wrapper

In this section we will deal with most important candlestick patterns involved in technical analysis. So, one of the type of chart views is candlestick view – in which price movements are presented through series of so called Japanese candles. As presented in the picture candles can either have long or short bodies. Short bodies mean that there is little price movements and that we are entering into consolidation. On the other side long bodies indicate greater price movements. 
 


Long green candles (as in picture) indicate buying pressure. Longer green candles means that opening price is far below from the closing price, meaning that buyers have become more aggressive. This kind of candles are usually buying signal, but we cannot look them in isolation but in more general technical picture. For example, after long period of decline, this kind of candle can indicate that things are turning over and support is being formed.  
 
Long red candles show that there is a selling pressure. Longer the red candle is, further below is the closing price from the opening one, which means that buyers has stepped into markets more agressively.However, after long period of an uptrend this kind of candle can indicate that things are turning over and that resistance is being formed.  
 
In the next chapter we will say more about Marubozu candles and Shadows.

Last modified on Saturday, 01 April 2017

About Us

Forex Web News is part of Rolling Capital Network providing financial consulting.

Within the Forex Web News we provide our readers with expert and timely technical analyses, fundamental analyses and news; with one aim – for our readers to make best possible financial decisions.

Forex Web News desks and analysis department follow the international markets closely and create high quality proprietary content on a both daily and weekly basis.

.

All our analysts have several years of trading and analysis experience. The Forex Web News analysis team creates daily and weekly analyses and offer forecasts regarding where they believe the markets are heading. Our readers are provided with data displayed both in texts and on graphs, providing them the fullest understanding of what is happening in the market place.

We are constantly growing our news desks and our analysis departments as we strive to broaden the content we provide to visitors of the Forex Web News.

Disclaimer

Rolling-capital.com – The company, employees, subsidiaries and associates, are not liable nor shall they be held liable jointly or severally for any loss or damage as a result of reliance on the information provided on this website. The data contained in this website is not necessarily provided in real-time nor is it necessarily accurate. All prices herein are provided by market makers and not by exchanges. As such prices may not be accurate and they may differ from the actual market price. rolling-capital.com bears no responsibility for any trading losses you might incur as a result of using any data within the Forex Web News.