Candlestickpattern
KO Earnings: Dark Pool Rotation vs. BuybacksCoca Cola has been in a major buyback mode for its stock in an attempt to move the price up. The buybacks have faced heavier than normal Dark Pool rotation (large lot selling) against the automated buyback orders. Recently the buybacks have increased, creating some interesting anomalies in the large lot indicators as well as in price patterns. Retail traders, who trade this stock heavily, are often fooled by buyback candlestick patterns. Institutional holdings has declined, which is unusual during a buyback mode.
Morning Star Candlestick Pattern EducationMorning star candlestick patterns can be strong reversal signs, but need to be traded safely as they are not always reliable, try to only use them at areas that are likely to be a “bottom” of a trend.
They consist of the first candle being bearish and large bodied, the second candle being a doji, usually tiny with a two distinct wicks and the 3rd candle being bullish, large bodied and surpassing 50% of the value of the first candle.
A shooting star is the oppiosite of a Morning Star.
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WHAT is that Candle-Stick? Difference between Candles and Line!Hey guys,
it`s time for another educational Video for beginners!
In this video I`m gonna show you the difference between Candle-Sticks and the tory line.
I hope you enjoy it and that this is going to help to improve your traden! :-)
Peace and happy learning
Irasor
Trading2ez
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How to trade reversal patterns & Fib extensions / Elliott wavesWhen you see a morning star pattern (you can use candle software to find such), usually it marks the start of Elliott wave 1 to 5 sequence, you enter at the end of the first correction wave (retrace into the body of morning star pattern). When wave 2 is completed, we plot Fibonacci retracements from the tail of Morning star and you will see how perfectly price reaches Fib extension 161.8 (1.336), the end of Elliott wave 5, doing pullbacks at FE 61.8 and FE 100 (1.326). Metatrader´s Fib extension has extensions of 61.8, 100 and 161.8 but thats enough. Now price is doing ABC correction pattern as you see.
Japanese Candlestick GuideHere is a quick guide to Japanese Candlesticks. I went over the basics of candlestick construction & some of the common patterns we see a lot
Price Action Lesson 6: Shooting Star Candlestick Pattern Def.Shooting Star Candlestick Pattern Definition:
When the price highly increases during a day, but decreases to what it was at the beginning of the day or even lower, a considerable bearish retracement is occurred.
The candlestick of this price action in the daily time frame is a Shooting Star.
The Shooting Star in the daily time frame is a very strong signal for the possibility of more decrease in price during next days.
Example: The chart shows the price of Gold in the time frame of 30 minutes. On Sep 08, 2017 the price significantly increased from 1348.80 to 1357.53, then it decreased more, and at the end of the day to it was closed at 1346.07.
The corresponding Shooting Star candlestick of this price movement in the daily time frame is also drawn on the chart to better describe the concept.
Price Action Lesson 7: Conditions of a Perfect Shooting StarConditions of a Perfect Shooting Star:
Body is short.
The height of the candlestick (the difference between high and low price) is tall enough and it's more than the Daily ATR(264). The taller the Candlestick is, the stronger the Shooting Star.
The upper shadow (also known as upper wick or tail is the distance between the high price and the close or open price, whichever is higher) should be very tall, over than 75 percent of the Daily ATR(264) is better.
The lower shadow (also called bottom wick or tail is the distance between the low price and the close or open price, whichever is lower) is nonexistent or very short. It should be less than 25 percent of the Daily ATR(264).
The Shooting Star with the bearish body is stronger than the one with the bullish body.
- The picture shows a perfect Shooting Star candlestick .
As seen, the height of the candlestick is tall, but the body is very short. Also, the upper shadow is very tall and the lower shadow is very short.
The close price is lower than open price, therefore the body of this Shooting Star is bearish , and the strength is very high.
