#Binance #TrendingTopic 1️⃣ Understand a Single Candle First
A candlestick shows four key prices:
Open → where price started
Close → where price ended
High → highest price reached
Low → lowest price reached
Colors matter:
🟢 (or hollow) → Price closed higher than it opened (bullish)
🔴 (or filled) → Price closed lower than it opened (bearish)
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2️⃣ Key Single Candle Signals
Doji ➡️ Open ≈ Close → market indecision, possible reversal coming.
Hammer (small body, long lower wick) ➡️ Buyers fought back after a sell-off → bullish sign.
Shooting Star (small body, long upper wick) ➡️ Sellers pushed back after a rally → bearish sign.
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3️⃣ Powerful Multi-Candle Patterns
Bullish Engulfing → Small red candle followed by big green candle that fully covers it → trend may reverse upward.
Bearish Engulfing → Small green candle followed by big red candle → trend may reverse downward.
Morning Star → Red candle → small indecision candle → big green candle → strong bullish reversal.
Evening Star → Green candle → small indecision candle → big red candle → strong bearish reversal.
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4️⃣ Extra Reading Tips
Check volume 📊 → Patterns with high volume are stronger signals.
Look at support/resistance zones → Patterns near these areas are more reliable.
Avoid small timeframes → More “noise” and false signals. Stick to 1H, 4H, or daily for learning.
Confirm with indicators → RSI, MACD, or moving averages can help filter bad trades.