Category: Technical analysis

Candlestick Patterns Explained Introduction Candlestick patterns are a popular tool used by traders to analyze and predict market movements. These patterns, formed by the price action of an asset over a specific period of time, provide valuable insights into the psychology of market participants. Understanding candlestick patterns can help traders make more informed decisions and improve their trading strategies. Basic Anatomy of a Candlestick Before diving into specific candlestick patterns, it’s important to understand the basic components of a candlestick. A candlestick consists of four main parts: 1. Open: The opening price at the beginning of the time period. 2. ... Read more