CandleScanner™ is a technical analysis software which is designed for investors interested in Japanese candle patterns. What makes this application exceptional is that, from the outset, it has been specifically designed for the detection of Japanese candle patterns. It is not just yet another add-on to some existing platform, but a full-blown application written by people having extensive knowledge of the topic of Japanese candlestick patterns. In other words, it is highly specialized and focused software. It is suitable for both seasoned traders and complete beginners.
CandleQuote is a tool allowing you to download free end-of-day (EOD) data using YAHOO! Finance. Downloaded data is written in form of a text file (ASCII file in CSV format). This data is compatible with any trading tool supporting EOD ASCII files. You can download actually any quotes which are provided by YAHOO! Finance. Currently it is around 60 stock exchanges worldwide. You simply pay once $49 for application and get free quotes data forever.
Here you can find information about our products and topics around them.
What is CandleScanner?
CandleScanner is a technical analysis software allowing you to search Japanese candlestick formations (patterns) and create some statistics on them. Additionally CandleScanner allows you to build trading strategies build on top of candlestick formations.
What is a candlestick pattern (formation)?
Candlestick pattern is a movement in price shown graphically on a candlestick chart that some believe can predict a particular market movement. The so called Japanese patterns group contains over 80 patterns.
Why computers can better search for candlestick patterns than human beings?
First of all computers are much faster than we are. Trying to find patterns manually by just scanning the charts is very difficult. It can be also dangerous because people will tend to see patterns in random data. For example very successful trader, William Eckhardt, in the Jack Schwager book “The New Market Wizards”, says that we as human beings don’t look at data neutrally. That is when human eye scans a chart it doesn’t give all data points equal weight. Instead, it will tend to focus on certain outstanding cases, and we tend to form our opinions on the basis of these special cases. That’s why when he’s got an idea based on a chart pattern, he tries to reduce it to an algorithm that can be tested on a computer. If a method is truly valid, you should be able to explain it to a computer. Computers are not biased as people are and being objective in trading is crucial.
And here comes CandleScanner application. It’s a technical analysis software allowing you to scan candlestick charts in order to find Japanese candlestick formations. On top of that application creates multiple statistics which can help you to evaluate the effectiveness of found patterns.
What is technical analysis?
Technical analysis is a methodology used to forecast the direction of prices through the study of past market data, especially price and volume. Japanese candlestick formations (patterns) constitute the part of technical analysis.
How to determine what stock to buy and at what price?
There are many methodologies out there which were created to help people to trade on the markets or in other words what stock or other type of financial instrument to buy or sell and at what price.
In general we can say that there are however two basic methodologies: fundamental analysis and technical analysis. Fundamental analysis is beyond our interest here but in short this type of analysis says that profits can be made by purchasing the mispriced security and then waiting for the market to evaluate security accordingly. CandleScanner is not for those of you who are using fundamental analysis exclusively because CandleScanner is purely a technical analysis tool. Technical analysis, in contrast to fundamental analysis, maintains that all information is reflected already in the price. Thus technical analysts don’t really care about the price as their predictions are made from historical price patterns.
Does CandleScanner provide market data?
CandleScanner does not have built-in data providers. However there is another product called CandleQuote which covers plenty of markets worldwide, including stocks, indices and futures. Currently data is provided from YAHOO Finance. Anything you can find there you can have for free in CandleScanner using just a few clicks.
Can I use CandleScanner for intraday data?
No. Currently CandleScanner supports only end of day quotes. There are plans however to support intraday data.
For which market I can use CandleScanner?
For any market you want: stocks, indices, futures, FOREX, mutual funds, ETF, bonds or options. The only requirement is to provide to CandleScanner end of day quotes. They can be also taken via built-in data providers.
Who can use CandleScanner?
Application can be used by the whole variety of users: from the newbies to very advanced traders. Newbies can use the application as a very good source from which they can learn Japanese patterns. Advanced users can use the application to build trading systems. CandleScanner can be used for any candlestick charts like shares, bonds, futures or forex.
Does CandleScanner provide ready to use trading strategies?
CandleScanner as such should not be treated as a ready to use trading system. Trading system should be developed separately but for sure CandleScanner can be a great help for this. Also please remember that in every trading strategy risk management is crucial for your final success.
What is CandleQuote?
CandleQuote is a tool allowing you to download free end-of-day (EOD) data using YAHOO! Finance. Downloaded data is written in form of a text file (ASCII file in CSV format). This data is compatible with any trading tool supporting EOD ASCII files.
Which data I can download using CandleQuote?
You can download actually any quotes which are provided by YAHOO! Finance. Currently it is around 60 stock exchanges worldwide.
Will my application be able to read data downloaded by CandleQuote?
Any application which supports ASCII files is able to read data provided by CandleQuote.
What type of markets does CandleQuote support?
Any market which is supported by YAHOO! Fianance, e.g. stocks, mutual funds, bonds, indices etc.
How much does it cost and how to buy it?
You pay for CandleQuote 39,95€ or 20€ when you buy it together with CandleScanner Professional (total price 99,95€). And this is one-time fee. So you have application for whole life. Also within first year you have free updates. If you want to buy it, please create an account on the website and from the main page go to CandleQuote section where you can find BUY button. But before buying we encourage you to download trial version to see if it suit you.
Is there a trial version?
Yes, there is. Please navigate to main page at candlescanner.com and click CandleQuote section. There you can download trial version of CandleQuote.