Wednesday, 24 July 2019

Easy Learning Tricks to Predict Price Movements with Candlestick Patterns

Candlestick is a graph that is popular and most widely used in trading platforms. However, because there are so many kinds of complete candlestick forms (doji, body etc.) and form patterns and their different meanings, sometimes we have difficulty reading the meaning.

But don't worry we will discuss tricks and tips to easily read signals from candlesticks without having to memorize all forms of candlestick patterns that exist.

By knowing how to read candlesticks (for Forex trading, bitcoin, iq options, even for 1 minute binary options trading), we can recognize the most profitable candlestick patterns for profit.

Learning to read candlesticks is not only memorizing and knowing the pattern of the pattern. There are many available learning materials such as books, ebook pdf etc., which contain hundreds of hundred candlestick patterns.

With each each pattern has information and information to predict / know what will happen next from the movement of forex trading.

In fact, memorizing hundreds of candlestick formations or formations does not also make a significant difference to our trading performance.

There are lots of candlestick patterns including: Three black crow, Unique Three River Bottom, Concealing Baby Swallow and there are still many more, and whatever it's called. Too much and gets dizzy, so I think it's very impractical.

Originally we did not need to memorize all candle patterns for candlestick analysis.

We only need to understand the big picture of how to read candlesticks, because actually each candle can inform the price structure, the strength of the trend and the dynamics of the buyer against the seller and predict where the price will move next.

1. War Candlestick

We must have a different way of looking first in seeing price movements with the candlestick chart on forex trading and binary options.

We assume that the price movements that occur are due to a war between the Buyer and the Seller.

Every form of candles is a battle / war during wartime.

And the four elements of candlestick are a sign of telling who is strong, who is backing and who is in control and who has the greatest chance of winning the next battle.

2. Understand the Big Picture When Doing Candlestick Analysis

It should be noted and emphasized that candlesticks cannot be observed in just one pattern, without knowing the previous price dynamics.

Candlestick analysis must be considered by considering past / previous price movements.

Because every time we try to read candlesticks or price patterns, we must ask the following important things:
Is the current size of the candlestick smaller or larger than the previous candlestick?
Does the change in size of the candlestick mean?
Whether changes occur when the trading session is active

These points are very important to hold so that we can avoid narrow thinking that will limit understanding of the big picture.


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