Mastering Financial Pattern Recognition: Finding and Back-Testing Candlestick Patterns with Python

ACandlesticks have become a key component of platforms and charting programs for financial trading. With these charts, traders can learn underlying patterns for interpreting price action history and forecasts. This A-Z guide shows portfolio managers, quants, strategists, and analysts how to use Python to recognize, scan, trade, and back-test the profitability of candlestick patterns.

  Financial author, trading consultant, and institutional market strategist Sofien Kaabar shows you how to create a candlestick scanner and indicator so you can compare the profitability of these patterns. With this hands-on book, you'll also explore a new type of charting system similar to candlesticks, as well as new patterns that have never been presented before.

  With this book, you will

 • Create and understand the conditions required for classic and modern candlestick patterns

 • Learn the market psychology behind them

 • Use a framework to learn how back-testing trading strategies are conducted

 • Explore different charting systems and understand their limitations

 • Import OHLC historical FX data in Python in different time frames

 • Use algorithms to scan for and reproduce patterns

 • Learn a pattern's potential by evaluating its profitability and predictabilit