What is a candlestick and how to analyze market movements with a candlestick? - Page 67
Page 67 of 67 FirstFirst ... 17576364656667
Results 661 to 667 of 667

Thread: What is a candlestick and how to analyze market movements with a candlestick?

  1. #1
    Registered user Azis Muslim's Avatar
    Join Date
    Sep 2013
    Posts
    5,493
    Promo (¢)
    1,350
    Thumbs Up
    Received: 278
    Given: 191

    What is a candlestick and how to analyze market movements with a candlestick?

    Hi guys: hi:

    First of all, I thank you for all the staffs at RoboForex forum for organizing this extraordinary contest. I am very fortunate to be one of the clients here and become a member of this forum by sharing all of my experience from my early career started in forex till now.

    As we know in general, for a beginner it is very difficult to do this business because they do not know many things about this business. Beginners usually have some questions for them and they're trying to get the answer. As traders who have struggled and fought for years, we here should help them to find some solutions of their problems. Of all the important things about forex, I will personally explain 2 questions for the beginners based on my own story.

    1. What is a candlestick and how to analyze market movements with a candlestick?
    Candlestick is one of three charts available in metatrader4 which has a shape like rod - candles. Candlestick also can be used as a technique to map and read the price movements of stocks, commodities and forex. This technique belongs to a group of technical analysis and it is the oldest technique created by Munehisa Homma (Japan, 1724-1803).

    It is far easier to read candlestick's pattern than reading the price through bar charts and line charts. We can adjust the color of the candles, for example red color for bearish candles and green one for bullish. I will describe 2 patterns, they are bearish and bullish.

    a) Bearish Patterns
    If we look at some of the patterns below, it is a sign the market will move to follow the trend of bearish or declining. The patterns consists of:
    Bearish III, Bearish Harami and Cross, Dark Cloud Cover, Bearish Engulfing Line, Evening Doji Star, Evening Star, Gravestone Doji, Bearish Separating Line, Evening Window Star, 3 Bullish Soldier, Inverted Hammer, Shooting Star, Long Upper Shadow, Tweezer Tops and Hanging Man.

    b) Bullish Patterns
    If we look at some of the patterns below, it was a sign the market will move to follow the trend bullish or ascending. The patterns consists of:
    Bullish III, Bullish Harami & Cross, Piercing Line, Bullish Engulfing Line, Morning Doji Star, Morning Star, Dragonfly Doji, Bullish Separating Line, Morning Window Star, On-Neck Line, 3 Bearish Soldier, Inverted Hammer, Long Lower Shadow, Tweezer Bottoms, and Hammer.



    In addition, I would add some patterns that provides excellent results when I was trading using this technique about 1 year ago. Check this out.




    2. How to determine a suitable time for trading and what is market hour?
    Each time has different value of movements, depending on how many market participants were active at that time and the extent of the ongoing economic activities. Some countries have peak hours each of which affects the movement of its currency. For traders who likes a busy time, a suitable time is when economic activity is underway which led to high price volatility. While traders are more relaxed, they will choose a time when all activities reduced economic activity which caused sideways in the market.

    I think you got the answer, right mate? Yes, everything depends on our trading styles. For example, if we are scalper, we will trade in rush hours when market moves in high volatility. Here's the picture about market hour.




    I think that's all from me. If there is any error in the explanation of what I wrote and explained above, I apologize to you. Everything I shared here based on my experience and am still in the learning process. Because for me, learning is an endless process in my life. Thank you for your attention mate. Hopefully this can help the beginners to know this forex business well.

    Not allowed!

  2. #661
    Registered user
    Join Date
    Jun 2016
    Posts
    2,012
    Promo (¢)
    1,670
    Thumbs Up
    Received: 10
    Given: 5
    Quote Originally Posted by Krosneles View Post
    Personally I pay little attention to various chart patterns as I like to trade near support resistance levels and analyse the market from the side of support resistance levels if market will brake the level or it not will brake the level and there should be a reversal. There are traders who like to trade chart patterns but this strategy is not for me.
    Using support and resistance levels is good but using these levels along with certain charts patterns that we understand can be better. I just make use of the candles and still increasing my knowledge about price action, since my trading is not yet at all satisfactory. Price action is the way that we can adopt for our analysis for opening and closing trades. In case of any unseen loss we must have the stop loss for protection.

