Here's a full course on Candlestick & Chart Patterns This guide is perfect for beginners to intermediate traders who want to master price action analysis.
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1. Introduction to Candlestick Basics ๐ฏ๏ธ
What is a Candlestick?
Body: Shows the open and close.
Wick/Shadow: Shows the high and low.
Color:
Green/White: Price went up
Red/Black: Price went down
Timeframes ๐
1min, 5min, 1hr, 1D โ patterns work across all timeframes!
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2. Single Candlestick Patterns ๐ฏ๏ธ
Bullish Patterns (Reversal) ๐
Hammer ๐จ โ Small body, long lower wick
Inverted Hammer โ๏ธ โ Small body, long upper wick
Bearish Patterns (Reversal) ๐
Shooting Star โญ โ Small body, long upper wick
Hanging Man ๐ช โ Small body, long lower wick
Neutral Patterns โ๏ธ
Doji โ๏ธ โ Open = Close (indecision)
Spinning Top ๐ โ Small body, long wicks
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3. Multi-Candlestick Patterns ๐ฅ
Bullish Reversal ๐
Bullish Engulfing ๐ข๐ฅ โ Big green body eats red
Morning Star ๐ โ Bear โ Doji โ Bull
Piercing Line โ โ Red โ Green closes > 50% into red
Bearish Reversal ๐
Bearish Engulfing ๐ด๐ฉ โ Big red eats green
Evening Star ๐ โ Bull โ Doji โ Bear
Dark Cloud Cover โ๏ธ โ Green โ Red closes > 50% into green
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4. Continuation Patterns โก๏ธ
Bullish Continuation ๐
Rising Three โ๏ธโ๏ธโ๏ธ โ Big green, few reds, another green
Three White Soldiers โ๏ธโ๏ธโ๏ธ โ 3 strong green candles
Bearish Continuation ๐ป
Falling Three ๐๐๐ โ Big red, few greens, another red
Three Black Crows ๐ฆ ๐ฆ ๐ฆ โ 3 strong red candles
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5. Chart Patterns ๐
Reversal Patterns ๐
Bullish
Double Bottom "W" shape
Inverse Head & Shoulders ๐ง
Bearish
Double Top "M" shape
Head & Shoulders ๐ค
Continuation Patterns โฉ
Triangles
Ascending ๐บ โ Bullish
Descending ๐ป โ Bearish
Symmetrical โ๏ธ โ Breakout either way
Flags & Pennants ๐ฉ
After strong move, consolidation, then continuation
Cup and Handle โ โ Bullish
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6. Volume Confirmation ๐
Patterns are stronger when confirmed with high volume.
Weak volume = weak signal.
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7. Pro Tips for Mastery ๐ฏ
Always confirm with support/resistance.
Use volume to validate breakouts.
Combine with RSI, MACD for extra edge.
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