Just in time with the hammer explained
It happend yesterday
It happend yesterday
What a weird coincidence
Indeed 
To be honest, I was waiting for the opposite scenario, a big dip, but -> bitcoin
Unpredictable hehe
Topic: INTRODUCTION TO CHART FOR NEWBIES (Read 521 times)
What a weird coincidence
Indeed To be honest, I was waiting for the opposite scenario, a big dip, but -> bitcoin
Unpredictable hehe
Just in time with the hammer explained
It happend yesterday
It happend yesterday
What a weird coincidence
Indeed
Just in time with the hammer explained
It happend yesterday
It happend yesterday
Continuing with the new pattern, bullish reversal pattern The Hammer :
How to interpret this pattern:
So as a conclusion: The hammer indicates a possible bullish trend reversal and that bulls/buyers are starting to come to market and started to buy strongly again.
- Little or no upper shadow at all
- Price closes up at the top of the candle, around 3/4 of the candle
- The lower shadow is usually biggest part of the candles body, about 2 to 3 times the lenght of the body
How to interpret this pattern:
- As the market opened the sellers took control and drove the price down, most likely to the support confluence.
- The bulls react and start buying, pushing the price back up creating a buying pressure.
- Bull pressure becomes to strong and they overwhelm the bears as the buying momentum was so strong that the closing price was higher then the opening price.
So as a conclusion: The hammer indicates a possible bullish trend reversal and that bulls/buyers are starting to come to market and started to buy strongly again.
The candle stick! Whom ever invented it is quite a genus. It's the best way to speculate what price action is doing in the market and using it in combination with RSI, some other indicators that might suit you and on a better time frame, your price equity is sure to get better.
Candle sticks presents an opportunity only if you care to read meaning in every candle that builds up on the chart.
Candle sticks presents an opportunity only if you care to read meaning in every candle that builds up on the chart.
I introduced some bearish reversal candles in previous post in the series and now we will continue by explaining some of them as promised.
We will start with the Shooting star first:
How to interpret this pattern:
So as a conclusion: Shooting star indicates a possible bearish trend reversal and that sellers are starting to come to market and started to sell aggressively.
We will start with the Shooting star first:
- Little or no lower shadow at all
- Price closes down at the bottom of the candle, around 1/4 of the candle
- Upper shadow is usually biggest part of the candles body, about 2 to 3 times the lenght of the body
How to interpret this pattern:
- As the market opened the buyers pushed the price high, most likely to resistance confluence.
- The bears react and start selling pushing the price back down creating a selling pressure.
- Bear pressure becomes to strong and they overwhelm the bulls buying power.
So as a conclusion: Shooting star indicates a possible bearish trend reversal and that sellers are starting to come to market and started to sell aggressively.
This is one of the best indicator I am using in my chart, before entering a trader or before closing our trade, the Relative Strength Index (RSI) is extremely useful.
For what I am also experience using such Relative Strength Index (RSI), the higher timeframe we are using here, the more effective it is.
For what I am also experience using such Relative Strength Index (RSI), the higher timeframe we are using here, the more effective it is.
Same here, but this is only simplified version as a form of introduction to RSI related to trend changes and there is much more to RSI then it is written here, but it's a good start for new trader to learn about it. Feel free to add more info on this topic if you feel like it, I wouldn't mind more people using this topic.
Back again after travelling a while so lets continue with some more helpful and simplified series.
RSI (The relative strength index) Simplified
What is RSI - It is an indicator that can be used to determine if an asset is in overbought or oversold territory. It can range from 0-100 and it is displayed as an oscillator.
(.....)
This is one of the best indicator I am using in my chart, before entering a trader or before closing our trade, the Relative Strength Index (RSI) is extremely useful.RSI (The relative strength index) Simplified
What is RSI - It is an indicator that can be used to determine if an asset is in overbought or oversold territory. It can range from 0-100 and it is displayed as an oscillator.
(.....)
For what I am also experience using such Relative Strength Index (RSI), the higher timeframe we are using here, the more effective it is.
Images are in large size and OP can edit the image display by make it smaller. It will be better if OP can resize images before upload them in the topic.
Guideline on posting images (with size adjustments), hyperlinks
[GUIDE] How to change desired image as Bitcointalk avatar size using app.
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Guideline on posting images (with size adjustments), hyperlinks
[GUIDE] How to change desired image as Bitcointalk avatar size using app.
Make this forum a better place - part 1
Back again, continuing with some important candle patterns that indicate a reversal of trend, again simplified:
Some Important Reversal Patterns:
Hammer: Bullish
Inverted Hammer: Bullish
Hanging Man: Bearish
Shooting Star: Bearish
You can now take some charts and try to spot these patterns and how they manifested to learn more. I will explain some of the patterns in more details in the next posts. Until then continue learning and reading more, these posts are here just to give you a direction and then it is up to you to research further.
Some Important Reversal Patterns:
Hammer: Bullish
Inverted Hammer: Bullish
Hanging Man: Bearish
Shooting Star: Bearish
You can now take some charts and try to spot these patterns and how they manifested to learn more. I will explain some of the patterns in more details in the next posts. Until then continue learning and reading more, these posts are here just to give you a direction and then it is up to you to research further.
Back again after travelling a while so lets continue with some more helpful and simplified series.
RSI (The relative strength index) Simplified
What is RSI - It is an indicator that can be used to determine if an asset is in overbought or oversold territory. It can range from 0-100 and it is displayed as an oscillator.
Traditional usage of RSI would look like this in general:
RSI Trading Divergences
RSI (The relative strength index) Simplified
What is RSI - It is an indicator that can be used to determine if an asset is in overbought or oversold territory. It can range from 0-100 and it is displayed as an oscillator.
