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Indecision - The Human Experience of Being A Doji Context : Daily Chart ETHUSD. Uptrend intact. Price sitting right on the trend line. Price consolidating into a series of dojis. Imagine this scenario. You have a plan. You're a trend trader. You're looking to get long. You start to observe the context… We’re into September. Tech showing signs of correcting. Gold heading up. This chart... right here, right now is consolidating. And so you experience a little flicker. A small niggle … There it is. The voice of doubt. "I should get long but maybe this is the one that gives way". You feel a moment of indecision. And you’re stuck frozen The human version of a doji. Indecision has a cost and takes a toll. Not just in lost opportunity BUT in energy and confidence. A simple practice to help guard against this: Pre-decide the conditions. Write down before you enter what tells you to stay in and what tells you to step aside. Separate the signal from the noise. Notice the flicker of doubt, but act on your plan, not the passing thought. Doubt will always show up. The edge comes from knowing what you’ll do when it does.

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Mastering indecision candlestick patterns - How to use it!In this guide I will explain the indecision candlestick patterns. The next subjects will be discussed: - What are indecision candlestick patterns? - What is the doji? - What is the spinning top? - What is the high wave candle? What are indecision candlestick patterns? Indecision candlestick patterns are formations on a price chart that suggest uncertainty in the market. They appear when neither buyers nor sellers have full control, meaning the price moves up and down during the trading period but closes near where it opened. This creates a candle with a small real body and often long wicks on either side, showing that the market explored both higher and lower prices but ended up not committing strongly in either direction. These patterns are often seen during periods when traders are waiting for more information before making bigger moves. What is the doji? One of the most well-known indecision candles is the doji. A doji forms when the opening price and the closing price are almost identical, resulting in a very thin body. The wicks, which show the highest and lowest prices of the period, can be long or short depending on market activity. A doji tells us that buying and selling pressure were almost equal, which can happen during pauses in trends or before major reversals. What is the spinning top? Another type is the spinning top. A spinning top also has a small body, but unlike the doji, the open and close are not exactly the same. The wicks on both sides are typically of similar length, indicating that the market moved both up and down significantly before settling close to the starting point. This pattern reflects hesitation and a balanced struggle between bulls and bears. What is the high wave candle? The high wave candle is a more dramatic version of indecision. It has a small real body like the other patterns but features very long upper and lower shadows. This means the market swung widely in both directions during the period, but ultimately closed without making strong progress either way. The high wave candle signals strong volatility paired with uncertainty, which can often precede sharp moves once the market chooses a direction. When you see these types of candles, they are essentially the market saying “I’m not sure yet.” They often appear at turning points or before big news events and can warn that the current trend may be losing strength. However, they are not guarantees of reversal or continuation on their own. Traders usually combine them with other technical signals or chart patterns to confirm whether the market will break out in one direction or the other. ------------------------- Disclosure: I am part of Trade Nation's Influencer program and receive a monthly fee for using their TradingView charts in my analysis. Thanks for your support. If you enjoyed this analysis, make sure to follow me so you don't miss the next one. And if you found it helpful, feel free to drop a like 👍 and leave a comment 💬, I’d love to hear your thoughts!

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Mastering bullish candlestick patterns - How to use it!In this guide, we will explore some of the most important bullish candlestick patterns used in technical analysis. These patterns are essential tools for traders and investors who want to better understand market sentiment and identify potential reversal points where prices may start moving upward. What will be explained: - What are bullish candlestick patterns? - What is the hammer? - What is the inverted hammer? - What is the dragonfly doji? - What is the bullish engulfing? - What is the morning star? - What is the three white soldiers? - How to use bullish candlestick patterns in trading? What are bullish candlestick patterns?  Bullish candlestick patterns are specific formations on a candlestick chart that signal a potential reversal from a downtrend to an uptrend. These patterns are used by traders and investors to identify moments when the market sentiment may be shifting from bearish to bullish. Recognizing these patterns can help traders time their entries and make more informed decisions based on price action and market psychology. While no single pattern guarantees success, they can provide valuable clues when combined with other forms of analysis such as support and resistance, trendlines, and volume. What is the Hammer?  The Hammer is a single-candle bullish reversal pattern that typically appears at the bottom of a downtrend. It has a small real body located at the upper end of the trading range, with a long lower shadow and little to no upper shadow. The long lower wick indicates that sellers drove the price lower during the session, but buyers stepped in strongly and pushed the price back up near the opening level by the close. This shift in momentum suggests that the downtrend could be coming to an end, and a bullish move might follow. What is the Inverted Hammer? The Inverted Hammer is another single-candle bullish pattern that also appears after a downtrend. It has a small body near the lower end of the candle, a long upper shadow, and little to no lower shadow. This pattern shows that buyers attempted to push the price higher, but sellers managed to bring it back down before the close. Despite the failure to hold higher levels, the buying pressure indicates a possible reversal in momentum. Traders usually look for confirmation in the next candle, such as a strong bullish candle, before acting on the signal. What is the Dragonfly Doji?  The Dragonfly Doji is a special type of candlestick that often indicates a potential bullish reversal when it appears at the bottom of a downtrend. It forms when the open, high, and close prices are all roughly the same, and there is a long lower shadow. This pattern shows that sellers dominated early in the session, pushing prices significantly lower, but buyers regained control and drove the price back up by the end of the session. The strong recovery within a single period suggests that the selling pressure may be exhausted and a bullish reversal could be imminent. What is the Bullish Engulfing? The Bullish Engulfing pattern consists of two candles and is a strong indication of a reversal. The first candle is bearish, and the second is a larger bullish candle that completely engulfs the body of the first one. This pattern appears after a downtrend and reflects a shift in control from sellers to buyers. The bullish candle’s large body shows strong buying interest that overpowers the previous session’s selling. A Bullish Engulfing pattern is even more significant if it occurs near a key support level, and it often signals the beginning of a potential upward move. What is the Morning Star?  The Morning Star is a three-candle bullish reversal pattern that occurs after a downtrend. The first candle is a long bearish one, followed by a small-bodied candle (which can be bullish, bearish, or a doji), indicating indecision in the market. The third candle is a strong bullish candle that closes well into the body of the first candle. This formation shows a transition from selling pressure to buying interest. The Morning Star is a reliable signal of a shift in momentum, especially when confirmed by high volume or a breakout from a resistance level. What is the Three White Soldiers?  The Three White Soldiers pattern is a powerful bullish reversal signal made up of three consecutive long-bodied bullish candles. Each candle opens within the previous candle’s real body and closes near or at its high, showing consistent buying pressure. This pattern often appears after a prolonged downtrend or a period of consolidation and reflects strong and sustained buying interest. The Three White Soldiers suggest that buyers are firmly in control, and the market may continue moving upward in the near term. How to use bullish candlestick patterns in trading?  To effectively use bullish candlestick patterns in trading, it’s important not to rely on them in isolation. While these patterns can signal potential reversals, they work best when combined with other technical tools such as support and resistance levels, moving averages, trendlines, and volume analysis. Traders should also wait for confirmation after the pattern forms, such as a strong follow-through candle or a break above a resistance level, before entering a trade. Risk management is crucial—always use stop-loss orders to protect against false signals, and consider the broader market trend to increase the probability of success. By integrating candlestick analysis into a comprehensive trading strategy, traders can improve their timing and increase their chances of making profitable decisions. Thanks for your support. If you enjoyed this analysis, make sure to follow me so you don't miss the next one. And if you found it helpful, feel free to drop a like 👍 and leave a comment 💬, I’d love to hear your thoughts!

