📖 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.
Hammer
AUDJPY best time to BUY? Reasons :
In AUD/JPY price protected by serveral important factors which:
1. As you can see , price react to EMA 22 very well, EMA 22 currently price: 1.7100
2. This Pair Price protected from bears by very important static support ( this support was a resistance , when it breaks turn in to support ) :1.7060
3. Our Trade Stoploss protected by nice trend line ( DYNAMIC support ) near static support.
4. After hanging man candel stick , we saw a full engulfing candel but bulls use any chance to buy at our setup entry price ! it means there is a great DEMAND area!
1:2 RR
GOOG - the case for reboundGOOG retraced 50% of it's recent swing up last Friday and closed with a hammer candlestick above this level. Despite being a "red" hammer, it is potentially bullish as it initially pierced below the 50% fib level @ 1467 but closed above @ 1482.
Incidentally, 1465-1485 is also a prior "resistence" zone turned support.
Long at 1482 with initial stop @ 1450 (a few ticks below Last candle's low) with near term profit @ 1585 (recent high). Protect profits with trailing stops should the trade goes our way.
Disclaimer: This is just my own analysis and opinion for discussion and is not a trade advice. Kindly do your own due diligence
Swing trade entry using hammer candlestickEntry above the hammer as indicated by the
arrow. The price will probably come down for
the next several days before reversing(I am
anticipating a bear trap at around $164). If bulls
begin appearing then it should rise to the order
entry. At this point it will make another
attempt to break all time highs. I will take some
profit here and expect a small rest before
breaking ATH, and eventually reaching target 2.
AUDNZD 4hr bullish butterfly and hammer combination longThe dollar had been fluctuating a lot for the past few days,
it's not a bad idea to look for some minor pairs' trading opportunity.
Here we got this AUDNZD bullish pattern,
I'll be willing to take the breakout long on the hammer.
Let's see how it goes yo!
BTC Targets for the next 15 hours.looks like it's formed another flag and is bouncing off the top of the green fib channel.
Keep an eye on the purple trend line. Btc has been rejected off of it time and time again over the past month.
I believe it could reject again down to 9,080, or break out into the 9,700 area.
Possible bull continuation at the bottom of a forming triangleTriangle formation at 1D time frame. It is resisted three times to the long side along the trendline. It also supported two times the second time with a hammer at the bottom. I could possibly continue up to the bull side if we get one or preferably two more confirmations to enter. It could also retest and continue down to the main upward trendline, but again we need more confirmation to enter either side, but for now I am inclining myself more to the bull side.
#US500 #SNP500 #SPX Bearish Hammer Candle Trader, there is a Bearish Hammer Candle #US500 #SNP500 #SPX.
____________________________________________________
Traders! if you like my ideas or have your own ideas to share on this market, comment below so that we can discuss.
Disclaimer:
The content on this analysis is subject to change at any time without notice, and is provided for the sole purpose of education only. Not a financial advice or signal. Please make your own independent investment decisions.
____________________________________________________
ETH giving BTC the Hammer, LiterallyETHBTC has thrown a very bullish signal from trendline support today in the form of a large bullish hammer. I like this setup for a number of reason 1)the hammer that formed was large in size 2) price bullishly reversed from a key support level 3) there was almost no upper wick on the candle. I think the chances are very high that ETHBTC rallies into the resistance area marked on my chart.
AMD - Correction Is Over, AlphaOverBeta Technical AnalysisHello Traders,
Analyzing AMD from the technical perspective, we see that the peak was reached at 57$,
After that, the stock retraced some of the gains and went back to the support of 52$ and the stock is now ready for the next leg up.
Our stop loss is set at 49$, a healthy 3$ spread, there is a greater chance that the stock will move to the upside but in case it does not and the correction turned into a downtrend, we close the entire position at 49$
Today (May 27th) is an interesting day for the price pattern of the stock, a clear hammer is formed supporting the uptrend hypothesis,
The support of the 52$ is also the 50 days EMA which also served as support since April 2020.
Trade Smartly,
Alon, AlphaOverBeta
GBPJPY - H1 - Double Top - SELLGBPJPY - H1 -Double Top - SELL
We have a breaish trend on the H1 chart and price made a Double Top with a Pullback under the 200 MA,
with long wicks candles: a Hammer and a shooting star this tell us that de Bears are taking the lead.
We enter short @ 130.75.
■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■
Entry: 130.75 | Stoploss: 131.25 | Takeprofit1: 130.05 |
■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■
■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■
If you like this idea please click the like button to support this channel, thanks.
■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■
Disclaimer: All information and ideas provided is for educational purposes only. It is not a recommendation to buy or sell.
■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■■
SUM: Unusual volume off a rising TL SUM has bounced off a rising TL with a hammer candlestick and an unusually daily volume. In H1 chart, we have a nice breakout offering good levels for entry and stop loss.
Price action & Psychology - Triple bottom, rejectionHello !
Key points:
Triple bottom
Rejection at support
Spike in volume
That price rejection actually tells us that people were afraid and panic sold at open, driving the price down until it encountered some buying pressure and price went back up.
When gauging this candlestick pattern, it is important that :
It is at a support level
Occurs after a selling wave
Shadow/wick goes below previous swing point low
A volume increase
An obvious wider price range
Look at the previous candlestick, it clearly tells us that there was some buying pressure but not enough momentum to carry the price up. Furthermore, it pulled back, I'd guess, halfway at previous "resistance" from the second bottom.
Thanks for reading and if you have suggestions or wanna discuss the idea, just leave a comment, I'll be happy to answer.
***Disclaimer : This is not an advice to buy the stock. Please, be aware that trading is a matter of probabilities and that it takes only ONE trader to deny your trade.***
2nd Attempt on $BK Long Setup:: It was a failed setup from 2 days okay; I kept $BK on my watchlist and see a possible good setup
+ NR7 with lowest vol. over the past 30 sessions
+ Inside bar + NR7
+ Hammer
+/- Weak support from .38 Fib
- Yesterday's bar had long upper shadow
- Appears to be moving side way around the 0.5 Fib.
Setup:
Long above yesterday's high
Stop set conservatively at last week's low
Target at .62 Fib