Here are the 12 candlestick patterns that every trader should know and train themselves to spot. You can trade these patterns by itself without any indicators. In my research I have found them to be extremely powerful in predicting reversal in stocks. If you plan to trade them, they can actually be very good risk reward type of setups.
I have divided them into
They are actually the opposite of each other and therefore if you learn one, you will be very quick to learn their opposite counterpart. If you only learn 12 candlestick patterns in your whole trading career, these candlestick patterns are all you need to survive and make money in the markets.
To learn more about the patterns in detail please visit the Japanese Candlesticks Page in the stock market course.
Perhaps you might want to print the above two diagrams and paste it near to your trading desk. Why? Because you will make a lot of profits and avoid a lot of pitfalls if you learn to spot these patterns in stocks.
Without further delay let us look at many chart examples below so we can see the true power of these candlestick patterns.
Oh before that, let me add another two pattern that I find very useful and frequently appear in charts as well. They are the bullish one white soldier and the bearish one black crow.
Oct 20, 21 11:48 AM
Are the markets in an uptrend or downtrend? Where are the support and resistance areas? Stock market analysis for October 2021.
Oct 19, 21 08:25 PM
A combination of technical setups help to propel AMD higher. When it hit the 200 MA, it bounce up and shot up to $122.
Oct 19, 21 01:01 AM
After correcting to the 50 day moving average, Alcoa was able to find support and rise to $57 in less than two months.
Oct 18, 21 12:24 AM
Technical analysis of Visa stock. A look at its trends and support and resistance.
Oct 17, 21 10:38 PM
Analysis of Bitcoin's chart. Is it in an uptrend or downtrend and where is the support and resistance.