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How to Trade Doji Candles on TradingView Learn to identify and trade doji candlestick patterns using TradingView's charting tools in this comprehensive tutorial from Optimus Futures. Doji candles are among the most significant candlestick formations because they signal market indecision and can help you spot potential trend reversal opportunities. What You'll Learn: • Understanding doji candlestick patterns and their significance in market analysis • How to identify valid doji formations • The psychology behind doji candles: when buyers and sellers fight to a draw • Using volume analysis to confirm doji pattern validity • Finding meaningful doji patterns at trend highs and lows for reversal setups • Timeframe considerations for doji analysis on any chart period • Step-by-step trading strategy for doji reversal setups • How to set stop losses and profit targets • Real example using E-Mini S&P 500 futures on 60-minute charts This tutorial may help futures traders and technical analysts who want to use candlestick patterns to identify potential trend reversals. The strategies covered could assist you in creating straightforward reversal setups when market indecision appears at key price levels. Learn more about futures trading with Tradingview: optimusfutures.com Disclaimer: There is a substantial risk of loss in futures trading. Past performance is not indicative of future results. Please trade only with risk capital. We are not responsible for any third-party links, comments, or content shared on TradingView. Any opinions, links, or messages posted by users on TradingView do not represent our views or recommendations. Please exercise your own judgment and due diligence when engaging with any external content or user commentary. This video represents the opinion of Optimus Futures and is intended for educational purposes only. Chart interpretations are presented solely to illustrate objective technical concepts and should not be viewed as predictive of future market behavior. In our opinion, charts are analytical tools—not forecasting instruments. Market conditions are constantly evolving, and all trading decisions should be made independently, with careful consideration of individual risk tolerance and financial objectives.

Education

05:51

by OptimusFutures

Mastering Candlestick Patterns: Visual Guide for Traders 🔵 Introduction Candlestick charts are among the most popular tools used by traders to analyze price movements. Each candlestick represents price action over a specific time period and provides valuable insights into market sentiment. By recognizing and understanding candlestick patterns, traders can anticipate potential price reversals or continuations, improving their trading decisions. This article explains the most common candlestick patterns with visual examples and practical Pine Script code for detection. 🔵 Anatomy of a Candlestick Before diving into patterns, it's essential to understand the components of a candlestick: Body: The area between the open and close prices. Upper Wick (Shadow): The line above the body showing the highest price. Lower Wick (Shadow): The line below the body showing the lowest price. Color: Indicates whether the price closed higher (bullish) or lower (bearish) than it opened. An illustrative image showing the anatomy of a candlestick. 🔵 Types of Candlestick Patterns 1. Reversal Patterns Hammer and Hanging Man: These single-candle patterns signal potential reversals. A Hammer appears at the bottom of a downtrend, while a Hanging Man appears at the top of an uptrend. Engulfing Patterns: - Bullish Engulfing: A small bearish candle followed by a larger bullish candle engulfing the previous one. - Bearish Engulfing: A small bullish candle followed by a larger bearish candle engulfing it. Morning Star and Evening Star: These are three-candle reversal patterns that signal a shift in market direction. Morning Star: Occurs at the bottom of a downtrend, indicating a potential bullish reversal. It consists of: - A long bearish (red) candlestick showing strong selling pressure. - A small-bodied candlestick (bullish or bearish) indicating indecision or a pause in selling. This candle often gaps down from the previous close. - A long bullish (green) candlestick that closes well into the body of the first candle, confirming the reversal. Evening Star: Appears at the top of an uptrend, signaling a potential bearish reversal. It consists of: - A long bullish (green) candlestick showing strong buying pressure. - A small-bodied candlestick (bullish or bearish) indicating indecision, often gapping up from the previous candle. - A long bearish (red) candlestick that closes well into the body of the first candle, confirming the reversal. 2. Continuation Patterns Doji Patterns: Candles with very small bodies, indicating market indecision. Variations include Long-Legged Doji, Dragonfly Doji, and Gravestone Doji. Rising and Falling Three Methods: These are five-candle continuation patterns indicating the resumption of the prevailing trend after a brief consolidation. Rising Three Methods: Occurs during an uptrend, signaling a continuation of bullish momentum. It consists of: - A long bullish (green) candlestick showing strong buying pressure. - Three (or more) small-bodied bearish (red) candlesticks that stay within the range of the first bullish candle, indicating a temporary pullback without breaking the overall uptrend. - A final long bullish (green) candlestick that closes above the high of the first candle, confirming the continuation of the uptrend. Falling Three Methods: Appears during a downtrend, indicating a continuation of bearish momentum. It consists of: - A long bearish (red) candlestick showing strong selling pressure. - Three (or more) small-bodied bullish (green) candlesticks contained within the range of the first bearish candle, reflecting a weak upward retracement. - A final long bearish (red) candlestick that closes below the low of the first candle, confirming the continuation of the downtrend. 🔵 Coding Candlestick Pattern Detection in Pine Script Detecting patterns programmatically can improve trading strategies. Below are Pine Script examples for detecting common patterns. Hammer Detection Code //@version=6 indicator("Hammer Pattern Detector", overlay=true) body = abs(close - open) upper_wick = high - math.max(close, open) lower_wick = math.min(close, open) - low is_hammer = lower_wick > 2 * body and upper_wick < body plotshape(is_hammer, title="Hammer", style=shape.triangleup, location=location.belowbar, color=color.green, size=size.small) Bullish Engulfing Detection Code //@version=6 indicator("Bullish Engulfing Detector", overlay=true) bullish_engulfing = close < open and close > open and close > open and open < close plotshape(bullish_engulfing, title="Bullish Engulfing", style=shape.arrowup, location=location.belowbar, color=color.blue, size=size.small) 🔵 Practical Applications Trend Reversal Identification: Use reversal patterns to anticipate changes in market direction. Confirmation Signals: Combine candlestick patterns with indicators like RSI or Moving Averages for stronger signals. Risk Management: Employ patterns to set stop-loss and take-profit levels. 🔵 Conclusion Candlestick patterns are powerful tools that provide insights into market sentiment and potential price movements. By combining visual recognition with automated detection using Pine Script, traders can enhance their decision-making process. Practice spotting these patterns in real-time charts and backtest their effectiveness to build confidence in your trading strategy.

Education

Top 3 Must-Know Candlestick Patterns for Beginners Get your cup of coffee or tea ready we are doing a crash course on Candlesticks today I’m walking you through three candlestick patterns every beginner trader should know—Doji, Engulfing Candles, and Hammers (including the Inverted Hammer). These patterns are super helpful when you’re trying to spot market reversals or continuations. I’ll show you how to easily recognize them and use them in your own trades. Let’s keep it simple and effective. Key Takeaways: Doji: Indicates indecision, potential reversals. Engulfing Candles: Bullish or bearish reversal signals. Hammer & Inverted Hammer: Bullish reversal after a downtrend. Trade what you see and let’s get started! Mindbloome Trader

