Engulfing-Harami-Pin bar (only setups you need to trade)
Only Three Candlestick setup you need to totally understand to trade Forex - Successfully!!!
1) Engulfing-
An engulfing pattern is a 2-bar reversal candlestick pattern. The first candle is contained with the 2nd candle. A bullish engulfing pattern has a red candle engulfed within a green candle. A bearish engulfing pattern has a green candle engulfed within a red candle
2) Harami-
The Harami candlestick is a Japanese candlestick pattern that comprises of two candles which indicates a potential reversal or continuation in the market. The word ‘Harami’ is derived from the Japanese word for ‘pregnant’ which is representative of the Harami candlestick pattern. The Harami candlestick pattern can signal both bullish and bearish indications as charts notes.
3) Pin Bar-
The pin bar is a candlestick pattern that has a long tail up or down and represents the price rejection at support or resistance level in Forex trading. The pin bar is the most powerful and effective candlestick pattern in technical analysis. It gives a reversal signal but there are many other ways too to use pin bar in technical analysis like it is also used to draw SR flip level.
If you thoroughly understand how to trade Engulfing, Harami and Pin Bar candlestick setups on 1 hour or higher is better- you will succeed in Forex. Always trade Price Action (just chart price) and maintain proper 1% to 2% risk management per trade (use total of trading account)- then you can set stops, lot sizes and targets of trade. Good Luck!!! Keep trading Forex trading as simple as possible- no need to complicate this endeavor. Look at quarter levels on charts or ex: 000, 250, 500 and 750, as noted on chart 000, 0000 and 500 were great levels of these candlestick patterns and reversals. Have Plan & Trade Plan.
1) Engulfing-
An engulfing pattern is a 2-bar reversal candlestick pattern. The first candle is contained with the 2nd candle. A bullish engulfing pattern has a red candle engulfed within a green candle. A bearish engulfing pattern has a green candle engulfed within a red candle
2) Harami-
The Harami candlestick is a Japanese candlestick pattern that comprises of two candles which indicates a potential reversal or continuation in the market. The word ‘Harami’ is derived from the Japanese word for ‘pregnant’ which is representative of the Harami candlestick pattern. The Harami candlestick pattern can signal both bullish and bearish indications as charts notes.
3) Pin Bar-
The pin bar is a candlestick pattern that has a long tail up or down and represents the price rejection at support or resistance level in Forex trading. The pin bar is the most powerful and effective candlestick pattern in technical analysis. It gives a reversal signal but there are many other ways too to use pin bar in technical analysis like it is also used to draw SR flip level.
If you thoroughly understand how to trade Engulfing, Harami and Pin Bar candlestick setups on 1 hour or higher is better- you will succeed in Forex. Always trade Price Action (just chart price) and maintain proper 1% to 2% risk management per trade (use total of trading account)- then you can set stops, lot sizes and targets of trade. Good Luck!!! Keep trading Forex trading as simple as possible- no need to complicate this endeavor. Look at quarter levels on charts or ex: 000, 250, 500 and 750, as noted on chart 000, 0000 and 500 were great levels of these candlestick patterns and reversals. Have Plan & Trade Plan.