REVERSAL PATTERNS: JAPANESE CANDLES THAT SIGNAL A MARKET TURN📈💶🔥
Japanese candle patterns are one of the clearest signals to detect potential trend changes.
They do not guarantee a turn, but they alert you when market pressure begins to change.
1. Hammer
Appears during a decline.
Indicates that buyers entered strongly after the price dropped.
Recognized by its long wick and small body.
2. Shooting Star
Appears during a rise.
Shows rejection at the upper part of the price.
Has a long upper wick and a small body below.
3. Bullish Engulfing
The price was falling.
A large bullish candle appears that completely engulfs the previous candle.
It is a signal of buyer strength entering.
4. Bearish Engulfing
The price was rising.
A large bearish candle engulfs the previous bullish candle.
Indicates strong selling pressure.
5. How to use them correctly?
• Never trade solely based on seeing a candle
• Confirm with market trend and structure
• Check volume to ensure strength
• Use them in key areas like supports, resistances, or liquidity
Conclusion:
Candle patterns are not magic, but they are clear warnings that something is changing in the market.
If you combine them with levels and structure, they become very reliable tools.
#velasjaponesas. #priceaction #TradingCriptomonedas $ETH