Education

19:52

by Mindbloome-Trading

The Art of Candlestick Trading: How to Spot Market Turns Early Buckle up, TradingViewers! It's time to unravel the ancient secrets of candlestick patterns. Originating from an 18th-century Japanese rice trader, these patterns aren't simply red and green elements on your trading charts—they are the Rosetta Stone of market sentiment, offering insights into the highs and lows and the middle ground of buyers and sellers’ dealmaking. If you’re ready to crack the code of the market from a technical standpoint and go inside the minds of bulls and bears, let’s light this candle! Understanding the Basics: The Candlestick Construction First things first, let’s get the basics hammered out. A candlestick (or Candle in your TradingView Supercharts panel) displays four key pieces of information: the open, close, high, and low prices for a particular trading period. It might be 1 minute, 4 hours, a day or a week — candlesticks are available on every time frame. Here’s the breakdown: The Body : This is the chunky part of the candle. If the close is above the open, the body is usually colored in white or green, representing a bullish session. If the close is below the open, the color is usually black or red, indicating a bearish session. The Wicks (or Shadows) : These are the thin lines poking out of the body, showing the high and low prices during the session. They tell tales of price extremes and rejections. Understanding the interplay between the body and the wicks will give you insight into market dynamics. It’s like watching a mini-drama play out over the trading day. Key Candlestick Patterns and What They Mean Now onto the fun part — candlestick formations and patterns may help you spot market turns (or continuations) early in the cycle. The Doji : This little guy is like the market’s way of throwing up its hands and declaring a truce between buyers and sellers. The open and close are virtually the same, painting a cross or plus sign shape. It signals indecision, which could mean a reversal or a continuation, depending on the context. See a Doji after a long uptrend? Might be time to brace for a downturn. The Hammer and the Hanging Man : These candles have small bodies, little to no upper wick, and long lower wicks. A Hammer usually forms during a downtrend, suggesting a potential reversal to the upside. The Hanging Man, its evil twin, appears during an uptrend and warns of a potential drop. Bullish and Bearish Engulfing: These are the bullies of candlestick patterns. A Bullish Engulfing pattern happens when a small bearish candle is followed by a large bullish candle that completely engulfs the prior candle's body — suggesting a strong turn to the bulls. Bearish Engulfing is the opposite, with a small bullish candle followed by a big bearish one, hinting that bears might be taking control of the wheel. The Morning Star and the Evening Star : These are three-candle patterns signaling major shifts. The Morning Star — a bullish reversal pattern — consists of a bearish candle, a small-bodied middle candle, and a long bullish candle. Think the dawn of new bullish momentum. The Evening Star, the bearish counterpart, indicates the onset of bearish momentum, as if the sun is setting on bullish prices. The Shooting Star and the Inverted Hammer : Last but not least, these candles indicate rejection of higher prices (Shooting Star) or lower prices (Inverted Hammer). Both feature small bodies, long upper wicks, and little to no lower wick. They flag price exhaustion and potential reversals. Trading Candlestick Patterns: Tips for Profitable Entries Context is King : Always interpret candlestick patterns within the larger market context. A Bullish Engulfing pattern at a key support level is more likely to pan out than one in no-man’s-land. Volume Validates : A candlestick pattern with high trading volume gives a stronger signal. It’s like the market shouting, “Hey, I really mean this move!” Confirm with Other Indicators : Don’t rely solely on candlesticks, though. Use them in conjunction with other technical tools like RSI, MACD, or moving averages to confirm signals. Wrapping It Up Candlestick patterns give you a sense for the market’s pulse and offer insights into its moment-to-moment sentiment — is it overreacting or staying too tight-lipped. Mastering candlesticks can elevate your trading by helping you spot trend reversals and continuations. These patterns aren’t foolproof — they are powerful tools in your trading toolkit but require additional work, knowledge and context to give them a higher probability of confirmation. It’s time to light up those charts and let the candlesticks illuminate your trading path to some good profits!

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Most Powerful Candlestick Patterns Candlestick patterns are like building blocks in understanding how the stock market behaves and how prices might change. Knowing about these patterns can really help you make smarter decisions when trading. I. Introduction to 35 Candlestick Patterns Candlestick patterns are visual representations of price movements within a specific time frame. Each candlestick represents the opening, closing, high, and low prices for that period. The body of the candlestick is the difference between the opening and closing prices, while the wicks or shadows represent the price range. II. Bullish Candlestick Patterns A bullish candlestick pattern is essentially a visual signal that appears on a price chart, indicating a potential upward momentum or trend in the market. It’s like a green light for traders, suggesting that the price of the asset is likely to go up. Traders use these patterns to time their entry into the market with the goal of capitalizing on the anticipated price increase. Bullish Single Candlestick Patterns: Hammer: A single candlestick pattern characterized by a small body and a long lower wick, signaling a potential bullish reversal after a downtrend. Inverted Hammer: Another single candlestick pattern with a small body and a long upper wick, indicating a potential bullish reversal after a downtrend. Black Marubozu: A single candlestick pattern characterized by a long black body with no shadows, representing a strong bearish sentiment. White Marubozu: A single candlestick pattern characterized by a long white body with no shadows, representing a strong bullish sentiment Bullish Double Candle Patterns: Bullish Engulfing: A two-candle pattern where a small bearish candle is followed by a larger bullish candle that engulfs the previous one, suggesting a potential trend reversal to the upside. Bullish Piercing Pattern: A two-candle pattern starting with a bearish candle followed by a larger bullish candle that opens below the previous day’s low and closes more than halfway into the prior bearish candle. Bullish Counterattack: A two-candle pattern starting with a bearish candle, followed by a larger bullish candle that engulfs the entire range of the previous bearish candle. Tweezer Bottom: A two-candle pattern occurring after a downtrend, characterized by two consecutive bearish candles with similar lows, suggesting potential support and a bullish reversal. Mat Hold: A five-candle pattern suggesting a continuation of a bullish trend. It begins with a bullish candle followed by a bearish candle, a long bullish candle, a small bullish or bearish candle, and ends with another bullish candle. Bullish Triple Candle-Sticks Pattern: Morning Star Pattern: A three-candle pattern starting with a bearish candle, followed by a small indecisive candle (often a doji), and then a bullish candle, indicating a potential bullish reversal. Three White Soldiers: A bullish formation consisting of three consecutive long bullish candles. Each candle closes higher than the previous one, suggesting a strong potential upward movement. Rising Three Methods: A five-candle pattern signaling a continuation of the current bullish trend. It starts with a long bullish candle, followed by three smaller bearish candles, and ends with another long bullish candle. Upside Tasuki Gap: A three-candle pattern involving a bullish candle, a gap up, a bearish candle, and finally another bullish candle that opens within the range of the previous bearish candle. III. Bearish Candlestick Patterns A bearish candlestick pattern is a visual cue on a price chart that suggests a potential downward momentum or trend in the market. It’s akin to a red light for traders, indicating that the price of the asset is likely to decrease. Traders pay close attention to these patterns to time their entry into the market, aiming to profit from the expected price decline. Single Candle Patterns: Hanging Man: A single candlestick pattern resembling a hanging man, signaling a potential bearish reversal after an uptrend. Learn more about Hanging Man Candlestick Shooting Star Pattern: A single candlestick pattern characterized by a small body and a long upper wick, suggesting a potential bearish reversal. Bearish Engulfing: A two-candle pattern where a small bullish candle is followed by a larger bearish candle that engulfs the previous one, indicating a potential trend reversal to the downside. Black Marubozu: A single candlestick pattern characterized by a long black body with no shadows, representing a strong bearish sentiment. Double Candle Patterns: Evening Star Pattern: A three-candle formation indicating a potential bearish reversal. It starts with a bullish candle, followed by a small indecisive candle and ends with a bearish candle. Dark Cloud Cover: A two-candle pattern starting with a bullish candle followed by a larger bearish candle that opens above the previous day’s high and closes more than halfway into the prior bullish candle. Bearish Harami: A two-candle pattern. The first candle is a large bullish one, followed by a smaller bearish candle that is entirely within the range of the bullish candle. This pattern indicates a potential bearish reversal. Bearish Counterattack: A two-candle pattern starting with a bullish candle, followed by a larger bearish candle that engulfs the entire range of the previous bullish candle. On-Neck Pattern: A two-candle pattern where the first day has a long black body followed by a second day with a small body that closes slightly above the previous day’s low. Triple Candle Patterns: Three Black Crows: A bearish formation consisting of three consecutive long bearish candles. Each candle closes lower than the previous one, suggesting a strong potential downward movement. Three Inside Down: A bearish reversal pattern. It consists of a bullish candle, a smaller bearish candle that is completely within the range of the previous candle, and a larger bearish candle. Three Outside Down: A three-candle pattern. It starts with a bullish candle, followed by a larger bearish candle that completely engulfs the previous bullish candle, and then another bearish candle. Neutral Candlestick Pattern A neutral candlestick pattern doesn’t strongly indicate either a bullish or bearish trend. It’s like a yellow light, suggesting caution and indicating that the market is uncertain or indecisive about its direction. Traders look at these patterns to assess the market’s stability or potential upcoming change in trend. Single Candle Patterns: [/b Doji: A single candlestick pattern with a small body, indicating market indecision. It suggests a potential trend reversal, whether bullish or bearish. Spinning Top: A single candlestick pattern with a small body and long upper and lower wicks, signaling market indecision and potential trend reversal. High Wave: A single candlestick pattern characterized by a long upper and lower wick relative to the body, suggesting high market volatility and uncertainty. Double Candle Patterns: Tweezer Top: A two-candle pattern occurring after an uptrend, characterized by two consecutive bullish candles with similar highs, suggesting potential resistance and a bearish reversal

