The most powerful types of Japanese candles

[selena1]

Japanese candlesticks are a popular type of chart used in technical analysis by traders. They can provide insights into market sentiment and potential price movements based on the patterns they form. Here are some of the most powerful types of Japanese candles:

1. Bullish engulfing pattern: This candlestick pattern consists of a small bearish candlestick followed by a larger bullish candlestick that completely engulfs the previous candle. This pattern is considered a strong bullish signal as it suggests a shift in momentum from bearish to bullish.
2. Bearish engulfing pattern: The opposite of the bullish engulfing pattern, the bearish engulfing pattern consists of a small bullish candlestick followed by a larger bearish candlestick that completely engulfs the previous candle. This pattern is considered a strong bearish signal as it suggests a shift in momentum from bullish to bearish.
3. Hammer: A hammer is a bullish reversal pattern that consists of a small real body with a long lower shadow and little to no upper shadow. It suggests that buyers have stepped in after a period of selling pressure and may be an indication of a potential reversal.
4. Shooting star: The shooting star is the opposite of the hammer and is a bearish reversal pattern. It consists of a small real body with a long upper shadow and little to no lower shadow. It suggests that sellers have stepped in after a period of buying pressure and may be an indication of a potential reversal.
5. Doji: A doji candlestick has a small real body with upper and lower shadows of similar length. It suggests that the market is indecisive and could potentially be in a state of flux. It is often used as a signal for a potential trend reversal or as an indication of market indecision.

Japanese candlesticks can provide valuable insights into market sentiment and potential price movements. Traders often use them in conjunction with other technical analysis tools to develop a comprehensive trading strategy.

 

[marym]

Morning star: The morning star is a bullish reversal pattern that consists of three candlesticks. The first is a bearish candlestick, the second is a small doji or spinning top, and the third is a large bullish candlestick. It suggests a potential shift in momentum from bearish to bullish.
Evening star: The evening star is the opposite of the morning star and is a bearish reversal pattern. It consists of three candlesticks, starting with a bullish candlestick, followed by a small doji or spinning top, and ending with a large bearish candlestick. It suggests a potential shift in momentum from bullish to bearish.

These candlestick patterns should be used in conjunction with other technical indicators and analysis tools to make informed trading decisions. It is important to remember that no single indicator or pattern can provide a complete picture of market sentiment and potential price movements.

 

[HOLA]

Japanese candlesticks are widely used in technical analysis as they provide valuable insights into market sentiment and potential price movements. Here are some of the most powerful types of Japanese candlesticks:

1. Bullish Engulfing Pattern: This pattern occurs when a small bearish candlestick is followed by a larger bullish candlestick that completely engulfs the previous candle. It suggests a shift in momentum from bearish to bullish and is considered a strong bullish signal.
2. Bearish Engulfing Pattern: The opposite of the bullish engulfing pattern, this pattern occurs when a small bullish candlestick is followed by a larger bearish candlestick that completely engulfs the previous candle. It suggests a shift in momentum from bullish to bearish and is considered a strong bearish signal.
3. Hammer: A hammer is a bullish reversal pattern that consists of a small real body with a long lower shadow and little to no upper shadow. It suggests that buyers have stepped in after a period of selling pressure and may be an indication of a potential reversal.

 

[FXOchartist]

There are so many types of candlestick chart like as mentioning above. Learning candlestick chart reversal pattern is good step as help tool traders in determining entries. However no perfect pattern in the chart and when let say the chart formed hammer, it is only signal reversal, and could possible the market formed false reversal. In trading my account FXOpen always use stop loss to manage the risk in uncertainty.