques in order to become successful, because his or her success is not gauged by a single trade but rather in overall performance. Traders know they must maximize profits and minimize drawdowns if they are to succeed. Professional traders know that risk definition is a primary component of the trading formula. Every trader is different, and so each has a unique form of capital preservation they rely on. Candlesticks offer three pattern groups that aid in the protection of trading equity. Often they are referred to as the ""three Cs"" of candlesticks.
by Gary S. Wagner and Bradley L. Matheny
Technical Analysis of STOCKS & COMMODITIES
The Traders’ Magazine since 1982
has had over 1,226,237 subscribers from 174 different countries.
37,000 Page Traders’ Archive for $89.99
To continue reading, sign-up for trial access to Traders.com and the S&C Archive — 37,000 pages of trading ideas!
After verifying your email address, you will have limited access to the S&C Archive, as well as access to a Digital Edition of S&C, and access to Traders.com Advantage and Working Money for 30 days.
Not a subscriber to Technical Analysis of
STOCKS & COMMODITIES magazine?
Click
here to subscribe, or request
a trial subscription.
Log-in now to view articles from the S&C Archive.
Your Subscriber ID is located at the top of your magazine label, highlighted here in red.
Your last name can be found on the second line, highlighted here in blue.
*If you have a company name on the label, that can also be used. It will appear below your name on the label.
If you do not have a Subscriber ID on your label, you can find it on your statement or renewal form.
For help locating your Subscriber ID number, please call us at 1-800-832-4642 or send an email to Survey@Traders.com. If sending an email, please include your name and mailing address.