Education

by Golden_Star1994

Mastering the Art of Trading Doji Candlesticks in Forex 📈🕯️ Mastering the Art of Trading Doji Candlesticks in Forex 📈🕯️ ✅Introduction ================= In the world of forex trading, the use of candlestick patterns is an essential tool for analyzing and predicting market movements. Among these patterns, the doji candlestick holds a special significance due to its potential to signal market reversals and trend continuations. In this article, we will explore the characteristics of doji candlesticks, their significance in forex trading, and strategies for effectively trading them. Formation of 2 doji candles on a daily time frame on GBPUSD after a retracement was a strong bullish signal. ✅Understanding the Doji Candlestick ===================================== The doji candlestick is characterized by its very small or non-existent body, indicating that the opening and closing prices are essentially the same. This results in the formation of a short or non-existent body, with long upper and lower wicks. The doji represents market indecision, signaling a potential reversal or continuation of the current trend. Doji candle helped me to predict a bearish reversal on USDJPY. ✅Trading Strategies with Doji Candlesticks ============================================== 1. Reversal Strategy: When a doji candle forms after a strong upward or downward trend, it can indicate market indecision and potential reversal. Traders can look for confirmation from other technical indicators or patterns to enter a trade in the opposite direction of the previous trend. Example: After a prolonged uptrend, a doji candle forms, indicating indecision. Traders can wait for a bearish confirmation candle, such as a bearish engulfing pattern, before entering a short trade. 2. Continuation Strategy: Sometimes, a doji candle can signify a brief pause in the current trend before continuing in the same direction. Traders can wait for a break above or below the high or low of the doji to confirm the continuation of the trend. Example: In a strong uptrend, a doji candle forms, indicating uncertainty. Traders can wait for a break above the high of the doji to enter a long trade, expecting the trend to continue. 3. Doji Patterns: Certain variations of the doji candle, such as the dragonfly doji, gravestone doji, or long-legged doji, carry their own specific implications based on their shape and position within the broader price action. Traders can develop specialized strategies based on these patterns. Combining key levels and doji gives even more powerful confirmation ✅Conclusion ================ In conclusion, mastering the art of trading doji candlesticks in forex requires a deep understanding of their characteristics and the ability to integrate them into effective trading strategies. By incorporating doji candlesticks into their arsenal of technical tools, traders can gain valuable insights into market sentiment and improve their decision-making process. By learning to recognize and interpret doji patterns, traders can enhance their ability to identify potential trend reversals and continuations, leading to more profitable trading outcomes. Incorporating the strategies outlined in this article, traders can leverage the power of doji candlesticks to gain an edge in their forex trading endeavors. Happy trading! 📊💰

Education

by AnabelSignals

Learn Profitable Doji Candle Trading Strategy In the today's post, I will share my Doji Candle trading strategy. This strategy combines the elements of multiple time frame analysis, price action and key levels. Step 1 Analyze key levels on a daily time frame. Identify vertical and horizontal supports and resistances. Here are the key structures that I spotted on on AUDUSD. Step 2 Look for a formation Doji Candle on a key structure. This rule is crucially important: we will trade only the Doji candles that are formed on key levels. From key supports, we will look for buying, and we will look for shorting from key resistances. Look at this Doji Candle that was formed on a key daily support on AUDUSD. Step 3 Look for a horizontal range on a 4h/1h time frames. Doji Candle signifies indecision. Quite often, you will notice the horizontal ranges on lower time frames when this candlestick is formed. Here is a horizontal range that was formed on a 4H time frame on AUDUSD after a formation of Doj i. Step 4 Look for a breakout of the range. To sell from a key resistance, we will need a bearish breakout of the support of the range. That will be our bearish confirmation. To buy from a key support, we will need a bullish breakout of the resistance of the range. It will be our bullish signal. Here is a confirmed breakout of the resistance of the range with a 4H candle close above. That is our bullish confirmation on AUDUSD. Step 5 Buy aggressively or on a retest. After you spotted a confirmed breakout of the range, open a trading position aggressively or on a retest. Personally, I prefer trading on a retest. If you sell, a stop loss should be above the high of the range and your target should be the closest key daily support. If you buy, your stop loss should be below the low of the range and a take profit will be on the closest daily resistance. On AUDUSD, a long position was opened on a retest. Stop loss is lying below the lows. Take profit is the closest resistance. Here is how the great strategy works! Always patiently wait for a confirmation! That is your key to successful trading Doji Candle. ❤️Please, support my work with like, thank you!❤️

Education

by VasilyTrader

Think You Know Candlestick Patterns?Welcome to the world of candlestick patterns! 💜If you appreciate our charts, give us a quick 💜 Doji candlesticks, with their equal or nearly equal open and close, offer crucial insights into market indecision. Understanding these formations is key to anticipating potential reversals and trade decisions. Let’s delve deeper into their significance and how to incorporate them effectively into your trading strategy. Understanding Doji: A Doji occurs when opening and closing prices are almost identical, signaling market indecision. Neutral Nature: Doji are neutral signals, highlighting the tug-of-war between buyers and sellers. Psychological Insight: Forming amid market uncertainty, Doji reflect hesitancy and potential trend shifts. 4 Types of Doji and Their Meanings: Dragonfly Doji: Description: Open and close near the high of the day. Interpretation: Sellers drive prices down, but buyers regain control. Action: Explore long positions with support from trend analysis and resistance levels. Gravestone Doji: Description: Open and close occur near the low of the day. Interpretation: Buyers initially push prices up, but sellers regain control. Action: Consider short positions if confirmed by trend analysis and support/resistance levels. Traditional Doji: Description: Open and close are almost identical. Interpretation: Strong market indecision; trend reversal potential. Action: Confirm with trend analysis; consider reversal or continuation trades accordingly. Long-Legged Doji: Description: Significantly long upper and lower shadows. Interpretation: Represents high indecision; neither buyers nor sellers dominate. Action: Await confirmation from other indicators for trade decisions. Incorporating Doji Into Your Strategy: Combining with Support/Resistance: Doji at key support/resistance levels enhance their significance. Use them to validate potential reversal points. Utilizing Trend Analysis: Doji are potent when aligned with prevailing trends. In an uptrend, Doji signal potential reversals, while in downtrends, they may indicate trend exhaustion. Implementing Fibonacci Levels: Combine Doji with Fibonacci retracement levels for robust entry/exit points. A Doji at a Fibonacci level strengthens the reversal signal. Risk Management: Define stop-loss and take-profit levels logically. Doji, while insightful, don’t guarantee outcomes. Protect your investments with sound risk management. Remember, successful trading is a blend of strategy, discipline, and adaptability. Doji candlesticks, as valuable tools, provide glimpses into market psychology. When integrated wisely, they can bolster your trading decisions, enhancing your overall effectiveness in the dynamic world of trading.

