Site Seeing: Another Candle Sticks Learning Site

I came across another site that explains candle sticks pattern well. The simple 10 candle stick patterns explain it all.
Do check it out:
http://www.candlestickgenius.com/top-10-candlestick-patterns.html

Stop Loss Hit With Profit

Date of entry: 22 Dec 2010
Long FCPO On Double Break Up
I longed FCPO Feb future contract at 3604 for 1 contract based on 2 hourly chart. I have been using daily chart to trade and now I tried using 2 hourly chart just like my FKLI trading.

Reason to long 1) Price broke up from this morning high
Reason to long 2) Price also broke above moving averages now
Reason to long 3) It is still bullish based on daily chart
Reason to long 4) Candle stick bullish engulfing pattern

The concern: Holiday is near and the volume is small. Less traders take part.


Date of exit: 23 Dec 2010
Stop Loss Hit With Profit
My stop loss was hit at 3649 with a gain of 43 points after contributing 2 points for commissions.

The balance of my account is RM 35,350 after the profit of RM 1075
(43points x RM25 x 1contract = RM 1075)
(The details of my account is at My Future Trading Account Records 2010 )

Exited FKLI On 10 Points Target

Date of entry: 21 Dec 2010
Long FKLI - Double Break Up
I initiated long FKLI Dec future contract at 1502.5 after it spiked up to 1507 and retraced to 1502.5.
Reason to buy 1) Broke up of the recent high (blue line on chart)
Reason to buy 2) Broke up of the high of moving average.

Date of exit: 21 Dec 2010 - Same Day
Exited FKLI On 10 Points Target
My target of 10 points gain was reached at 1513.5 after deducting 1 point for commission. The price could go higher, but I prefer to confirm my profit and reenter later if the market continue the upside.

The balance of my account is RM 34,275 after the profit of RM 1000
(10points x RM50 x 2contracts = RM 1000)
(The details of my account is at My Future Trading Account Records 2010 )

FKLI - Stop Loss Hit

Date of entry: 20 Dec 2010
Shorted FKLI - Potential Continuation Of Down Trend
I shorted at 1490.5 for 2 contracts in the morning around 9:30. It could be the continuation of down trend. The price at one point rebounded back to 1497 and that really got me worried.
Reason To Short: The price is well below moving averages
The Concern: The price has been down for 6th days and heading to the 7th based on daily chart.

Date of exit: 20 Dec 2010
FKLI - Stop Loss Hit
My position was stopped out at 1495.5 with a loss of 6 points for each contract after 1 point for commission.

The balance of my account is RM 33,275 after the loss of RM 600
(6points x RM50 x 2contracts = RM 600)
(The details of my account is at My Future Trading Account Records 2010 )

Exit Final Lot - My Target Reached

Date of entry: 15 Dec 2010
Short FKLI - Break Down
I shorted FKLI Dec 2010 at 1507 for 2 contracts.
Reason 1) It is a break down
Reason 2) The price is now below moving averages.

Date of exit1: 15 Dec 2010
Long To Close Half FKLI Position
I longed to close 1 position at 1504.5 with a little gain of 1.5 points. There is candle stick reversal pattern; 'hammer' emerged with a long tail low of 1500 which is a psychological support level.

Date of exit2: 16 Dec 2010
Exit Final Lot - My Target Reached
I exit the last 1 contract at 1496 with 10 points gain after 1 point for commission. 1496 is my target price.

The balance of my account is RM 33,875 after the profit of RM 575
(1.5points x RM50 x 1contract = RM 75)
(10points x RM50 x 1contract = RM 500)
(The details of my account is at My Future Trading Account Records 2010 )

FKLI Stop Loss Hit

Date of entry: 9 Dec 2010
Reenter FKLI - A Promise Is A Promise
I initiated long position again after I closed my position earlier. The price went high than morning's high of 1518.5 and longed at 1520.5 for 2 contracts. I followed what I initially though of. It might seem 'sayang' and I should have hold on to the trade without exiting. But sometimes, the price just did not advance like the previous weeks; One day up and one day down situation. I am trying hard to avoid situation like that.

Date of exit: 10 Dec 2010
FKLI Stop Loss Hit
My stop loss of 1515.5 was hit with a loss of 6 points (1 point commission included) this morning.

The balance of my account is RM 33,300 after the loss of RM 600 (6points x RM50 x 2contracts = RM 600)
(The details of my account is at My Future Trading Account Records 2010 )

Long To Exit ALL For FKLI

Date of entry: 8 Dec 2010
Long FKLI On Break Up
I longed FKLI Dec 2010 future contract at 1507 for 2 contracts this morning.
Reason 1) It is a descending line break up
Reason 2) The price stays well above moving averages.

