A Simple Trading Strategy With Candlesticks & Indicators
Combining the Stochastic Oscillator With the Doji Pattern
When candlesticks are combined with technical indicators, an extra uncorrelated factor is added to the trade’s conviction. When searching for signals, we tend to rank them through personal convictions where we are more comfortable when we see more confirming signals than just one or two.
Essentially, trading is a numbers game and the higher the probability of a winning trade, the better the profitability. Increasing the probability of a winning trade may not be within our control but we can try to do so by finding different elements that point to the same direction. This article discusses a simple discretionary strategy that combines the Stochastic Oscillator with the Doji candlestick pattern.
Candlestick Charts
Candlestick charts are among the most famous ways to analyze the time series visually. They contain more information than a simple line chart and have more visual interpretability than bar charts…