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Japanese Candlesticks - Doji Candles As traders, if we want to improve our technical analysis knowledge to better develop our price action skills, we owe it to ourselves to grasp candlestick patterns, in this case the Doji candlestick pattern. This post will go into further detail about this unique candlestick group and will also explain the psychology behind these patterns and how they can affect future price movements in the market. Before we go into further detail about doji candles, there are times this post will mention the words: 'OPEN PRICE, 'CLOSE PRICE, 'HIGH PRICE, 'LOW PRICE, 'UPPER WICK, 'LOWER WICK, and 'BODY.' So what are these? OPEN PRICE: Open means a candlestick's first price when it started. CLOSE PRICE: Close means a candlestick's last price when it ended. HIGH PRICE: High means how high the price went during that candlestick. LOW PRICE: Low means how low the price went during that candlestick. UPPER WICK: An upper wick forms when the high price of the candlestick is higher than the close price (bull candle) or open price (bear candle) of the period. LOWER WICK: A lower wick forms when the low of the candlestick is lower than the close price (bear candle) or open price (bull candle) of the period. Body: The visual difference between the candlestick's open and close prices. What is a Doji candlestick? The Doji Japanese candlestick pattern is a class of single-bar indecision patterns whose open and close prices are either identical or close to identical and therefore either do not have bodies or have very small bodies. A doji candlestick pattern generally suggests indecision or uncertainty in the markets. The reason for this is because of the psychological meaning behind a doji candle. As previously mentioned, all doji candles' open and close prices are either identical or close to identical, meaning that during the time of the candle's formation, buyers (bulls) and sellers (bears) were both at a complete standoff and neither one came out on top. There are different types of doji patterns depending on where the open and close prices are, and these types are known as: doji star, gravestone doji, dragonfly doji, long-legged doji, and four-price doji. Technical traders use the 'doji' term to refer to all of the above patterns but specifically call out a doji by its proper name when they want to be more specific, e.g., a dragonfly doji. Doji Star The doji star (also known as 'standard doji' or 'neutral doji') is a pattern that is composed of an upper and lower wick on either side of the opening and closing price that are approximately the same length. The doji star’s main features are: Identical or close to identical opening and closing prices. The upper wick and lower wick are approximately the same length. Overall, it has a cross shape. It indicates indecision: the market hesitates between two directions. When a doji star appears at the top of a bullish swing or at the bottom of a bearish swing, this is seen as a sign that there may be a possible change in the trend. The reason for this is due to the neutral formation of the candle and what it means psychologically: this candle pattern tells us that buyers and sellers were completely equal; it is not possible at this moment to judge which side of the market has the upper hand, so if a doji star appears near the top or bottom of a trend swing, then it is possible that there may be hesitation or uncertainty to continue the trend. Gravestone Doji The gravestone doji pattern is formed by a candle that has only the upper wick. This indicates that the price tried to move higher but failed to do so and closed at a price identical to or close to identical to both the open and low prices. The gravestone doji’s main features are: A long upper wick. No lower wick Open and close prices are identical or close to identical to the low price. Overall, the pattern has an inverted 'T' shape. This pattern is most significant at the top of a bullish swing. It indicates indecision; this has a more bearish bias because of the upside rejection of the high price from the sellers. The psychology behind the gravestone doji usually indicates that the buyers might be losing power because they can no longer drive the price up and the sellers might be in control. When a gravestone doji pattern appears, especially at the top of a bullish swing, this is seen as a positive sign that there may be a possible change in the trend. Dragonfly Doji The dragonfly doji pattern is formed by a candle that has only the lower wick. This indicates that the price tried to move lower but failed to do so and closed at a price identical to or close to identical to both the open and high prices. The dragonfly doji’s main features are: A long lower wick. No upper wick. Open and close prices are identical or close to identical to the high price. Overall, the pattern has a 'T' shape. This pattern is most significant at the bottom of a bearish swing. It indicates indecision; this has a more bullish bias because of the downside rejection of the low price from the buyers. The psychology behind the dragonfly doji usually indicates that the sellers might be losing power because they can no longer drive the price down, and the buyers might be in control. When a dragonfly doji pattern appears, especially at the bottom of a bearish swing, this is seen as a positive sign that there may be a possible change in the trend. Long-legged Doji The long-legged doji pattern is just like the doji star, but with a longer upper and lower wick on either side of the opening and closing price. This pattern suggests not only market uncertainty but also more market volatility due to the longer wicks on either side. The long-legged doji's main features are: Identical or close to identical to the open and close prices. The long upper wick and the long lower wick are approximately the same length. Overall, it has a cross shape. It indicates indecision and higher volatility; the market hesitates between two directions. Four-Price Doji The four-price doji pattern (also called 'doji of four prices') is the rarest doji pattern type; it is extremely rare on the chart, especially on the higher time frame charts. It represents a straight horizontal line (only the body, without any upper and lower wicks). The pattern is formed when all four prices are the same: open, high, low, and close. The four-price doji's main features are: Completely flat horizontal body with no upper or lower wick. Overall, it has a 'dash' shape. Open, high, low, and close prices are all identical. As rare as this doji pattern is, it does form from time to time. This happens either on very low-liquid assets or when volumes severely drop on the market, for example, during holidays or near the start or close of a trading session. Be careful with short time frames! Doji candles appear far too often in shorter timeframes; traders on short-term timeframes do not generally take them as serious signals for predicting future price movements. Doji candles on shorter time frames are not as psychologically impactful as doji candles that form on longer-term charts. A big reason for this is due to the fact that it is a lot easier for a doji candle to develop in a shorter time frame than in a longer one. For example, it is far easier for a one-minute candle to have an identical or close to identical open and close price than it is for a daily candle to have an identical or close to identical open and close price. Additionally, short-term timeframes feature a lot of price noise, which can be confusing for traders. EURUSD 1 Minute Chart As you can see in the image above, doji candles appear too many times in the shorter time frames to be effective. Advantages and Disadvantages With all technical analysis methods in the financial markets, there are advantages and disadvantages to them, and doji candle patterns are no different. The advantages and disadvantages of doji candle patterns are: Technical traders use Japanese candlestick patterns to help understand and predict future price movements. Doji candles can be very effective in doing this, and traders should pay attention to them when they form on their charts as they can provide potential trading opportunities. However, due to their limitations, traders should use additional technical analysis methods alongside any doji pattern to predict future price movements. Doji candles are indecision candles and therefore do not guarantee trend reversals, but make sure you are cautious of them, observe them, and, most importantly, learn from them! Trade safely and responsibly. BluetonaFX

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📊 The Doji Candle Pattern 📍What is the Doji Candlestick Pattern? The Doji Candlestick Pattern refers to a chart pattern consisting of a single candle. This pattern appears when the opening and closing prices of a candle are nearly the same or identical, resulting in a small-bodied candle with upper and lower wicks resembling a "+". Different variations of Doji patterns exist, with unique names like the Long-legged Doji, Gravestone Doji, Dragonfly Doji, and Doji star candlestick pattern. Regardless of the type, all Doji patterns provide traders with four critical data points: the open, close, high, and low prices for the given period. Doji patterns can occur on any timeframe and in any market, making them the foundation of many trading strategies 🔹Long-legged Doji The Long-legged Doji pattern has an elongated upper and lower wick and a small body The Long-legged Doji can be interpreted in several ways and works best when viewed in context with price action. It is a potential price reversal signal in a defined up or downtrend. If it occurs in a flat market, it suggests further consolidation. 🔹Dragonfly Doji The Dragonfly Doji sets up when the candle’s open, close, and high is approximately the same. Visually, the Dragonfly looks like a “T,” as depicted in the image below. This formation suggests that heavy selling was present, but the market has rebounded. As a general rule, the Dragonfly is considered a reversal indicator. A retracement in price is expected when it occurs at the top of a bullish trend. 🔹Gravestone Doji The Gravestone Doji pattern is the polar opposite of the Dragonfly; it appears as an inverted “T” and signals that heavy buying has given way to selling. The Gravestone Doji is a reversal chart pattern that signals downward or upward pressure may be on the way. The Gravestone suggests that a reversal is possible when observed within a defined uptrend. Within a downtrend, bullish price action may be forthcoming. 🔸Reversals Doji candlesticks can be a great way to get in or out of the market in trending markets. The Gravestone and Dragonfly are ideal for reversal strategies as they indicate forthcoming upward and downward movements in price. 🔸Breakouts One of the lowest-risk ways to utilize Dojis in the FX market is to trade breakouts. A breakout is a sudden directional move in price. Dojis often precede breakouts, as they are a signal of indecisiveness. As soon as the market makes up its mind, a significant move may be in the offing. 👤 @AlgoBuddy 📅 Daily Ideas about market update, psychology & indicators ❤️ If you appreciate our work, please like, comment and follow ❤️

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Tug of War Among Central Banks There is a tug of war situation among the central banks to hike interest rates. What is the bad and the good that will come out from this? i. Last week of October, European Central Bank officials announced another massive 75 basis point hike, increasing interest rates at the fastest pace in the history of the euro currency. ii. This week, the Federal Reserve is expected to increase rates by 75 basis points for the fourth time in a row. iii. The Bank of England could join the club on Thursday. Content: . The Interest Rate race has just started, why? . The impact on different currencies . It may not be all bad news, why? With higher interest rates, it attracts investors to buy its currency, in this case the USD. Currency is always a pair, when USD strengthens, the other side weakens. When a currency gets weaker, it is very bad news for inflation because they will have to pay more on their imports. Therefore in order to counter inflation, one of the best measures is to hike rate Expect more volatility in the currencies market, meaning currencies will take its turn to move. And if you are a trader, you should welcome volatility. Because with volatility, there are opportunities. GBP Futures 0.0001 = $6.25 0.001 = $62.50 0.01 = $625 0.1 = $6,250 1.1000 to 1.2000 = $6,250 Disclaimer: • What presented here is not a recommendation, please consult your licensed broker. • Our mission is to create lateral thinking skills for every investor and trader, knowing when to take a calculated risk with market uncertainty and a bolder risk when opportunity arises. CME Real-time Market Data help identify trading set-ups in real-time and express my market views. If you have futures in your trading portfolio, you can check out on CME Group data plans available that suit your trading needs www.tradingview.com