    Not allowed!

  3. #662
    Registered user
    Join Date
    Oct 2018
    Posts
    2,376
    Promo (¢)
    6,090
    Thumbs Up
    Received: 10
    Given: 7
    Quote Originally Posted by komalam View Post
    Using support and resistance levels is good but using these levels along with certain charts patterns that we understand can be better. I just make use of the candles and still increasing my knowledge about price action, since my trading is not yet at all satisfactory. Price action is the way that we can adopt for our analysis for opening and closing trades. In case of any unseen loss we must have the stop loss for protection.
    when we use support and resistance in trading we add best thing into chart, actually i was also doing trade properly on support and resistance my equity was gradually growing but one mistake one continues greedy order ruined all, so we should use any way for trade but never try to trade with greed or never increase risk level after some continues profit, it will make you loser, so make sure you have some limits in trading

    Not allowed!

  4. #663
    Rookie
    Join Date
    Feb 2014
    Posts
    2,488
    Promo (¢)
    2,960
    Thumbs Up
    Received: 11
    Given: 9
    I just want to ask a question fro this issue . after studying well the shapes of these easy and wonderful shapes of the candlesticks . Are they a rule to repeat the same reaction of the market wherever they formed at any chart for any currency pair . I think this may be very effective to know about that . thus we can decide if they will be a strategy can be worked with or no .

    Not allowed!

  5. #664
    Registered user mexima's Avatar
    Join Date
    Sep 2018
    Posts
    1,012
    Promo (¢)
    90
    Thumbs Up
    Received: 16
    Given: 42
    candlestick pattern is one of the professional and advance pattern and mostly trader use this pattern how ever this is vast and long course because every candle indicator some thing in the market like you show up some pattern in the attachment as same like there are many other news candle which indicate more about market.

    Not allowed!

  6. #665
    Registered user sniper007's Avatar
    Join Date
    Jun 2017
    Posts
    10,929
    Promo (¢)
    3,330
    Thumbs Up
    Received: 80
    Given: 146
    Quote Originally Posted by mexima View Post
    candlestick pattern is one of the professional and advance pattern and mostly trader use this pattern how ever this is vast and long course because every candle indicator some thing in the market like you show up some pattern in the attachment as same like there are many other news candle which indicate more about market.
    You are right, it is one of the professional trading tool for trading, however, I think any one who wants to make use of it should take time to learn, master it and then be good with it. A lot of traders don't know that to become profitable in forex trading, a lot has to be learned. Forex trading is one of the simple business, but only if we can take time to learn the candlestick pattern as adequately as we should.

    Not allowed!

  7. #666
    Registered user Sascha's Avatar
    Join Date
    Dec 2013
    Location
    Racoon City
    Posts
    3,573
    Promo (¢)
    1,275
    Thumbs Up
    Received: 64
    Given: 56
    Quote Originally Posted by sniper007 View Post
    You are right, it is one of the professional trading tool for trading, however, I think any one who wants to make use of it should take time to learn, master it and then be good with it. A lot of traders don't know that to become profitable in forex trading, a lot has to be learned. Forex trading is one of the simple business, but only if we can take time to learn the candlestick pattern as adequately as we should.
    candlestick patterns become so popular among professional traders and retail traders because for its accuracy through patterns and provides us various chances to trade in reversal and breakout. we can use this strategy as our primary one or as additional thing to help us confirm more accuracy and clearance about market. sometimes i use reversal patterns to trade and combine with my news strategy and the result mostly accurate.

    Not allowed!

  8. #667
    Registered user
    Join Date
    Nov 2017
    Posts
    7,129
    Promo (¢)
    1,815
    Thumbs Up
    Received: 35
    Given: 68
    The candlestick strategy is when the trader has been able to have made use of the candlestick patterns to know how the market moves and works, a lot of learning needed to be done. If we don't use the price action trading method, I also don't think that we will be able to know how to make effectively use of the candlestick as there are many candlestick that forms on the chart, but the use of the price action will make us know the right place where to take the signals.

    Not allowed!

Page 67 of 67 FirstFirst ... 17576364656667

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •