Archive for 'Candlesticks'
Do Candlestick Charts Work on Forex Charts?
Posted on05. Jun, 2009 by admin.
Do Candlestick Charts Work on Forex Charts?
The limitations of candlestick patterns in Forex
The quick answer is both “Yes” and “No”.
Candlestick charting was first developed by Japanese rice traders and can be traced back several hundred years in the 18th century. According to Steve Nison, candlestick charting first appeared sometime after 1850. Much of the credit [...]
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Forex Candlesticks – Candlestick Patterns Confirming Reversals
Posted on26. Jul, 2007 by admin.
Candlestick patterns are used to confirm reversals. Often when a price moves towards a support or resistance level, it is unclear for several periods on the chart whether it is going to break through or reverse. Intraday penetrations of important technical levels are often misleading signals, but quick bounces off support can be false signals [...]
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Forex Candlesticks – Using Candlestick Patterns in a Range bound Market
Posted on26. Jul, 2007 by admin.
In a range bound market – meaning a market that does not possess a clear directional trend, but rather moves back and forth between support and resistance – traders are essentially looking to short at the top of the range, and buy at the bottom of the range. It is worth noting that this strategy [...]
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Forex Candlesticks – Thrust Day and Run Day
Posted on26. Jul, 2007 by admin.
A thrust day
An up-thrust day is when the close for the current period surpasses the previous period’s close. A down-thrust day is when the close for the current period is below the previous period’s close.
Similar to spike and reversal days, thrust days signify both the strength in the market as well as the possibility [...]
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Forex Candlesticks – Reversal Days
Posted on24. May, 2007 by admin.
A reversal high day is a day in which the high price reaches a level higher than the previous high, and then reverses to close below the previous close. Like spike days, a reversal high day’s mirror image is a reversal low day, in which the market sets a new low before reversing to close [...]
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Forex Candlesticks – Spikes Days
Posted on24. May, 2007 by admin.
A spike high is a period whose high is sharply above both the high of the previous period as well as the high of the following period. Conversely, a spike low is a day whose low price is sharply below both the low of the following period as well as the low of the previous [...]
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Forex Candlestick: Introduction to Candlestick and Candlestick Patterns
Posted on02. May, 2007 by admin.
What is a candlestick chart?
Candlestick charts shows information about the price action and the movement of the currency price over a specified period of time. It contains the market’s open, closing, low and high of that specific time frame.
On a daily chart, each candle represents a 24 hours period. It contains information of the daily [...]
