BASICS OF CANDLESTICK PATTERNS

JAPANESE CANDLESTICK

Japanese candlestick is a very useful tool for analyzing stocks. Candlesticks gives us the same information as a bar chart, however they are easier to look at and more visual.

Here are the reasons why Japanese Candlestick is better than other charts:

  Easier to see

  More visual

  Less confusing

  Reliable patterns

  Easily spot opportunities

Candlestick charting technique are now widely used by traders in the stock, futures, forex, commodities and options market to predict market psychology and trend. Candlestick charts clearly display the open, high, low, and closing prices much clearer than the modern-day bar-chart.

Candlestick charts are flexible, because candlestick charts can be used alone or in combination with other technical analysis techniques. Candlestick charting techniques provide an extra dimension of analysis. As with all charting methods, candlestick chart patterns are subject to interpretation by the user. As you gain experience in candlestick techniques, you will discover which candlestick combinations work best in your market.

Candlestick charting techniques provide an extra dimension of analysis. As with all charting methods.

candlestick chart patterns are subject to interpretation by the user. As you gain experience in candlestick techniques, you will discover which candlestick combinations work best in your market.