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08:39

[Candlestick Patterns] Just need to know these three!#Candlestick #CandlePattern #Tocademy #Tutorial Hello traders from all over the world, this is HAMZA_ZDH=) I was unexpectedly surprised by many of you who liked and supported my last post about the basic concept of TA( Technical Analysis ). Today I prepared a brief lecture about the Candlestick Pattern, one of the most fundamental phenomenon and behaviors that traders must be well-informed. In fact, we should be very familiar with these textbook contents and interpret it in a glimpse on the technical chart unconsciously. Just like we don't pay direct attention about each breathes when breathing, like we don't care each and all of the alphabets when we speak, or like we don’t perceive location of each keyboards every moment as we type, this very technique should be performed automatically and quickly by observing dominant formations of candlestick bars. As a matter of fact, comprehending market trends and price actions only by referring to the candlesticks is yet too spurious. It should be used in such a way to weight on certain scenarios in a macroscopic view, rather than deriving precise and specific PRZ(Potential Reversal Zone)s and distinguish the accurate market trend. It’s never like ‘The price must go up because this pattern just appeared’. Furthermore, I strongly believe that the reliability of the candlestick pattern strategy is declining especially in recent financial market, where we encounter countless non-traditional and abnormal situations that were not very common in the past. Hence among the existing ‘Textbook’ candlestick pattern strategies that can easily be found on Google , there are particular patterns that are still very reliable on current market and there are ones that are not as reliable as it used to be. So here, I will organize everything very clearly for you guys.

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[Candlestick Patterns] Just need to know these three!#Candlestick #CandlePattern #Tocademy #Tutorial Hello traders from all over the world, this is Tommy =) I was unexpectedly surprised by many of you who liked and supported my last post about the basic concept of TA(Technical Analysis). Today I prepared a brief lecture about the Candlestick Pattern, one of the most fundamental phenomenon and behaviors that traders must be well-informed. In fact, we should be very familiar with these textbook contents and interpret it in a glimpse on the technical chart unconsciously. Just like we don't pay direct attention about each breathes when breathing, like we don't care each and all of the alphabets when we speak, or like we don’t perceive location of each keyboards every moment as we type, this very technique should be performed automatically and quickly by observing dominant formations of candlestick bars. As a matter of fact, comprehending market trends and price actions only by referring to the candlesticks is yet too spurious. It should be used in such a way to weight on certain scenarios in a macroscopic view, rather than deriving precise and specific PRZ(Potential Reversal Zone)s and distinguish the accurate market trend. It’s never like ‘The price must go up because this pattern just appeared’. Furthermore, I strongly believe that the reliability of the candlestick pattern strategy is declining especially in recent financial market, where we encounter countless non-traditional and abnormal situations that were not very common in the past. Hence among the existing ‘Textbook’ candlestick pattern strategies that can easily be found on Google, there are particular patterns that are still very reliable on current market and there are ones that are not as reliable as it used to be. So here, I will organize everything very clearly for you guys. The technical chart is well known as sort of a map tracing the mob-psychology of all the stakeholders in the market. Investors’ sentiments such as FUD(Fear, Uncertainty, and Doubt) and FOMO(Fear of Missing Out) that often cause panic buy/sell are visualized as data. Those with a clear understanding of the fundamental nature of how candlesticks are being formed, don’t even need to memorize these patterns one by one. As I emphasized at my previous post, candlesticks should be interpreted as a whole structure, unlike the line chart expressed in one-dimensional. Candlesticks are newly formed in each time interval and we can choose the timeframe for the chart that we are about to analyze. For instance, each candlestick in a daily chart is formed every day while each candlestick in a 5minute chart is formed every 5 minutes. Higher the timeframe of the chart is, longer-term the scope within the chart is. It is important as a TA analyst to start from macro-perspective with higher timeframe first, then go deeper to lower timeframe and find short-term factors. There are four independent prices composing a candlestick: open, high, low and close price. Open price indicates the starting point while close price indicates the ending point of a candlestick. Just like the wording, high/low prices are formed at the highest/lowest price during the time period of candlestick being formed. A bullish candlestick is when the closing price is above the opening price (i.e., when the price rises), while a bearish candle is when the closing price is below the opening price (i.e., when the price is falling), and the two are expressed in different colors (green & red or red & blue). The thick part between the opening and closing price is called the ‘Body’, and the thin part is called the ‘Tail’ (Wick or Shadow). Typically, the length of the body implies the strength of an ongoing trend. We learned from the textbook that the candlesticks with a longer body means stronger trend and those with shorter tails mean clearer trend. Back in the days, there was time when we could detect if whales are involved and deduct impulsiveness of ongoing trend when distinctly long bodied candlesticks with relatively high trading volumes take places. I am afraid to tell you that it is better to erase that memory. First of all, it is too obvious and cliché to announce that the long candlesticks with high volumes mean strong market trend. This criterion itself is quite vague and not 100% reliable to identify future trends or find insightful signals. Moreover, in recent days (especially in Crypto), whales like to deceive retail traders with a strong faith of trading volumes and since the future markets are becoming bigger, giving too much weight on trading volume paired to each candlestick is not as effective as it was when textbook used to work very well. I am not saying textbook is wrong. It just needs slight updates since the market we are dealing with keeps changing over time. In TA world, closing price of a candlestick carries a great meaning and thus closing prices at higher timeframes should very well be monitored to become a successful trader. Sometimes whales even battle aggressively right before a major closing time often causing a weird ‘scam’ moves with a high volume. As shown below, we usually find the price and time when certain TA variables (such as top/bottom of trendline, channels, pivot levels, and other indicators) are broken, meaning if the price has penetrated those variables successfully, in order to find breakout entries, stoplosses, and target prices, etc. This whole concept of breaking above or below is quite vague, subjective, and relative idea. So, what we traders refer to as a reliable criterion is confirming whether the candle closed above and below the factors. For instance, let’s say that we are seeking and waiting for the breakout of the downward trendline. Well sometimes it’s not as easy as expected to precisely spot and determine whether the price has successfully pierced through the trendline. There are times when price breaks the trendline, but ends up coming back below leading close price of the candlestick to be formed below the trendline like the case 2 below. In this very case, it’s difficult to determine whether the breakout happened successfully or not. Nevertheless, like case 3, when both closing and high prices are formed above the trendline, we can clearly confirm and weight more on the breakout scenario, expecting more bullish rally. Okay let's get to the point. In recent financial trading market, it's enough to know just these three. 1. Engulfing 2. Doji 3. Long Tailed Candlestick As mentioned above, there’s nothing hard if you understand the essential concepts and principles of the above patterns and phenomena. The engulfing candlestick is a phenomenon in which the body of the previous candle is consumed by the body of the next candle, that is, a larger body than the previous one comes out. In other words, if a new bullish candle closes higher than the previous open price or if a new bearish candle closes lower than the previous open price, we say ‘the new candlestick engulfed the previous one’. If we look closely, this pattern implies the circumstance where the new candle completely overwhelms the trend of the previous candle and reverses it into a new trend despite closing the price from above or below. However, the appearance of an engulfing candle does not mean that the trend is unconditionally reversed. It is often the case that engulfing candles take place consecutively, with the second candle taking over the body of the first candle, the third’s taking over the second’s, the fourth’s taking over the third’s and so on. As the price fluctuates up and down, it creates a Widening or Broadening pattern also known as expanding sort of shapes, making it difficult for traders to figure out the current trend. In this circumstance, the entry prices, stop loss prices, target prices, or average prices of many participants in the market tend to be located relatively nearby. This price range or region is called a HVP(High Volume Profile or Peak) or an Orderblock and I will cover details about this concept later on another post. Anyway, there are numerous methods to derive Orderblock and one of them is to spot bodies of the consecutive engulfing candlesticks. The tail(wick) of a candlestick can be interpreted as a sign of the fierce battle between the bulls are bears. Longer tail signifies bigger collision between buying and selling forces. The longer the upper tail, the more the bulls trying to raise the price up but the bears rejecting them eventually sellers ending up being dominant and vice versa for the longer the lower tail. Generally, when the long upper/lower tails are formed at a relative higher/lower part of the wave structure or at a distinctive pullback as a PRZ this can be a possible signal of trend reversal. Due to my personal trading experience, it doesn't matter much in recent TA market whether the long-tailed candlestick is a bullish or bearish. In other words, regardless of the color of Hammer or Shooting star (which are both long-tailed candlestick pattern), it’s better to check if the next following candlesticks are being formed opposite direction of the tail. Personally, I don't think the Inverted Hammer and Hanging Man are not as necessary as it used to be in the old days. When the length of the candlestick’s body is relatively short meaning if the open and close prices are very close, forming a cross like shape, it’s called a Doji. Since Doji has a short body, the upper and lower tails tend to come out longer and thus can be considered as evidence of a tense confrontation between the bulls and bears that eventually ends up reaching a balance. Similar to the long-tailed candlestick, Doji is also known as a sign of a PRZ depending on the next appearing candlesticks. When Dojis are observed after swing high or low, it can be a possible indicator that the on-going trend is overheated and you might want to anticipate some pullbacks. However, it is too risky to directly assume that the top or bottom is near just because of Doji. Especially in the market these days, Dojis also appear frequently in sideways and sometimes confuses traders searching for a clear trend. As emphasized above, as with other technical techniques, theories, and indicators, always remember to weight more to the emergence of patterns in higher timeframes and longer-term perspectives. The higher timeframe people globally refer to, the more the reliability the TA will be. Just think about it for a second. Which timeframe do you think that people consider more significantly about the closing price, a 5 minutes chart or a daily chart? I would obviously say that the price signals from the daily cart is relatively more representative and reflect longer-term than those of the 5 minutes chart. Keep in mind is that you also need to understand market trends from a macro perspective before approaching towards short-term perspective. It is always recommended to recognize long-term trends or situations in advance from the candlestick of a higher timeframe, and then look at more detailed and microscopic elements step by step. All right. I will wrap up now. Thanks for reading my post. Your subscriptions, likes, and comments are a huge inspiration for me to write more posts!

