#TradingTypes101 #TradingTypes101
1. Hammer Candle
Appears at the end of a downtrend and indicates a potential reversal towards the upside.
2. Hanging Man Candle
Similar to the Hammer but appears at the end of an uptrend, which may indicate a reversal towards the downside.
3. Doji Candle
Indicates a state of indecision in the market, where the opening and closing prices are very close.
4. Bullish Engulfing Candle
Consists of two candles, where the second bullish candle engulfs the body of the first bearish candle, indicating a potential price rise.
5. Bearish Engulfing Candle
The opposite of the bullish engulfing, indicating a potential price drop.
6. Morning Star Pattern
Consists of three candles and indicates a reversal from a downtrend to an uptrend.
7. Evening Star Pattern
The opposite of the Morning Star, indicating a reversal from an uptrend to a downtrend.