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WHAT ARE CANDLESTICK PATTERNS –

The candlestick patterns are one of the most important and popular tools used for technical analysis. For trading and investing purposes in stocks, commodities and cryptos. Most importantly candlestick pattern remains the same for every market. If you are a trader, you can follow the same candlestick understanding for every market, whether stocks, currencies, commodities or cryptos.

In simple words, candlestick patterns represent the price action of the market for a specific time period. There are thousands of candlestick patterns available in the market. And every pattern works on different time frames

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Here are some of the most frequently formed with high-accuracy patterns. Which can be seen and applied in different time frames.

FLAG & POLE

It is one of the most trusted patterns with a high accuracy rate. Can see a straight line that resembles a pole. If the market gives a straight move in any direction. After reaching a certain point halts in a range for a particular time frame. Which resembles a flag. Once the pattern gives a breakout the market travels in the direction of the trend again. It comes to retest once and then the distance it covers same as the pole.

HEAD & SHOULDER

This is one of the easiest and most popular patterns in the market. As shown in the picture there are two shoulders-like patterns in the graph. And the head is going up. Once the graph makes the perfect head and shoulder pattern and gives the breakout. It gives a massive rally in the trending area.

CUP & HOLDER

In this pattern, an imaginary cup and holder form gives a massive moment in the trending direction once the pattern has been formed. Usually, this pattern forms in a longer time frame and it is good to go with this pattern, especially for investment purposes.

DOUBLE TOP

If this pattern is forming keep in mind a big fall is coming and that is where your premiums can go up to even 100% provides you should have eagle eyes to find it.

HIGHER HIGHS LOWER LOWS

This is one of the safest and most understandable patterns where the market rises in a ladder form by forming a higher high and then a higher low. Once the market reaches the saturation point of climbing it falls in the same manner it raised. Lower lows than lower highs in this pattern several trades can be taken with every ladder.

One of my favourite patterns.

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