faltering friday, page-77

IMO candle sticks are useful if used thoughtfully with other TA and not blindly by some candlestick textbook rules. For example if after a long fall a stock or index were to put in a long lower shadow one day, maybe at some important technical support, then the hanging man may well be indicating a low. However, in a case like the SPX over the last few days I think a hanging man was at best indicating indecision. The SPX had captured the 50 day sma and the hanging man merely indicated the first attempts to fail at that point. Candle sticks were pretty useless in this instance because they just told us the market was undecided but we already knew that.