In the trading process, understanding the language of candlesticks can yield twice the result with half the effort. Below is a comprehensive guide summarizing candlestick patterns from single formations to trend practical strategies! You will definitely find it useful!

1. Core Secrets of Single Candlestick

1. Bullish Candlestick Signals

① No Shadow Bullish Candle: Strong bullish control, appearing at a low point or becoming a reversal starting point

② Bullish Candle with Shadows: Long upper shadow indicates resistance, long lower shadow indicates strong support

2. Bearish Candlestick Warnings

① Large Bearish Candle: Bearish pressure, warning of trend reversal at a high level

② Long Lower Shadow Bearish Candle: After bearish pressure, bullish counterattack, hiding a turning point

3. Special Forms

① Long Doji Star: Stalemate between bulls and bears, key position revealing or triggering a trend storm

② Hammer/Inverted Hammer: Reversal signal at the end of a trend, a tool for bottom fishing and top escaping

2. Winning Strategies for Candlestick Combinations

Combination Pattern Appearance Scenario Trading Signal

Morning Star End of Downtrend Decisively go long

Evening Star Top of Uptrend Timely go short

Three Rising Methods Uptrend Continuation Buy on Pullback

Three Falling Methods Downtrend Continuation Sell on Rebound

3. Trend Positioning Trading Rules

1. Uptrend: Relying on trend lines/moving averages, looking for buying opportunities when retracement stops falling

2. Downtrend: Touching resistance levels leads to stagnation, decisively shorting at rebound highs

3. Consolidation Stage: Keep a close eye on breakout + volume cooperation, chasing the trend is more prudent