Major BULLISH Candlestick Patterns – Summary

Previously, we have discussed several major candlestick patterns separately in details.

In this post, we summarize and re-organize the above major candlestick patterns into different grouping, which is based on the Bullishness vs. Bearishness of the patterns.

I think the following pictures could also help you to differentiate between one pattern with another more easily.
For example:
Notice the difference between Morning Star, Morning Doji Star & Abandoned Baby Bullish (See pictures no 7, 8 and 9 below).

Hope it can be useful. :)







Click the following links to read about each Bullish Candlestick pattern in detail:

1) Bullish Engulfing
2) Piercing Line

3) Harami Bullish
4) Harami Cross Bullish

5) Hammer
6) Inverted Hammer

7) Morning Star
8) Morning Doji Star

9) Abandoned Baby Bulish
10) Tweezer Bottom

To be continued to: Major Bearish Candlestick Patterns.

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* Learning Charts Patterns
* Options Trading Basic – Part 1
* Options Trading Basic – Part 2

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Fill-Or-Kill (FOK), Immediate-Or-Cancel (IOC) & All-Or-None (AON) Orders

The following are types of orders with attached conditions related to the ability of the broker to fulfill the quantity / size of the orders and timing of execution:

Fill-Or-Kill (FOK)
Fill-Or-Kill (FOK) order is an order (buy / sell) that must be immediately filled entirely (usually within a few seconds) at the limit price or better; otherwise, it will be totally cancelled. So, this order does not allow partial execution.

FOK orders are normally used by day traders who are hoping to scalp or take advantage of the opportunity in the market within a short duration.

Immediate-Or-Cancel (IOC)
Immediate-Or-Cancel (IOC) order is an order that must be filled immediately at the limit price or better only. If the order cannot be filled immediately or fully (i.e. only partially filled), the unfilled portion will be cancelled.

This order is different from Fill-Or-Kill (FOK) order whereby this order allows partial filling, while Fill-Or-Kill (FOK) order does not allow partial filling.

All-Or-None (AON)
All-Or-None (AON) order is an order (buy / sell) that instruct the broker to either fill the order entirely at once at the limit price or better, or do not fill it at all.

The difference between All-Or-None (AON) order and Fill-Or-Kill (FOK) / Immediate-Or-Cancel (IOC) orders is that, unlike FOK / IOC order, AON order will not be cancelled if it cannot be filled immediately, and can be used in addition to Day Order or Good Till Cancelled (GTC) order.
If the order is a Day Order, when there is not enough supply to meet the quantity requested by the order at the limit price or better, then the order will be cancelled at the close of the trading day.

For the list of other types of order, go to: Types of Orders in Trading.

Related Topics:
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* Options Trading Basic – Part 1
* Options Trading Basic – Part 2
* Learning Candlestick Charts
* Learning Charts Patterns

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Day Order, Good Till Cancelled (GTC) Order & Good Till Date (GTD) Order

The following are types of orders related to the TIMING / DURATION of the Order in which the order will still be active / valid before it gets executed:

Day Order
A Day Order is an order that expires automatically after the end of the trading day (when market closes) if the order is not filled yet during the trading hours of the day.
Day Order is normally set as a default order, unless you set your order with other types of order.

Good Till Cancelled (GTC) Order
Good Till Cancelled (GTC) Order is an order that remains valid until you manually cancel it or until the order is filled. This kind of order does not expire automatically at the end of the day.

Brokerages would normally limit the maximum time for an order to be active up to 90 days. GTC order is normally used for entry order using Limit Order.
However, GTC order is also more common to be used for exit orders for setting stop loss or profit taking orders that can last for several days, weeks or even months.

Good Till Date (GTD) Order
Good Till Date (GTD) Order is an order that remains valid until the close of the market on the date specified, or until the order is filled.

For the list of other types of order, go to: Types of Orders in Trading.

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Iceberg Order

Iceberg Order is an order (generally a large volume order) that allows the trader to disclose only a small part of the order, leaving a large undisclosed quantity to be “hidden” from the public, for the purpose of hiding the actual quantity of the order.

This order is normally used by institutional investors when they need to buy / sell large amounts of securities for their portfolio.
In this case, they can divide their large orders into smaller portions (usually by the use of an automated program), so that the public can only see a small part of the order at a time (just as the 'tip of the iceberg' is the only visible portion of a huge mass of ice).
When the disclosed portion has been filled and “the amount of order” has decreased to zero, the displayed portion of the Iceberg Order will then refresh automatically to display the original disclosed amount again. This process will repeat as necessary until the entire balance of the order is executed.

The purpose of hiding its large size using this technique is to reduce the price movements due to substantial changes in a security's supply and demand.

For the list of other types of order, go to: Types of Orders in Trading.

Useful Info:
Also, look into surety bonds. They are a great way to "insure" your performance!

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* Learning Charts Patterns

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Market-To-Limit (MTL) Order

Market-to-Limit (MTL) Order is an order that is submitted as a Market Order and will be executed at the prevailing best market price. If the order is only partially filled, the remainder of the order will be cancelled, and then will be re-submitted as a Limit Order, with the Limit Price equal to the price at which the filled portion of the order was executed. If the prevailing price never reaches that Limit Price or better again, the remaining of the order will not be executed.

This type of order is trying to combine the advantages of both market & limit order.
MTL order would ensure execution for at least a portion of the order, while at the same time, avoiding the risk of getting filled at the price that is too far away from the last-traded price for the remaining portion of the order.

Example:
Stock ABC is currently traded at $20.05. A trader wants to 500 shares of ABC by submitting a MTL order. Immediately after order submission, 300 shares are filled at $20.08. The remaining of the order (200 shares) will be cancelled and immediately resubmitted as a Limit Order, and the Limit Price will automatically be set at $20.08. If the prevailing market price has moved up and never reaches that Limit Price or better again, the remaining of the order will not be executed.

For the list of other types of order, go to: Types of Orders in Trading.

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Happy New Year 2009!

Dear all readers,

Wishing you all:

A Very Happy & Blessed New Year 2009!

May GOD bless you & your family with lots of love, peace, joy, good health, and abundance.



Source of picture:
http://www.nowpublic.com/world/2009-new-years-around-world

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