How Do I Analyze Japanese Candles Patterns?
How Do You Trade Japanese Candle Sticks Patterns?
Candlesticks patterns have different pattern formations that you can learn and use them in trading & identifying setups based on the candlesticks patterns guide explained below.
The tutorials below explain how to identify these candlesticks patterns & how to trade instruments with them.
Doji Candle Sticks Signals
Doji is a candle-sticks pattern with same opening & closing price. There are various types of doji candlesticks pattern that form on charts.
The following examples explain various patterns of the doji candle:
Long-legged doji candlesticks pattern has long upper and lower shadows with opening & closing price at the middle. When Long-legged doji pops up on a chart it demonstrates indecision between the traders, the buyers & the sellers.
Shown Below is example screen-shot image of the Long Legged Doji candlesticks pattern
Doji Pattern
Doji Chart Pattern
Marubozu Candle Sticks Signals
Marubozu candlesticks pattern are long candlesticks which have no upper or lower shadows, Like the examples illustrated below.
Marubozu Candles
Marubozu candlesticks pattern are continuing candlestick patterns which show price is going to continue in same direction as that of the marubozu candle. The marubozu candlesticks pattern can be white/blue or Black/red depending on direction of the trend.
Spinning Tops Candles Candlestick Sticks Signals
Spinning tops candlesticks pattern have a small body with long upper and lower shadows. The spinning tops candlesticks patterns are referred to by this name because these candlesticks arrangements are similar to spinning tops on a matchstick.
The upper and lower shadows of the spinning tops trading candlesticks pattern are longer than the body. The example below shows the spinning tops candlesticks pattern. You can look for pattern on your MetaTrader 4 charts. The example below shows a screenshot to help traders when it comes to learning & understanding these candlesticks pattern.
How Do You Read Candle Charts
The color of spinning tops candle trading candlesticks pattern isn't very important, this formation explain the indecision between the buyers & sellers in the market. When these patterns appear at the top of a market trend or at the bottom of the market trend it might signify that the market trend is coming to an end & it might soon reverse & begin heading in the other direction. However, it is better to wait for confirmation signals that the direction of a instrument has reversed before trading the signal from the candlesticks pattern formation.
Hammer Candle Pattern vs Hanging Man Candle-stick Pattern Signals
Hammer Candle Pattern & Hanging Man Candle Pattern candlesticks look alike but hammer is bullish reversal trading candle-sticks pattern and hanging man is a bearish reversal trading candlesticks pattern.
Hammer Candle Pattern and Hanging Man Candle Pattern Candlesticks Signals
Hammer Candles Signals
Hammer candlesticks pattern is a potentially bullish candle pattern which forms during a downward trend. It is named so because the market is hammering out a bottom.
Hanging Man Candles Signals
This hanging man candlesticks pattern is a potentially bearish reversal signal which occurs during a upwards trend. It is named so because it looks like a man hanging on a noose up high.
Hanging Man Candle Pattern
Inverted Hammer Candles Signals
This is a bullish reversal candlesticks pattern. It forms at the bottom of a market trend.
Inverted hammer candles pattern occurs at bottom of a downwards trend & indicates the possibility of a reversal of the downwards trend.
Inverted Hammer Candle Pattern
Shooting Star Candles Signals
Shooting Star is a bearish reversal candlesticks pattern. It forms at the top of a market trend.
Shooting Star candle-sticks pattern occur at top of an upward trend in the market where the open price is the same as the low and price then rallied upwards but was forced back downwards to close at near the open.
Shooting Star Candlestick Signals
Piercing Line Candles Signals
Piercing line candlestick pattern is a long black body followed by a long white body candle.
The white body pierces the mid-point of previous black body.
This Piercing Line candlesticks pattern is a bullish reversal candlesticks pattern that occurs at the bottom of a market downwards trend. It shows that the market opens lower & closes above the midpoint of the black body.
This Piercing Line candle-sticks pattern highlights that the momentum of the downward trend is reducing and market trend is likely to reverse & move in an upwards direction.
This Piercing Line candlesticks pattern is shown known as a piercing line signifying the market is piercing the bottom illustrating a market floor for the instrument price downwards trend.
Piercing Line Candle Pattern Candle Sticks Signals
Dark Cloud Cover Candle Sticks Signals
Opposite of piercing candlestick candle.
This candle is a long white body followed by a long black body.
The black body pierces the midpoint of the prior white body.
This is a bearish reversal pattern setup that forms at the top of an upwards trend.
Dark Cloud Cover candlesticks pattern highlights that market opens higher and closes below the midpoint of the white body.
Dark Cloud Cover candles pattern highlights that momentum of the upward trend is reducing and market trend is likely to reverse & move in a down-wards trade direction.
Dark Cloud Cover candlesticks pattern is pictured known as a cloud cover signifying the cloud as a ceiling for the instrument price up-wards trend.
Dark Cloud Cover Candlestick Pattern
Morning Star Candle Sticks Signals
Morning Star Candle Pattern Candle Sticks Signals
Evening Star Candles Signals
Opposite of the morning star forex candles pattern
Evening Star Candle Pattern Candle Sticks Signals
Candle Sticks Signals
Engulfing is a reversal candlesticks pattern which can be bearish or bullish depending upon whether it appears at end of a market downward trend or at the end of a market upwards trend.
Bullish & Bearish Engulfing Candlesticks Patterns Candle Sticks Signals
How Do You Read Japanese Candle Patterns? - Forex Japanese Candles Patterns Described
How Do I Analyze Japanese Candles Patterns?
