Understanding the market starts with a candle!
(Japanese Candlesticks Basics)
Japanese candlesticks are not just shapes… they are the market's language!
Each candle = a story:
Are buyers in control?
Or are sellers stronger?
Is there hesitation? Or a change in direction?
The top 3 patterns you should recognize:
1. Bullish Engulfing:
A large green candle engulfs the previous red candle → potential rise.
2. Bearish Engulfing:
A red candle engulfs the previous green candle → potential drop.
3. Doji:
A very small body → hesitation in the market, no clear decision yet.
Quick tips:
Do not trade based on a single candle!
Understand the context, look at the trend, and support your decision with other indicators.
Candles are very useful, especially at support and resistance areas.
Candle analysis = reading market sentiment!
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