Traditional usage of RSI would look like this in general:
- 70 or above - Overbought, Overpriced, Overvalued
- 30 or below - Oversold, Underpriced, Undervalued
RSI Trading Divergences
- There are 2 types of divergences that can occur: RSI and Price - Bullish and Bearish
- In Bullish Divergence RSI oscillator makes Higher high-Higher low while price doesn't do it.
- In Bearish Divergence RSI makes Lower High-Lower low while price doesn't do it.
I will continue in the same pattern and add a pattern (see what I did there ) that is opposite of previous Three White Soldiers one, showing you how it looks when things are turning south
3 Black Crows Simplified
This example shows you how to recongnize the so called Fakeout or a Breakout :
Fakeout v/s Breakout v/s Retest
) that is opposite of previous Three White Soldiers one, showing you how it looks when things are turning south 3 Black Crows Simplified
- This pattern consists of 3 long red candles with consecutive closes below previous low
- Each candle opens lower than the previous high and closes near the low of the day
- It appears near the end of an uptrend
This example shows you how to recongnize the so called Fakeout or a Breakout :
Fakeout v/s Breakout v/s Retest
- Fakeout :- A Fakeout can be seen when the price breaks the pattern, but its comes back to it.This is also called bear or bullish trap.
- Breakout:-A breakout is formed when the price barely breaks pattern and continues with huge momentum without touching the structure again.
- Retest:-A retest can be seen when the price breaks the structure and comes back to it, then bounces off of it after touching it.
This topic is really interesting because some certain things I don't know how to handle has been explained excellently in trading.
This does not add value to newbies alone but for people who are ready and interested to learn trading chart only.
Understanding the movement of candle sticks in trading chart is the profit of market in crypto trading, because the market is been monitored with the movement of candle sticks for the profit and lost involved in chart.op you really tried for the topic.
This does not add value to newbies alone but for people who are ready and interested to learn trading chart only.
Understanding the movement of candle sticks in trading chart is the profit of market in crypto trading, because the market is been monitored with the movement of candle sticks for the profit and lost involved in chart.op you really tried for the topic.
I will add a pattern that is good to learn too, hopefully more members will add things along the way so people can learn.
3 White Soldiers Simplified
Also learning to recongnize the trend should be among the first thing to learn so adding one more example:
Trend Line Simplified
3 White Soldiers Simplified
- This pattern consists of 3 long green candles with consecutive closes above previous low
- Each candle opens higher than the previous open and closes near the high of the day
- It appears near the end of a downtrend
Also learning to recongnize the trend should be among the first thing to learn so adding one more example:
Trend Line Simplified
- A trendline is a line that connects two or more points on the chart, used to determine the direction of a trend
- It acts as a line of support or resistance in particular trend
- It can be drawn on a chart of any interval ( 1h, 4h, 12h, 1D...)
Learning the candle sticks has really been helpful even if we don't look at it much when we FOMO at a point signal is called out we just believe in getting in and getting out. As for the 3 White soldiers I have came across it in some coin in the market.
I will add a pattern that is good to learn too, hopefully more members will add things along the way so people can learn.
3 White Soldiers Simplified
Also learning to recongnize the trend should be among the first thing to learn so adding one more example:
Trend Line Simplified
3 White Soldiers Simplified
- This pattern consists of 3 long green candles with consecutive closes above previous low
- Each candle opens higher than the previous open and closes near the high of the day
- It appears near the end of a downtrend
Also learning to recongnize the trend should be among the first thing to learn so adding one more example:
Trend Line Simplified
- A trendline is a line that connects two or more points on the chart, used to determine the direction of a trend
- It acts as a line of support or resistance in particular trend
- It can be drawn on a chart of any interval ( 1h, 4h, 12h, 1D...)
Technical analysis is astrology for traders. It is nonsense dressed up to look like science. It is based on conjecture and fantasy. It is unreliable and unproven. For every example of it appearing to work, there are many examples of it not working. Believers are are suffering from confirmation bias and they are selling you snake oil.
In my own say, I believe this will just give and insights to those who don't really know chart. Which is not a most to take in T.a (technical analysis) when trading but learning the basics is better than not having an idea of it.
-snip-
Is this sarcasm or skepticism? Or as an aspersion that arise and written, because you have a bad experience when trading using analysis that taught by an unqualified teacher?Btw, this thread isn't talking about analysis, but talking about candlestick that are often used by many traders.
Technical analysis is astrology for traders. It is nonsense dressed up to look like science. It is based on conjecture and fantasy. It is unreliable and unproven. For every example of it appearing to work, there are many examples of it not working. Believers are are suffering from confirmation bias and they are selling you snake oil.
One more suggestion from me. Although this candlestick is not very popular among traders, this candlestick is considered good to apply when market experiencing a trend conditions. One more benefit, imo,this candlestick can be functioned as a simple indicator when market condition are trending.
Excellent topic, you need to learn more about formatting the topic, maybe if you divide the topic, edit the pictures, and then the information will become better.
you will find more information here ---> https://bitcointalksearch.org/topic/learn-bbcode-lessons-tutorials-tutorial-videos-1727100
Also, I think you need to mention the source of the images.
Knowing the type of candlesticks will not help in predicting prices, but rather will help in understanding the market now, so I think it is good to start explaining the basics of forecasting, resistance levels, Fibonacci analysis, and others.
you will find more information here ---> https://bitcointalksearch.org/topic/learn-bbcode-lessons-tutorials-tutorial-videos-1727100
Also, I think you need to mention the source of the images.
Knowing the type of candlesticks will not help in predicting prices, but rather will help in understanding the market now, so I think it is good to start explaining the basics of forecasting, resistance levels, Fibonacci analysis, and others.
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