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Candlestick Analysis

LTCUSDT candle/volume (VSA) Spotting CO involvement. Trying to memorize the names of candles and trying to spot 2 and 3 candle patterns can be difficult and in many ways a waste of time. To make your life easier what I think is more valuable and easier to do is analyze the individual candle and its associated volume. The green horizontal is a previous support. Support, resistance, EMA's and fib are the areas where you want to start looking for these high tail/high volume candles. To the right of teh screen there are 2 slightly different scenarios . The volume is the same but the spread is different. The candles on the left are high tail/high volume. The candles to the right are high volume candles that close near or on the low. Out of the two options, which if the two patterns are more bullish? Its easy to see. Now there are a few other variables that must be considered. This is just an isolated example of a 5 % move. Refer to Wyckoff/VSA for further explanation/entry etc.
Education
by dee718
1
EURAUD 15M SCALP LONG TRADE US SESSIONStacey Burkes TSG Podcast Ep. #18 Forex Trading Strategy. US SESSION 3 Hour Window Starting at 8 am EDT Ending at 11 am EDT Step 1 Lowest Bearish Candle Inside US 3 hr window Step 2 Bullish Pin Bar 2nd candle in US window. Step 3 Bullish Engulfing Candle Entered at Candle Close. Step 4 Market Makers Stop Hunt Bearish Pin Bar Confirmation for Long Entry Traders. Step 5 SL below Entry Candle Step 6 EXIT - Close Long Trade after RailRoad Tracks Bearish Reversal Candle Pattern with 61 pip profit.
Education
by Tradingstrategyguides
4
Trend Continuation Candlesticks PatternsTrend Continuation Candlesticks Patterns There are countless candlestick patterns that traders can use to identify areas of interest on a chart. These can be used for day trading, swing trading, and even longer-term position trading. Rising three methods This pattern occurs in an uptrend, where three consecutive red candles with small bodies are attended by the continuation of the uptrend. Ideally, the red candles shouldn’t breach the area of the previous candlestick. The continuation is confirmed with a green candle with a large body, symbolizing that bulls are back in control of the trend’s direction. Falling three methods The inverse of rising three methods, indicating the continuation of a downtrend instead. It’s relevant to note that candlestick patterns aren’t fundamentally a buy or sell signal by themselves. They are rather a way to look at market structure and a potential indication of upcoming opportunities. My dear friends, the sooner this publication gets 300 likes, the earlier I will make the next education post about other candlesticks patterns. Best regards EXCAVO
Education
by EXCAVO
11
Gold 100 pips Buy Breakdown 1890-1900Gold had formed a clear support during London Session on the 30m and 1h timeframes. We had strong bullish momentum so my bias was bullish in the short term. I then switched down to the 15m timeframe to look for a good entry to minimise drawdown. When a bullish 15m candle closed starting from support, I waited for the next candle to form bullish and my final confirmation was that it broke the high of the previous bullish 15m candle. Then I entered the trade. My stops were below the 15m wick rejections and my two targets were 1897 and 1900. Both targets were smashed within a few hours with very minimal drawdown. If any candle from 15m upwards closed below support, I would have closed my positions as it was invalidate the setup.
FX:XAUUSDEducation
by mcrhf_fx
8
GJ 120 pips Sells BreakdownPrice broke below the support we highlighted, however as there was no lower wick on the 1h breakout candle, price had no clear range to move down, so instead of moving to the lower timeframes to look for selling confirmations, I stayed on the 1h timeframe and decided to look for a break and retest setup, as it was not on a lower timeframe my confidence for this trade was pretty good. As soon as we tapped into the broken support zone, I took an entry with half of my usual risk, stops were above the previous candle and my TP was highlighted on the chart. Profits were taken at each of the support zones as we tapped into them, this lowered our risk and secured profits. When we hit our final target, we removed our TP and let 10% of the trade run, the target for this was 135.887, as this was a possible rejection zone and also 120 pips profit. This target was also hit before price formed support to continue back up.