Price Action Lesson 5: Weak Hammer (Example)Weak Hammer (Example):
The chart shows the price of Bitcoin vs. US Dollar. In 02/02/2018, as it says, buyers couldn't raise the price above the day open price, the D1 candle seems a Hammer with bearish body. So the final result wasn't clear and the next day, sellers could pullback the price. (Consider the red thick arrow)
Price Action Lesson 4: Weak hammerWeak hammer:
For having successful and steady transactions, Simple detection of market patterns is not enough. But with a deeper look, we should calculate the success possibility of each pattern. One of the determining power Parameters of hammer stick is about Descending or ascending that the body can be. Thus, if the body of hammer is ascending, Possibility of starting an ascendant wave is very high.
The opening price of the day, is very important. This price - is the previous day's closing price, in fact it is the price that they had a war at in previous day where buyers and sellers come to equilibrium. So on the day that the Hammer is forming. If buyers can raise prices to the point of closing price of yesterday, and by the end of the day, they keep the price at the top of it, they will be the winners of the war. If we can raise the price above yesterday's closing price, they are not conclusive winners of today’s war, and this war will continue for the next few days.
Thus, if the body of hammer is ascending, Possibility of the beginning Ascending wave is very high. But if the body of hammer is Descending, Possibility of the beginning Ascending wave is less. In this case, it is said a weak hammer has made.
- The picture shows a hammer candlestick with descending body.
. As what can be seen, candle’s height is tall, but it has very short body height. Also Lower Shadow is long, and the upper shadow is very short.
. As regards the Closing Price of market is under its Opening Price, therefore the body of this hammer is Descending, and the power is very low. Possibility of the beginning ascending wave is less.
Price Action Lesson 3: Hammer, The first sign of beginning ...Hammer, The first sign of the beginning Ascending wave:
Hammer shows that the war between buyers and sellers, at the beginning of the day sellers could create significant reduction in price, with their high investments. But when the price had come to the lowest extent of it, many of buyers have entered with more investments than sellers. And again they could increase the price close to what it was at the beginning of the day or may even more. And at the war that was between buyers and sellers, the buyers have been the winners of the day, and the market is largely in control of them. Thus, the possibility of further price increases in the coming days is enormous.
example: picture Shows, currency pair of EUR/USD -0.31% in a 30 minutes time frame.
At the beginning, by increasing investments of sellers, the price became to 1.16886 But in this range with the arrival of large buyers to the market and overcome to turnover of shopping on sales transactions, the price increased again. Sellers could increase the selling price due to the amount of demand from buyers. The starting price is may be at 1.17495 but it increased by the end of the day to 1.17578.
As what can be seen, after forming Hammer , an Ascending wave started and the Price have increased more.
Price Action Lesson 2: Conditions of a Perfect Hammer Conditions of a Perfect Hammer:
. Body height must be short.
. The total height of the candle must be taller than the Daily ATR-264. The taller the candle is, the stronger the Hammer is.
. The lower shadow’s length should be very tall. It is better to be over 75 percent of the Daily ATR-264.
. The upper shadow does not exist, or if it does, it is very small. It shouldn't be more than 25 percent of the Daily ATR-264.
. The hammer that has an ascending body is stronger than the one which has a descending body.
Hammer Candlestick Pattern DefinitionHammer Candle Stick Definition
If there was a large drop in price in the middle of the day, but before the day ended it increased to what it was at the beginning of the day and even more, a significant upward return occurred. The candlestick of this change (move) will be a Hammer in a daily time frame. A Hammer formation on the daily time frame is a very strong indication for probability of increasing price in next days.
Example: The picture shows currency pair of EUR/USD in a 30 minute time frame. On Ausust 09, 2017 the price significantly decreased from 1.17495 to 1.16886 or even lower. But after that, it increased rapidly at the end of the day to 1.17578 and then closed.
Also in this picture - for better understanding - the Hammer Candlestick in the daily time frame - in the result of changes in a day - is drawn.
VIBE Trade Setup Possibility: Reversal off Lower Bollinger BandSee notes on chart. This is a very low risk type of setup that I like very much. My sell points are either when I think a resistance level is being tested OR if a strong trend develops (hopefully!) I draw a trend line. If the trend breaks down, I know that is a good exit point until my next entry.
CRYPTO - What CANDLE PATTERN do you TRADE the MOST!Triangle
Pullback
Range
Channel
Breakout
Trendline
H&S
Wedge
WHAT ARE SOME OTHERS?
