Forex Candlestick Chart 3 - Basic Candlestick Chart Patterns
Spinning tops have long upper forex cashback easy lower shadows and smaller solid candlesticks called spinning tops The color of the solid part cashbackforex not cashbackforexpip important This forexcashbackeasy indicates indecision between buyers and 100%cashbackforex Small solids, whether positive or negative, show that the closing price of the exchange rate is not much changed comp cashback forexd to the opening price, and the shadow part shows that buyers and sellers are fighting hard, but no one can Although the closing price of the exchange rate did not change much compared to the opening price, but within the period, the price experienced significant fluctuations buyers and sellers are difficult to get the upper hand, the result is a tie If a spinning top pattern is formed in an uptrend, it usually means that there are few buyers left in the market and the direction of operation is likely to reverse If a spinning top pattern is formed in a downtrend, it usually means If a spindle top formation is formed in a downtrend, this usually means that there are few sellers left in the market and this is likely to be the beginning of a reversal of the market. This is an extremely bullish pattern because it shows that the buyers are in control of the market throughout the trading session. It usually becomes the first part of a bullish continuation pattern or a reversal of a bearish pattern. Because it shows that throughout the trading session, the sellers always control the entire market it usually becomes the first part of a bearish continuation pattern or reversal bearish pattern Forex Technical Analysis www.waihuibang.com/fxschool/technical/, or their entities Part of the extremely short cross should be very small, it looks like a thin line cross pattern means that the market is indecisive, or between buyers and sellers of equal power within the period, the price broke or fell below the opening price, but finally closed at a level very close to the opening price sellers or sellers are difficult to control the entire market, the result is a draw cross has four special patterns they are Long-legged Doji, Dragonfly Doji, Gravestone Doji and FourPrice Doji. When a doji pattern is formed, special attention needs to be paid to the candle lines that appear immediately after the doji if the doji appears after a long positive line (for example, a white After the bare-headed and bare-footed pattern), this shows that buyer power is drying up To further push up the exchange rate, more buyers need to step in, but the market is no longer so many buyers sellers are watching and looking for shorting opportunities PS: Long Positive + Cross If the cross appears after a long negative line (for example, black bare-headed and bare-footed pattern), this shows that seller power is drying up To further depress the exchange rate lower, need There are more sellers involved, but the market sellers have run out of ammunition they can no longer afford to push down the exchange rate at this time, the buyers are buying at low levels, a new round of rising market is just around the corner PS: long negative line + doji although the lack of new selling and the decline in the exchange rate stopped, but still need further buying to confirm the establishment of the reversal we can wait for the white candles closed above the opening price of the long negative candle line to establish In the next lesson we will learn about specific candlestick patterns and what they mean. Hopefully by the end of this series you will know how to recognize candlestick patterns and make stable trading strategies based on this knowledge.