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by Tommy_Trader

The Power of Doji A Doji is created when the open and close for a price are virtually the same. Doji tend to look like a cross or plus sign and have small or nonexistent bodies. From an auction theory perspective, Doji represent indecision on the side of both buyers and sellers. Everyone is equally matched, so the price goes nowhere; buyers and sellers are in a standoff. When it comes in a downtrend it act as a reversal pattern so we know that the bears power is weak, and bulls start to take control thus the price will go up and the trend will be up , when it comes in an uptrend the bull power is weak , bears starts to take control and price will eventually go down . But in technical analysis you cant enter a trade only from one sign so you should know you Support and Resistance area, draw your trend lines, use some indicators, and when you see the Doji know you know its the perfect time to execute the trade.

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by Tradewithmoe

Candle stick every beginners should know . ( part 4 )today i'll share with you the most famous candlestick pattern everyone should know. part 4 we will start with the Rising Three Methods Pattern . It is a five candlestick pattern observed during a bullish rally and its indicates that bullishness would further continue in the market . second , Falling Three Methods Pattern It is a five candlestick pattern observed during a bearish rally. This pattern indicates that bearishness would further continue in the market. third the dark cloud cover appear in the uptrend and It indicates the possibility of a price reversal ( short ) . please support me with like and follow me for more ideas

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by Diamond_Chart

Candle stick every beginners should know . ( part 3 ) Hi friends , today i'll share with you the most famous candlestick pattern everyone should know. part 3 we will start with the morning star . this pattern appear in the downtrend and It indicates the possibility of a price reversal ( long ) second , the evening star appear in the uptrend and It indicates the possibility of a price reversal ( short ) third doji / spinning top / high wave appear in the downtrend and the uptrend and They considered as reversal candles . please support me with like and followe me for more ideas .