Date of exit1: 9 Dec 2010
Exit 1: For 10 Points Profit
I exited 1 contract at 1518 on opening bell with 10 points profit and remained 1 contract. There is no follow through buying. It looks like FKLI is not strong enough to continue the surge.

Date of exit2: 9 Dec 2010
Long To Exit ALL For FKLI
I exited the balance 1 contract also at 1518 for 10 points profit. I will reenter the long position if the price break up. For now, I confirmed my profit.

The balance of my account is RM 33,900 after the profit of RM 1,000 (10points x RM50 x 2contracts = RM 1,000)
(The details of my account is at My Future Trading Account Records 2010 )

The Ugly Picture

I stopped trading FKLI today just wanting to take a break like 华仔 recommended earlier.
Looking at the daily chart of FKLI. Wow! The chart really was ugly; one day up and one day down, one day gap up and one gap down. Trend trader like me is having hard time with situation like this. Swing trader will be laughing all the way to the bank.

Opss! FKLI Stop Loss Hit

Date of entry: 30 Nov 2010
Long FKLI Dec 2010 Future Contract
I longed FKLI Dec 2010 future contract at 1493 for 2 contracts.

Date of exit: The Same Day
Opss! FKLI Stop Loss Hit
I could not believe it. My position was stopped out at 1483 with a loss of 11 points for each contract. I have nothing to say.

The balance of my account is RM 32,900 after the loss of RM 1,100 (11points x RM50 x 2contracts = RM 1,100)
(The details of my account is at My Future Trading Account Records 2010 )

No Follow Through - Exit FKLI

Date of entry: 29 Nov 2010
Long FKLI Now
I long FKLI Nov 2010 future contract at 1493.5 for 2 contracts. I can hold the position till tomorrow. It should be ok for me. The price is now above moving averages.

Date of exit: 30 Nov 2010
No Follow Through - Exit FKLI
I shorted to close the trade at 1487 with a loss of 7.5 points for each contract since the price did not continue the upside.

The balance of my account is RM 34,000 after the loss of RM 750 (7.5points x RM50 x 2contracts = RM 750)
(The details of my account is at My Future Trading Account Records 2010 )

Exit FCPO To Feel The Profit

Date of entry: 25 Nov 2010
Immediate Reversed To Long CPO
I reversed to long FCPO at 3243 for 1 contract right after I closed my short position.

Date of exit: 29 Nov 2010
Exit FCPO To Feel The Profit
I shorted to close my position at 3375 with a gain of 130 points. There is not much reason for me to exit except that I want to feel the profit. The price might continue, but 130 gains is good enough.

The balance of my account is RM 34,750 after the profit of RM 3,250 (130points x RM25 x 1contract = RM 3250)
(The details of my account is at My Future Trading Account Records 2010 )

10 Points Profit Target For FKLI

I did lots and lots of back testing over the weekend and I found out that setting a 10 points profit for each trade seems to be a good way.
I initially did not believe it thinking that I should let the profit run. Out of so many trades for the period of 6 months (based on FKLI 2 hourly chart), 20 points and above gains only occur few times; 4 times actual. We are dealing with probability. If the market has a higher chance to hit 10 points rather than 20 points, why must I try to achieve 20 points and at the end, I got even lesser because the market turn around.

At the time of writing this article, the market continue the plunge for another 13.5 points to 1471. I could have exited at 1475.5 with a pretty profit of 10 points and that's it. Sounds Good right?

FKLI - Exit Trade - No Follow Through Selling Down

Date of entry: 26 Nov 2010
Short FKLI At 1486.5 - Do You Dare?
I reversed my position and shorted FKLI Nov 2010 future contract at 1486.5 for 2 contracts. I don't have to tell you the feeling. It really sucks.

Date of exit: 29 Nov 2010
FKLI - Exit Trade - Long Follow Through Selling Down
I exited the trade at 1484.5 for the two contracts with the reason that the price did not open with a gap down following the US market selling down on Friday. Moreover, it has been down for continuing 5 sessions (candles), there is high chance that the market will rebound.

The balance of my account is RM 31,500 after the profit of RM 100 (1point x RM50 x 2contracts = RM 100)
(The details of my account is at My Future Trading Account Records 2010 )

FKLI - My Long Position Was Stop Out!!

Date of entry: 26 Nov 2010
Long FKLI On Opening Bell
I longed FKLI of Nov 2010 on opening bell at 1505 with 2 contracts. I am not willing to take the shoot actually but this is my trading method. I proceeded. It is a break up and the price is now above moving averages. Close monitoring is much needed in this trade.

Date of exit: The Same Day
My Long Position Was Stopped Out!!
The price opened with a gap down and I managed to exit at 1486.5 with a huge loss of 19.5 points for each contract (Loss of RM1950 in total).

