In this ebook John H Forman explains how candlestick charting can be used for a typically Western technical analysis strategy. This is actually intended for stock and commodity trading but I think the principle could be applied on forex trading.

Observation is the best friend of the technical analyst. By watching the markets, John noticed something interesting about candlestick charts, which he uses extensively. He realized the real bodies used in candlestick charting can be used to determine significant support and resistance points.

Although they have only recently become popular in the Western Hemisphere, Japanese traders have been using the candlestick charting technique for hundreds of years. Candlestick charts, much like the bar chart equivalent, utilize the open, high, low and close activity to plot a period (usually a day). In candlestick charting, unlike bar charting where the highs and lows tend to be the focus, the opens and closes are the most significant.

You can download this forex ebook from the following link:

Candlestick for Support Resistance

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