Education
by mcrhf_fx
Bullish Candlestick's Patterns You Must Know 🗒 Just browsing through my analysis means a lot to me. ➡️ Please follow the analysis very carefully and every detail of the chart means a lot. And always entry depends on many reasons carefully studied Always enter into deals when there are more than 5 reasons combined ------------ Bullish Exhaustion Bar ➕A bullish exhaustion bar ---------- opens with a gap down. Then, it works its way up to close near its top In This case, the gap remains unfilled. In addition, high volume should occur with the exhaustion bar. What does it mean? Its name explains it all. It represents exhaustion and a failed lastditch attempt. After the bears are exhausted, the bulls will takeover and the market will rise. After the bulls are exhausted, the bears will take the market down. How do we trade it? 1. Buy above a bullish exhaustion bar ---------------------- ➕Bullish Pin Bar ----- It looks like the nose of Pinocchio. It has a long and obvious tail. For bullish pin bars, the lower tail take up most of the bar. For bearish pin bars, it is the upper tail that dominates. What does it mean? Paraphrasing Martin Pring, the pin bar lies like Pinocchio. With its long tail, a pin bar breaks a support or resistance momentarily to trick traders into entering the wrong direction. These traders are trapped, and there is always money to be made when you find trapped traders. ------------- ➕Bullish Reversal Bar --------- A bullish reversal bar ------ pattern goes below the low of the previousbar before closing higher. What does it mean? For the bullish pattern, the market found support below the low of the previous bar. Not only that, the support was strong enough topush the bar to close higher than the previous bar. This is the first sign of a possible bullish reversal. How do we trade it? 1. Buy above the bullish reversal bar in a uptrend --------------- ➕ Bullish Two-Bar Reversal ----------- The two-bar reversal pattern ------------- is made up of two strong bars closing in opposite direction. The bullish variant consists of a strong bearish bar followed by a bullish bar. Reverse the order to get its bearish counterpart. ------------- What does it mean? Every reversal pattern works on the same premise. A clear rejection of a down thrust is a bullish reversal, and a clear rejection of an up thrust is a bearish reversal. In this case, the first bar represents the first thrust, and the second bar represents its rejection. How do we trade it? 1. For bullish reversals, buy above the highest point of the twobar pattern -------- ➕ Key Reversal Bar ------- A key reversal bar --------- is a specific instance of a reversal bar that shows clearer signs of a reversal. A bullish key reversal bar opens below the low of the previous bar and closes above its high. By definition, key reversal bars open with a price gap. As price gaps within intraday time-frames are rare, most key reversal bars are found in the daily and above time frames. How do we trade it? ----------- 1. Buy above a bullish key reversal bar (If uncertain, wait for price to close above it before buying.) ----------- ➕Bullish 3 Bar's Reversal ------ In sequence, the three bars of the bullish pattern are: ----------- 1. A bearish bar 2. A bar has a lower high and lower low 3. A bullish bar with a higher low and closes above the high of the second bar What does it mean? -------------- A three-bar reversal pattern shows a turning point. Compared to the other reversal patterns, the three-bar reversal pattern is the most 10 Price Action Bar Patterns You Must Know conservative one as it extends over three bars, using the third bar to confirm that the market has changed its direction. How do we trade it? 1. Buy above the last bar of the bullish pattern
Education
by GentleGoldenEngine
66
📖 Japanese candlestick charts. Part 1We are beginning a new theme “Trading strategy’s most important technical analysis tools”. Today we are going to tell you about the most important things in trading, candlesticks! 📌Japanese candlestick charts were developed in the 17th-18th centuries by the Japanese rice traders. They were introduced to trading by Steve Nison in the 20th century. It's a simple, but very important tool for technical analysis, as these candlesticks contain different information about the market. I guess that everyone in this channel already knows how to read candlesticks, so we are going to talk about their usage. ⚡️First — its form, this shows market participants’ state and mood. It could show their doubts/balance (doji) or trend exhaustion (graph looks like a hammer or a falling star). There are only a few main models, and we are going to talk about them in the future. However, you can start learning about them yourself by saving the screenshot below. ⚡️Candlesticks show reversals and it is what we need in trading. By trading reversals you are catching the trend, it could be short or long. However, you will be able to understand when the trend is exhausting and you will be able to leave trade when there is a reversal. In addition to the presence of the reversal pattern itself, the preceding trend is important, you have to have at least 3 candles. If there isn’t a clear trend, then there is no trade. Additionally, we are looking at the candlesticks’ volumes and how trading continues after the last reversal pattern. We are entering position not on the reversal candlesticks, but on the following ones after the trade (or candlestick above/below fixation, depending on a situation)! Reversal setup is a needed factor, but it's not enough to enter a trade. 📌 And these are not all of the necessary conditions for implementation! You have to understand that you are getting rid of risky positions that not only will give you headache but could also result in losses. You should only trade in situations where you are confident in, the confidence is achieved by fulfilling very certain conditions, of which only few people in the market know about. Continued in part 2.
Education
by I.T.Analytics
24
📖 Japanese candlestick charts. Part 2Hello, we continue to study candlesticks. ⚡️ Maximal/minimal 🔶 For this it is desirable for reversal candlestick to have its own high/low. In addition to the convenience of placing stop-loss on them, its own minimum/maximum also increases the chances for a long term trend after such reversal. The reason for this is in the market reflectivity, all the patterns don’t just work on their own, but they also contain market’s psychology and the methodology of huge amounts of smart money. When there is a decrease in demand and supply, smart money form the least resistant trend, and they trade! 🔶 You have probably noticed a few times that the figure’s/pattern’s price could move into the opposite direction that you expected. There are reasons for that, patterns have the necessary to complete conditions, simply of which not many know about. Even if all the necessary conditions are complete while forming a pattern, there is always a chance that the price will go opposite direction due to a number of reasons, of which we are going to talk about later. Now, you should note that its important to analyse candlesticks, as they help you to minimize risk while trading patterns. 🔶 Even though candlesticks look simple, they are a solid foundation for successful trading. They help you to find the optimal points to enter and exit trading in any patterns or whether you are trading using levels, or even if you are witnessing “third Elliott wave”... This is just a small bit of information about such a simple tool called Japanese candlesticks. 📌 Hint: if a trend is moving into a higher timeframe, you should also move to the same timeframe and start searching for reversal candlestick models at a long distance. This gives you the opportunity to trade for the entire trend duration. ⚡️ Harami 🔶 "Uptake", "Hammer" and "Cloud Silver Lining" models are common reversal patterns. There are many more forms in candlestick analysis that indicate an forthcoming reversal. One of them is the "Harami" pattern: the first candlestick is large, and the second one is small, it may be a "Spinning Top" or a "Doji", but in any case, the figure of the second candlestick is inside the first one's figure. They appear both at the top of the market and at the bottom. 🔶 The peculiarity of the "Harami" model is the uncertainty of the market at the time of its appearance. Therefore, it is recommended to wait for confirmation. 📌 The following candlestick of the corresponding color can act as confirmation: green for a bullish reversal, and red for a bearish one.
Education
by I.T.Analytics