The balance of my account is RM 31,400 after the loss of RM 1,950 (19.5points x RM50 x 2contracts = RM 1,950)
(The details of my account is at My Future Trading Account Records 2010 )

My Comment:
Apparently, my method needs some adjustment. For volatile market like this, what ever I use; tight stop loss or lenient stop loss. They would cost me money. Imaging you place a stop loss far, the losses could be disaster when the stop loss is hit. But if I put the stop loss too close, we would end up busy getting in and out all the time.
For price target, if I only look at 10 or 20 points to exit, I might limit my profit potential. However, if I turn greedy, I would end up not getting any profit at all like my recent FKLI trades.
I am looking into candle stick chart pattern as an indicator for my trading. I will do some back testing over the weekend and see how it goes.

Cut Loss At the Open - FCPO

Date of entry: 23 Nov 2010
Short CPO Feb 2010 Future Contract
I shorted CPO Feb 2010 future contract at 3169 for 1 contract.

Date of exit: 25 Nov 2010
Cut Loss At the Open - FCPO
I longed to close my position at the open with a price of 3243 with a big loss of 76 points!

The balance of my account is RM 33,350 after the loss of RM 1,900 (76points x RM25 x 1contract = RM 1,900)
(The details of my account is at My Future Trading Account Records 2010 )

Long To Exit FKLI At The Open

Date of entry: 23 Nov 2010
I Short FKLI Now - Fast And Furious
I shorted FKLI Nov 2010 future contract for 2 contracts right after I exited my long position which was done few days ago. The price managed to break 1) Recent low (refer to chart) and 2) Below the low of moving average.

Date of exit: 25 Nov 2010
Long To Exit FKLI At The Open
I longed to exit at 1494 at the open with a loss of 2 points. The price opened with a gap up correspondent with the up of Dow Jones over night.

The balance of my account is RM 35,250 after the loss of RM 200 (2points x RM50 x 2contracts = RM 200)
(The details of my account is at My Future Trading Account Records 2010 )

FKLI - Stopped Out

Date of entry: 19 Nov 2010
FKLI - Long On Opening Bell
I longed FKLI Nov 2010 this morning when market started at 1500.5 for 2 contracts. The mixed feeling really sucks. I am following my trading method and this is what I supposed to do.

Date of exit: 23 Nov 2010
FKLI - Stopped Out
My position was stopped out at 1499 with a loss of 2.5 points for each contract. The price did not continue the upside. It means that the market is not strong enough to push the price higher. Running away seems to be a good solution for now.

The balance of my account is RM 35,450 after the loss of RM 250 (2.5points x RM50 x 2contracts = RM 250)
(The details of my account is at My Future Trading Account Records 2010 )

FKLI - Stopped Out At 1495

Date of entry: 15 Nov 2010
FKLI - Reenter Short Position
I reentered short position for FKLI Nov 2010 future contract at 1487.5 for 2 contracts.

Date of exit: 18 Nov 2010
FKLI - Stopped Out At 1485
My position was stopped out at 1495 with a loss of 8.5 points for each contract (1 point commission is included).It is obvious that the market is resting after the recent plunge. I am out now and waiting for the next opportunity.

The balance of my account is RM 35,700 after the loss of RM 850 (8.5points x RM50 x 2contracts = RM 850)
(The details of my account is at My Future Trading Account Records 2010 )

Exit On Stop Loss Hit - FKLI

Date of entry: 11 Nov 2010
Reversed To Short FKLI After The Stop Loss Hit
I reversed to short FKLI Nov 2010 Future Contract at 1513.5 for 2 contracts right after I was stopped out my long position. It is a break down and the price stays at below moving averages.

Date of exit: 15 Nov 2010
Exit On Stop Loss Hit - FKLI
My position was stopped out at 1499.5 with a gain of 13 points. Apparently, the down trend has just started and the current bound seems like a technical rebound. Since my stop loss was hit indicating that the bear is resting for now and I am waiting for the next opportunity to emerge.

The balance of my account is RM 36,550 after the profit of RM 1300 (13points x RM50 x 2contracts = RM 1300)
(The details of my account is at My Future Trading Account Records 2010 )

FKLI - Exit On Stop Loss Hit

Date of entry: 9 Nov 2010
Initiate Long Again - FKLI
I initiated long position for FKLI Nov 2010 future contract at 1523 for 2 contracts again. I could have longed this morning based on my usual method but I was busy. This is the second time that the price tries to reach the high at the time of writing this blog.

Date of exit: 11 Nov 2010
FKLI - Exit On Stop Loss Hit
My stop loss was hit at 1513.5 with a loss of 10.5 points (1 point commission included). This trade, I would have exited at 1516.5 based on my usual method. I tried to give it more room so that I would not appear to be too scared to lose, but it did not turn out right. It is important to stick to my original plan.

