In the trading process, understanding the language of candlesticks can yield great results with less effort. Below is a comprehensive guide summarizing candlestick patterns from individual shapes to trend practical strategies! You will definitely find it useful! 1. Core Secrets of Individual Candlesticks 1. Bullish Candlestick Signals ① Solid Bullish Candlestick: Strong bullish control, appearing at low levels or becoming the starting point for forex. ② Bullish Candlestick with Shadows: Long upper shadow indicates resistance, long lower shadow indicates strong support.
2. Bearish Candlestick Warnings ① Large Bearish Candlestick: Bearish pressure at high levels reveals significant trend points. ② Long Lower Shadow Bearish Candlestick: After bearish pressure, bullish response indicates a hidden turning point.
3. Special Patterns ① Long Doji Star: Bullish and bearish stalemate, key levels revealing or triggering trend storms. ② Hammer/Inverted Hammer: Trend signals, tools for bottom fishing and escaping peaks.
2. Candlestick Winning Strategies
Combination patterns trigger trading signals.
Morning Star at the end of a decline decisively goes long.
Evening Star at the top of an uptrend timely goes short.
Three Methods of Uptrend linked to buy on pullbacks.
Three Methods of Downtrend linked to sell on rebounds.
3. Trend Positioning Trading Rules 1. Uptrend: Support trend lines/moving averages, buy when pullbacks stop falling. 2. Downtrend: Resistance levels cause stagnation, decisively short at rebound highs. 3. Consolidation Phase: Keep an eye on breakout ranges + volume support, chasing trends is more secure.