Just going over the indicators candle pattern as i am still learning.

I see that Penetration = (Percentage of penetration of a candle within another candle).

Say for instance I use.



This means 10% penetration right?

if so how do I actually combine this with another Candle if i am reading this correctly?

Do I put for instance simply this?



Is this what penetration is for? Is there a way to define a percentage for the a particularly previous candle to use for a limit entry or stop etc..

For instance, i want to place a stop 33% below the high of the previous candle? Or a limit buy 50% above the low of 10 candles ago?

Thanks for any info.

The penetration means overlapping candles within the same pattern, not with another pattern. Combining two patterns will most likely not work, as they are normally mutually exclusive.

I don't think anyway that those patterns can generate any useful signals. Better detect patterns with the method from workshop 7.

For the high and low of the past x candles, use HH(x) or LL(x).

Right, got it, thanks.

Regarding the HH(1) or LL(1)..

Is there not a percentage option or should I just use methods such as MidPrice(1) - xx*PIP) ?