The balance of my account is RM 35,250 after the loss of RM 1050 (10.5points x RM50 x 2contracts = RM 1050)
(The details of my account is at My Future Trading Account Records 2010 )

Exit Long FCPO Position - Hang Man Candle Stick Pattern

Date of entry: 9 Nov 2010
Long FCPO - Bullish Engulfing - Mission Impossible
I longed again FCPO Jan 2011 future contract for 1 contract. It is a bullish engulfing candlestick pattern with the price broken new high. It is like a mission impossible. I am totally nervous about this trade. But a breakup is a breakup.

Date of exit: 10 Nov 2010
Exit Long FCPO Position - Hang Man Candle Stick Pattern
I shorted the long position at 3378 with a small profit of 19 points. If the price closes at this level, the candlestick chart pattern would be 'Hang Man'; a potential reversal signal. There is still need one more bar (day) for the confirmation. I exited the trade simply for not willing to take the risk.

The balance of my account is RM 36,300 after the profit of RM 475 (19points x RM25 x1 contract = RM 475)
(The details of my account is at My Future Trading Account Records 2010 )

Exit FCPO - Candle Stick Shooting Star

Date of entry: 28 Oct 2010
Long FCPO - Bullish Engulfing
I initiated long CPO Jan 2010 future contract again for 1 contract. It is a bullish engulfing candlestick pattern. There is a high chance of continue trend. I am really not comfortable as I was stopped out yesterday and now I longed again at much higher price.

Date of exit: 8 Nov 2010
Exit FCPO - Candle Stick Shooting Star
I shorted to exit the trade at 3286 with a gain of 208 points. It is a candle stick shooting star emerged. No body knows for sure what the next direction the price will be, but one thing is sure; my 208 gain points.

The balance of my account is RM 35,825 after the profit of RM 5200 (208points x RM25 x1 contract = RM 5200)
(The details of my account is at My Future Trading Account Records 2010 )

FKLI - Exit On Stop Loss Hit

Date of entry: 3 Nov 2010
Long FKLI - Potential Continuation Of Trend
I initiated long position of FKLI Nov 2010 future contract at 1513.5 for 2 contracts. It could be a continuation of the up trend since the price maintained well above moving averages. It will be pretty if the price could close at the high and form bullish engulfing candlestick pattern.

Date of exit1: Same Day
Exit Half FKLI - Looks Sideway
I exited 1 contract at 1512.5 at a loss of 2 points since the price did not continue. The long tail of white candle does not look pretty. This could be a sideway market.(2points x RM50 = RM100)

Date of reentry: 4 Nov 2010
FKLI - Add On Long Position
I reentered the market at 1517 for 1 contract.

Date of exit: 8 Oct 2010
FKLI - Exit On Stop Loss Hit
My position was stopped out again at 1517.5 for both contracts;

Trade 1) 1512.5 - 1513.5 - 1 = -2 points
Trade 2) 1517.5 - 1513.5 - 1 = 3 points
Trade 3) 1517.5 - 1517.5 - 1 = -0.5 points
With the total gain of 0.5 points = profit of RM25 only
I am in the process of retuning my stop loss strategy till then I will still use my usual stop loss method which is quite sensitive.

The balance of my account is RM 30,625 after the profit of RM 25
(The details of my account is at My Future Trading Account Records 2010 )

FKLI - Exit On Stop Loss Hit

Date of entry: 29 Oct 2010
I Longed FKLI Again - Do What I Got To Do
I turned long FKLI Nov 2010 at 1504.5 for 2 contracts.

Date of exti: 2 Nov 2010
FKLI - Exit On Stop Loss Hit
My position was stopped out at 1508.5 with a little gain of 3 points. I will reenter the market if the price would continue the upside. For now, I just wait and see.

The balance of my account is RM 30,600 after the profit of RM 300 (3points x RM50 x2contracts = RM300)
(The details of my account is at My Future Trading Account Records 2010 )

FKLI - Exited This WRONG Trade

Date of entry: 29 Oct 2010
FKLI - Reversed To Short Nov 2010 Future Contract
I reversed to short Nov 2010 future contract at 1497.5 after I have just exited my long position of Oct 2010 future contract. It is a break down with the price stays well below moving averages.

Date of exit: Same Day
FKLI - Exited This WRONG Trade
I longed to exit the trade at 1504.5 with a loss of 8 points including 1 point for commission.
Muhaidin is right. I accidentally changed the moving averages to 12 bars instead of 24. Mistake is costly. I would like to thank Muhaidin for pointing out.

The balance of my account is RM 30,300 after the profit of RM 800 (8points x RM50 x2contracts = RM800)
(The details of my account is at My Future Trading Account Records 2010 )