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