KEMBAR78
Candlestick Patterns Guide | PDF
Scribd
Upload
20 views2 pages

Candlestick Patterns Guide

The document provides an overview of various candlestick patterns used in trading to indicate potential market reversals. Key patterns include Doji, Hammer, Hanging Man, Bullish and Bearish Engulfing, Morning Star, Evening Star, Shooting Star, and Inverted Hammer, each signaling either bullish or bearish trends. Traders utilize these patterns for making informed decisions based on market behavior.

Uploaded by

Zaryab Ansari
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
20 views2 pages

Candlestick Patterns Guide

The document provides an overview of various candlestick patterns used in trading to indicate potential market reversals. Key patterns include Doji, Hammer, Hanging Man, Bullish and Bearish Engulfing, Morning Star, Evening Star, Shooting Star, and Inverted Hammer, each signaling either bullish or bearish trends. Traders utilize these patterns for making informed decisions based on market behavior.

Uploaded by

Zaryab Ansari
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 2

Candlestick Patterns Guide

Doji
A Doji indicates indecision in the market. It appears when the opening and closing prices are very

close or equal. Traders use it to watch for potential reversals.

Hammer
A Hammer appears after a downtrend and suggests a potential bullish reversal. It has a small body

and long lower shadow. Traders use it as a buy signal with confirmation.

Hanging Man
A Hanging Man appears after an uptrend and indicates a potential bearish reversal. It resembles a

hammer but occurs at the top. Traders look for confirmation before selling.

Bullish Engulfing
This pattern consists of a small red candle followed by a larger green candle that completely engulfs

the red one. It signals a potential bullish reversal.

Bearish Engulfing
A small green candle followed by a large red candle that engulfs it. Indicates a potential bearish

reversal in an uptrend.

Morning Star
A three-candle pattern: a long red candle, a small-bodied candle, and a long green candle. It signals

a potential bullish reversal.

Evening Star
A three-candle pattern: a long green candle, a small-bodied candle, and a long red candle.

Suggests a potential bearish reversal.


Shooting Star
A single candle with a small body and long upper shadow. Appears after an uptrend and indicates a

potential bearish reversal.

Inverted Hammer
Similar to a hammer but with a long upper shadow. Appears after a downtrend and suggests a

potential bullish reversal.

You might also like