Candlestick patterns in trading - BlockchainVsCrypto - Get Early Access for Success

Friday, June 7, 2019

Candlestick patterns in trading

Candlestick patterns

To Identify price movement in trading some parameters candlestick one of them.

Before starting you need to know what is candlesticks and what they want to say in trading for a trader.

I think in trading you want to communicate with someone to understand the behavior of the market, In this case, the candlestick will help you in the guide or gives an idea of the market.

If you want to become a successful trader or investor in any market Candlestick became your first friend and you need to make friendship with a candlestick to analyze and identify the behavior of it.

candlesticks give information regarding how the price is moving. 

Let's check the first part of any Candle

Candlestick patterns
Candlestick patterns
I just explain in a simple way

Every candle has for four parts i.e. Open price, close price, high price, and low price. each candle contains tails and body.

Tails may be an upper tail or lower tails depend on market situation at that stage.

First, look out Bullish candle 

In bullish candle closing of the candle above open point. if any candle open at one point and goes downtrend but they recover from it and close above opening point then the formation of tails at a lower side. This is called a lower tail or lower shadow.

In Bearish Candle closing of the candle below open point. if any candle opens at one point and goes uptrend but they break from it and close below the opening point then the formation of tails at an upper side. This is called an upper tail or upper shadow.

A bullish candle always shows in the green bar while bearish candle in a red bar to identify the market.

so if you understand that what is a candle to say to us then we move forward to study different bullish and bearish candlestick patterns.

Types of Candlestick Patterns

1. Bullish Candlestick Patterns

The Hammer or the Inverted Hammer

The Bullish Engulfing

The Piercing Line

The Morning Star

The Three White Soldiers

2. Bearish Candlestick Patterns

Doji bearish reversal candlestick patterns

Hanging Man

Shooting Star

Bearish Harami

Dark Cloud Cover

Evening Star

Bearish Engulfing

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