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by Diamond_Chart

Candlestick Chart Part 2 : Reversals Hello everyone, as we all know the market action discounts everything :) _________________________________Make sure to Like and Follow if you like the idea_________________________________ Today's video will be about the Candlestick Chart : Reversal Patterns. So lets start by talking about the different types of Patterns : Bullish Reversal Patterns Bearish Reversal Patterns And they are divided into 3 groups : Weak Patterns Reliable Patterns Strong Patterns We Start with the Weak Reversals : 1) Dragonfly Pattern : A dragonfly doji candlestick is a candlestick pattern with the open, close, and high prices of an asset at the same level. A dragonfly doji pattern does not appear constantly. It is used as a technical indicator that signals a potential reversal of the asset’s price. 2) Hammer & Hanging Man Patterns : The Hammer is a bullish reversal pattern that forms during a downtrend. It is named because the market is hammering out a bottom. When the price is falling, hammers signal that the bottom is near and the price will start rising again. The long lower shadow indicates that sellers pushed prices lower, but buyers were able to overcome this selling pressure and closed near the open. The Hanging Man is a bearish reversal pattern that can also mark a top or strong resistance level. When the price is rising, the formation of a Hanging Man indicates that sellers are beginning to outnumber buyers. The long lower shadow shows that sellers pushed prices lower during the session. Buyers were able to push the price back up some but only near the open. 3) Inverted Hammer & Shooting Star Patterns : The Inverted Hammer occurs when the price has been falling suggests the possibility of a reversal. Its long upper shadow shows that buyers tried to bid the price higher. However, sellers saw what the buyers were doing, said "No!" and attempted to push the price back down. The Shooting Star is a bearish reversal pattern that looks identical to the inverted hammer but occurs when the price has been rising. Its shape indicates that the price opened at its low, rallied, but pulled back to the bottom. 4) Dark Cloud Pattern : A 2-candle pattern. The first candle is bullish and has a long body. The second candlestick should open significantly above the first one’s closing level and close below 50% of the first candlestick’s body. The sell signal is moderately strong. 5) Piercing Pattern : A 2-candle pattern. The first candlestick is long and bearish. The second candlestick opens with a gap down, below the closing level of the first one. It’s a big bullish candlestick, which closes above the 50% of the first candle’s body. Both bodies should be long enough. 6) Upside Gap Three Method : The upside gap three methods candlestick pattern is a bearish continuation pattern that only occurs during an uptrend. It consists of three candles. The first two candles are long and white in the direction of the prevailing trend. The second black candle creates an upside gap. The third candle fills the gap between the first and the second candle. 7) Downside Gap Three Method : The downside gap three methods candlestick pattern appears during a downtrend and consists of three candles. The first two candles have a gap down between them while the third candle covers the gap between the first two. The gap between the first two candles simply gets filled. 8) Bearish Harami Pattern : A 2-candle pattern. The body of the second candle is completely contained within the body of the first one and has the opposite color. 9) Bullish Herami Pattern : A 2-candle pattern. The body of the second candle is completely contained within the body of the first one and has the opposite color. Now Lets Talk about the Reliable Reversals : 1) Bullish Engulfing Pattern : A 2-candle pattern appears at the end of the downtrend. The first candlestick is bearish. The second candle should open below the low of the first candlestick low and close above its high. 2) Bearish Engulfing Pattern : A 2-candle pattern. The first candlestick is bullish. The second candlestick is bearish and should open above the first candlestick’s high and close below its low. 3) Tower Top Pattern : The tower top is a reversal pattern that occurs at high price levels. Typically one or more long bullish candlesticks are followed by a few smaller real body candlesticks and then the pattern is completed with one or more large bearish candlesticks. 4) Tower Bottom Pattern : The tower bottom is a reversal pattern that occurs at low price levels. There is one or more long bearish candlesticks followed by a few smaller body candlesticks and then concluded with one or more large bullish candlesticks. 5) Bullish Abandoned Baby Pattern : The bullish abandoned baby is a pattern that appears at the end of a downtrend and signals reversal to an uptrend. Simply put, it signals an end of the selling pressure of the bears and return of the bulls in the market. This pattern consists of three candlesticks: the first candle has a black (or red) big body, the second is a small and bearish candle – or a Doji, and the third is white (or green) candle. 6) Bearish Abandoned Baby Pattern : The bearish abandoned baby is a reversal pattern that forms during an uptrend. It is characterized by three candles, where the first candle is long bodied and white/green. The second candle is a Doji that gaps above the close of the first bar in the series. The third candle opens below the close of the second bar and is long bodied and black/red. 7) Dumpling Top Pattern : A dumpling top occurs when small real body candlesticks slowly rise and then move in a neutral to downward direction. The dumpling top pattern is complete when there is a bearish candlestick that gaps down from the other candlesticks. 8) Fry Pan Bottom Pattern : The opposite of the dumpling top is the fry pan bottom pattern. The fry pan bottom occurs when small real body candlesticks slowly move downward and then move in a neutral to upward direction. The fry pan bottom pattern is complete when a bullish candlestick gaps up from the rest of the candlesticks. 9) Bullish Belt Hold Pattern : A bullish belt hold shows up in downtrends. The pattern can be recognized by one long, full-bodied candlestick that is bullish and opens at a new recent low. The bullish belt hold candle is expected to have a flat or nearly flat bottom. The top has a small shadow, relative to the length of the body. 10) Bearish Belt Hold Pattern : The bearish belt hold is the complete opposite and it comes up in uptrends. To detect it, look for a long full-bodied, bearish candlestick that stands out at the top of an uptrend because it will get to a new recent high and it should be noticeably longer than the other candles. 11) Tweezer Top Pattern : The Tweezer Top pattern is a bearish reversal candlestick pattern that is formed at the end of an uptrend. It consists of two candlesticks, the first one being bullish and the second one being bearish candlestick. Both the tweezer candlestick make almost or the same high. 12) Tweezers Bottom Pattern : The Tweezer Bottom candlestick pattern is a bullish reversal candlestick pattern that is formed at the end of the downtrend. It consists of two candlesticks, the first one being bearish and the second one being bullish candlestick. Both the candlesticks make almost or the same low. And Last but not least The Strong Reversal Patterns : 1) Three White Soldiers Pattern : A 3-candle pattern. There’s a series of 3 bullish candles with long bodies. Each candle should open within the previous body, better above its middle. Each candle closes at a new high, near its maximum. The reliability of this pattern is very high, but still, a confirmation in the form of a white candlestick with a higher close or a gap-up is suggested. 2) Three Black Crows Pattern : A 3-candlestick pattern. There’s a series of 3 bearish candles with long bodies. Each candle opens within the body of the previous one, better below its middle. Each candle closes at a new low, near its minimum. The reliability of this pattern is very high, but still, a confirmation in the form of a bearish candlestick with a lower close or a gap-down is suggested. 3) Morning Star Pattern : A 3-candle pattern. After a long bearish candle, there’s a bearish gap down. The bears are in control, but they don’t achieve much. The second candle is quite small and its color is not important, although it’s better if it’s bullish. The third bullish candle opens with a gap up and fills the previous bearish gap. This candle is often longer than the first one. 4) Evening Star Pattern : A 3-candle pattern. After a long bullish candlestick, there’s a bullish gap up. The bulls are in control, but they don’t achieve much. The second candlestick is quite small and its color is not important. The third bearish candle opens with a gap down and fills the previous bullish gap. This candle is often longer than the first one. 5) Bullish Three Line Strike Pattern : A bullish three-line strike is made up of four candles. Of these, the first three are bullish, while the last is bearish. It is made up of three strong bullish candles that progressively end higher followed by a final strike candle. The strike candlestick is bearish and begins at or higher than the third candle but closes at least lower than the open of the first candle. 6) Bearish Three Line Strike Pattern : A bearish three-line strike is a four candle continuation pattern that comes up in a bearish trend. The first three candles are bearish, while the last candle is positive and ends above the highest close of the previous three candles. I Do wanna mention General Reversal Patterns : Three Mountains is the same as Triple Top Pattern Three Rivers is the same as Inverted Triple Top Pattern Buddha Top is the same as Head and Shoulders Pattern Inverted Buddha is the Same as Inverted Head and Shoulders Pattern I hope that I was able to help you understand Reversal Patterns in Candlestick Charts better and if you have any more questions don't hesitate to ask. Hit that like if you found this helpful and check out my other video about the Moving Average, Stochastic oscillator, The Dow Jones Theory, How To Trade Breakouts, The RSI , The MACD , The Bollinger Bands , The Different Types Of Trading Strategies, Candlestick Charts Part 1 links will be bellow

Education

15:44

The Best & Most Reliable Candlestick Patterns To Use In this video I explain my favourite candlestick patterns and how to use them in your own trading. Here we describe: Engulfing Candles Doji Candles Hammer Candles And I explain how to use them with confluence & context of where on the chart they occur.

Education

19:31

Let's talk about Candlestick Chart Patterns The candlestick chart patterns are used by traders to set up their trades, and predicting the future direction of the price movements. There are many candlestick chart patterns. I will be discussing a few of those. ✅ Morning Star is formed after a downtrend indicating a bullish reversal. Generally made of 3 candlesticks, first being a bearish candle, second a Doji, and third being a bullish candle. The first candle shows the continuation of the downtrend, the second being a Doji shows indecision in the market and the third bullish candle shows that bulls are back in action. ✅ Bullish Hammer is a single candlestick pattern, which is formed at the end of the downtrend and shows bullish reversal. The real body of this candle is small with a long lower wick which should be more than twice the real body. This candle is formed when the seller pushes the price downwards but at the same time buyers arrive and push the prices up. ✅ Bullish Engulfing is formed after a downtrend, indicating a bullish reversal. It is formed when a bearish candle is fully engulfed by a bullish candle which shows that the bulls are back in the market. ✅ Three White Soldiers is a multiple candlestick pattern that is formed after a downtrend indicating a bullish reversal. It is formed when three consecutive bullish candles appear one after the other. These three candles show a strong bullish trend. ✅ Hanging Man is generally formed at the end of an uptrend and signals bearish reversal. The real body of this candle is small and is located at the top with a lower shadow which should be more than twice the real body. This candlestick pattern has no or little upper shadow. ✅ Dark Cloud Cover is formed by two candles, the first candle being a bullish candle which indicates the continuation of the uptrend. The second candle is a bearish candle that opens the gap up but closes more than 50% of the real body of the previous candle which shows that the bears are back in the market and a bearish reversal is going to take place. ✅ Bearish Engulfing is formed by two candles, after an uptrend indicating a bearish reversal. It is formed by two candles, the second candlestick engulfing the first candlestick. The first candle being a bullish candle indicates the continuation of the uptrend. The second candlestick chart is a long bearish candle that completely engulfs the first candle and shows that the bears are back in the market. ✅ Evening Star is made of 3 candlesticks, first being a bullish candle, second a Doji, and third being a bearish candle. The first candle shows the continuation of the uptrend, the second candle being a doji indicates indecision in the market, and the third bearish candle shows that the bears are back in the market and reversal is going to take place. Thanks for reading and hope you like it. Please comment and let us know your thoughts on it. Happy Trading

Education

by Tuned_Official

japanese candlesstick pattern (doji)The Doji is a candlestick where the opening and closing prices are the same (or almost the same). It can take many forms; as shown here; depending of what the trading activity was in that period. The Doji candlestick indicates that neither sellers or buyers have gained control, and that price has ended where it began. It is a sign of indecision in the market. Let me show you an example below : In the chart above, you can see different types of the Doji candlestick pattern. This candlestick gives us a clear image about what happened in the market during the specific time period. In this hourly chart above, the formation of the Doji means that buyers and sellers are equal, no one is in control of the market during one hour, which is the time of the Doji candlestick formation. You can't use the Doji alone to make your trading decision, my goal in this first lesson is to help you read charts by being able to identify and understand candlestick patterns formation, so when you see the Doji candlestick pattern for example, you know that during that period of time the market was in an indecision phase and sellers and buyers are equal. This is the most important information that the Doji gives us when it forms in the market.

Education

by tradeplanprofit

Select market data provided by ICE Data Services. Select reference data provided by FactSet. Copyright © 2025 FactSet Research Systems Inc.Copyright © 2025, American Bankers Association. CUSIP Database provided by FactSet Research Systems Inc. All rights reserved. SEC fillings and other documents provided by Quartr.© 2025 TradingView, Inc.

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